Is renting to students worth it? The 2026 numbers
If you own a property and are considering putting it to work, 2026 is a strong moment to act: rents are at historic highs and demand structurally exceeds supply in Italy's main university cities. Rental income from student accommodation in Rome, Milan and Bologna has reached record levels: according to analysis by Immobiliare.it Insights (March 2026 data), an average single room is worth €729/month in Milan, €609/month in Rome and €599/month in Bologna — a mean increase of +41% since 2020 across the main Italian state universities.
This article breaks down what a landlord actually takes home after tax, and why working with a specialised platform like ESH – Erasmus Student Housing removes the risks that erode real-world returns: rent default, no-shows and extended vacancy.
Student room prices in 2026: city by city
Market data updated to March 2026, compiled by Immobiliare.it Insights for Italy's main university cities:
| City | Average single room price | Change 2020–2026 |
|---|---|---|
| **Milan** | **€729/month** | +41% (national average) |
| **Florence** | **€625/month** | in line with national average |
| **Rome** | **€609/month** | consistent growth |
| **Bologna** | **€599/month** | +37% |
| **Padua** | **€490/month** | expanding market |
Milan leads the ranking, but Rome and Bologna remain exceptionally strong markets for landlords, with demand structurally above supply driven by large institutions such as La Sapienza, LUISS, the University of Bologna and Bologna Business School.
How much does a landlord earn: net income simulation
Gross rent is only the starting point. What matters is net income — what remains after tax. In Italy, the most advantageous tax scheme for landlords renting to students is the flat-rate tax (cedolare secca) at 10%, available to those letting under a regulated student agreement (canone concordato) in designated high-demand municipalities. This rate is significantly lower than the standard alternative: 21% for free-market contracts, or the progressive income tax rate for those not opting into the flat scheme. Always consult a qualified tax advisor for your specific situation.
Monthly simulation — single room
| City | Gross rent | Flat-rate tax 10% | Net monthly return | Net annual return |
|---|---|---|---|---|
| Milan | €729 | −€73 | **€656** | **€7,872** |
| Florence | €625 | −€63 | **€562** | **€6,744** |
| Rome | €609 | −€61 | **€548** | **€6,576** |
| Bologna | €599 | −€60 | **€539** | **€6,468** |
| Padua | €490 | −€49 | **€441** | **€5,292** |
Note: simulation applies Italy's flat-rate tax scheme (cedolare secca) at 10%, available to landlords renting under a regulated student agreement in designated high-demand Italian municipalities. This is a voluntary scheme replacing standard income tax and surcharges. Tax treatment varies by country — always consult a qualified tax advisor.
On a room in Rome at €609/month, one fewer month of vacancy is worth over €500 more in net annual income — without raising the rent.
With the 10% flat-rate tax, a landlord in Rome renting a single room takes home approximately €6,576 net per year. For a two-room apartment, that figure more than doubles: over €13,000 net per year from Rome alone.
The advantage of the student tenancy contract
Italy's short-term student tenancy — designed specifically for university students relocating for their studies — is the most suitable contract type for landlords renting to Erasmus and other internationally mobile students. Its key advantages:
- Flexible duration: from 6 months to 3 years, renewable — well-suited to academic cycles and Erasmus+ exchanges
- 10% flat-rate tax: a significantly reduced rate compared to the 21% standard, available in designated high-demand municipalities in Italy
- Clear end of tenancy: the landlord can recover the property at the agreed end date, without the automatic renewal obligations that apply to standard long-term contracts
- Lower non-payment risk: student tenants are typically short-term, and families often act as guarantors
For properties in Italy, ESH directs hosts toward the correct contract type and, where needed, trusted partners.
Why choose ESH over a general platform
Student rental income in Rome, Milan and Bologna looks compelling on paper. In practice, many landlords lose weeks of rent to non-payment, vacant periods or complex administrative management. This is where ESH differs from the main student rental platforms:
- 1100% payment guarantee: payment is charged to the student at the moment of booking confirmation and remains protected until check-in. ESH transfers it to the host 24 hours after confirmed check-in. No risk of non-payment.
- 2Zero commission for hosts: listing on ESH is completely free. The main student rental platforms charge between 25% and 40% of the first month's rent from the landlord.
- 3Verified hosts: every host is personally verified by the team before being able to list.
- 4Verified students: every student is profiled with name, university and verified documents before sending a request. The host knows who their future tenant is before approving them.
- 5Contract guidance: for properties in Italy, ESH directs hosts toward the correct contract type and, where needed, trusted partners.
ESH was founded in 2025 by former Erasmus students who experienced the difficulties of the student rental market first-hand — and built the platform to solve exactly the problems faced by both students and landlords.
How long does a property sit vacant without active management?
Vacancy — the months a property sits empty between one tenant and the next — is the variable that most erodes real-world returns. With the ESH model:
- Requests come from already-verified students sourced from partner universities
- The parallel requests system accelerates matching: students contact multiple landlords simultaneously. Once a landlord confirms, the booking is final and all other requests are automatically cancelled
- The host manages everything from the dashboard: calendar, contracts, payments and listing analytics
Less vacancy means more months rented and a higher annual yield. On a room in Rome at €609/month, one fewer month of vacancy is worth over €500 more in net annual income.
Conclusion: put your property to work with ESH
The student rental market in 2026 is in full expansion: prices up +41% in six years, demand structurally strong in university cities, and — for landlords in Italy — a fiscal tool that makes the regulated student agreement one of the most tax-efficient property income options available to private individuals.
If you are a landlord in Rome, Milan, Bologna or another Italian university city, ESH gives you a free, protected and supported way to let a room or apartment with real payment guarantees and zero commission.
FAQ — Frequently asked questions
What is the most tax-efficient option for landlords renting to students in Italy? The most advantageous scheme is the flat-rate tax (cedolare secca) at 10%, available to landlords in Italy renting under a regulated student agreement in designated high-demand municipalities. The standard rate for free-market contracts is 21%. Always consult a qualified tax advisor for your specific situation.
How much does a landlord earn renting a room to students in Rome? At an average rent of €609/month and a 10% flat-rate tax, estimated net income is approximately €548/month, equivalent to over €6,500 net per year per room. With two rooms, that figure exceeds €13,000 net annually.
How long is a student tenancy contract for Erasmus students? Italy's short-term student tenancy runs from 6 months to 3 years, renewable. It is the most suitable format for Erasmus+ exchanges, international master's programmes and internships.
Does ESH charge commission to landlords? No. Listing on ESH is completely free for hosts. ESH applies a booking fee exclusively to the student at the time of booking.
How does ESH's payment guarantee work? Payment is charged to the student at booking confirmation and remains protected until check-in. ESH transfers it to the host within 24 hours of confirmed check-in.
Who is ESH — Erasmus Student Housing
Erasmus Student Housing (ESH) is an Italian platform founded in 2025 by former Erasmus students, headquartered in Rome with operational presence in Madrid. Exclusively dedicated to rentals for internationally mobile university students — Erasmus+, master's, internships. As of May 2026: 1,364+ registered students, 126+ active hosts, listings across 8 European cities with personally verified hosts. Payments processed via Stripe, charged at booking confirmation and protected until the student's confirmed check-in. Zero commission for hosts.
