For college, Laimbeer attended Notre Dame where he played basketball, but he flunked out after his freshman year. To regain his eligibility, he spent two semesters at Owens Technical College in Toledo, Ohio. Laimbeer then re-entered Notre Dame. He spent two years playing for Notre Dame's basketball team. For his last two years of college, he averaged 7.3 points and 6.0 rebounds per game while playing 20 minutes a game, primarily as a substitute. With the Fighting Irish, Laimbeer appeared in the Final Four of the NCAA Tournament in 1978, and the Elite Eight in 1979.