Those roaring crowds of students you see on the stands at big football games, screaming and waving their college colors around? They could be signaling more than their support for their team. They could also be signaling the strength of the student housing market near their college.

"Large, primary state schools in Power 5 conferences benefited most from enrollment growth," according to a new Yardi report on student housing in the USA. And rent growth is being driven by surging demand, especially at schools with high enrollment growth. Total enrollment was up 0.7% year-over-year in fall 2023, after dipping to -0.5% in 2022.

That adds up to a lot of money, with preleasing at Yardi 200 schools rising to 67.7% in March — 240 basis points above March 2023 — and rent growth up. Both are outpacing all previous years. Preleasing is 10% above the average for 2019-2022, and the average rent for a bed has risen to $895. "Rent growth in the sector has averaged 6.2% over the course of the leasing season, making student housing one of the best performing commercial real estate sectors," Yardi commented. Rent was up by double digits at 41 universities.