Zoning laws regarding rental properties, particularly near colleges and universities, can be have unintended consequences in areas, as evidenced by a recent case in the North Star State.

The Star Tribune of Minnesota recently published a piece on the unintended consequences of zoning on rental properties. Officials in St. Thomas tried to stifle the number of student renters signing rental applications for units in neighborhoods with schools by imposing zoning laws stating that property managers could not rent homes to more than four unrelated individuals.

Unfortunately for disgruntled St. Thomas residents, the result of this law was that property managers advertised homes that had been split into duplexes with three or four bedrooms, and students continued to move into the area surrounding the school.

Furthermore, by imposing the restriction on rental properties, the zoning commission increased rental prices, making owning a rental property in the area more attractive, according to the newspaper.

Due to the various specific regulations local and state governments implement nationwide, rental property owners may wish to learn the laws of certain areas they consider investing in.