Are you looking for an excellent city to invest in real estate? There are numerous options online, but some can be misleading or even ambiguous. We have put together a detailed list of some of the best cities to consider together with the reasons that make them worthwhile investments. Take a look.
1. Scottsdale
It is a large suburb that is home to approximately a quarter-million residents and the first city on this list for a good reason. Despite being a suburb, it has several tourist attractions and significant economic development. You do not want to overlook Scottsdale real estate because of the following optimal demographics.
Key Interests
• The quality of life is pretty high because of the highly-rated public schools and the proximity of social amenities to most real estate neighborhoods.
• Arizona, the state where Scottsdale is located, has a shallow tax rate and lower ones on real estate properties than other states in the US.
• The average per capita income for one person is as high as $55,000, increasing home values and rental prices significantly.
• Many people travel to Scottsdale to enjoy the world-class golf courses and watch top league baseball teams training. That increases the demand for and, subsequently, the value of rental properties in the area.
• It is in a tax-friendly state.
• The cost of living here is relatively low compared to California and New York City.
• There is a housing inventory shortage, which has led to a steady rise in home values.
• They allow short-term rental housing like Airbnb.
• There is a high influx of well-paying jobs and companies because of its business-friendly policies.
2. Austin
The housing market in Austin, Texas, has experienced a significant surge, which has seen home values go up by more than 100% compared to the past few years. Austin has come to be known as the home of many high-paying jobs in technology. As such, many millennials are looking to buy homes and settle here.
Austin is a growing city that provides the advantages of living in an urban area while offering the serenity and comfort rare in bigger cities. If you are looking to invest in real estate property, here are a few reasons why Austin might be the city for you.
Key Interests
• It is among the most populated cities in the United States, and it’s still growing.
• It has a very low unemployment rate compared to other cities.
• There is a lot of affordable real estate property.
• The average rent per month is about $1700
• It is one of the hottest sellers’ real estate markets in the US due to the high demand for homes.
• One can easily acquire a great investment property for at least $200,000.
• The appreciation rate for real estate property in Austin goes to highs of more than 6% annually.
• Austin has been one of the finest long-term real estate property investments in the United States over the past decade.
3. Nashville
It is one of the hottest housing markets in the United States, even with the current economic decline due to the pandemic. There seems to be a more-than-average demand for homes in this real estate market, making it a goldmine for investors and sellers. Nashville can be categorized as more of a suburb than a city. That means that it enjoys the preference of most home buyers who are fleeing from the big cities.
Tennessee, the state where Nashville is located, is among the US’s seven states that do not collect income tax. It also does not impose a tax on any earned income. All these optimal factors make it a sweetheart for home buyers.
Check out these additional features that make Nashville even more attractive to potential investors.
Key Interest
• The demand for homes is sky-high, and that, paired with the low inventory on real estate properties in the area, has led to high home values.
• Nashville enjoys a significant market for rental housing because of the many tourists visiting the area.
• Low mortgage rates make buying homes a lot more affordable.
• It is ranked among rapidly growing metropolitan areas in the United States.
• The area has many local colleges and universities, providing a ready market for houses because of the lecturers and academic professionals looking to move here.
• It is a steadily growing economy with vast job opportunities.
• Nashville’s average age of its residents is about 30. That provides an excellent potential market and demand even ten years from now.
4. Charleston
Real estate properties in Charleston generate high rental income and an overall high return on investment. Here are some of the justifications as to why Charleston should be at the top of your real estate investments list.
Key Interests
• Local properties have had a high appreciation rate over the past few years.
• The steady economy, low unemployment rate, and high job market growth create a very high demand for rental housing and home-buying.
• Charleston is one of the top tourist destinations in the country. Therefore, investing in the Airbnb market will earn you unimaginable profits.
• There is a healthy balance between the high demand for real estate property and affordable home values.
5. Salt Lake City
Salt Lake City is a significant tourist destination in the United States: this should tell you quite a bit about its potential as a real estate investment. It is a seller’s market with home values that are favorable for buyers and sellers alike. The city has seen several significant developments in recent years, which have simultaneously improved the economy and job market.
There is a too high demand for housing and not enough supply. A strategic real estate investment is bound to yield good returns in a relatively short time. The area also enjoys numerous affordable real estate properties in premium neighborhoods.
Consider the reasons provided below if you are looking for great cities where you can make investments.
Key Interests
• The majority of Salt Lake City’s population is comprised of people with families of 3 to 4 children. That means that there is a constant demand for family-size real estate properties.
• Salt Lake City has an adequate supply of appealing real estate housing, but it is not nearly enough to satisfy the demand. The value of homes has increased as a result.
• The low cost of living in Salt Lake City attracts buyers who want to own homes but cannot afford the highly-priced ones in other cities.
• Due to the lack of enough real estate homes, new residents and millennials seek rental houses: this has raised their demand reasonably.
• You do not need a business license to be a landlord in Salt Lake City, irrespective of the number of rental houses you own.
Final Thoughts
Picking a real estate investment can make or break your bank account, depending on the outcome. Analyzing the relevant information helps you to make an informed and ultimately beneficial decision. We hope that this post has provided a resourceful insight into the real estate market and the best options out there.
