18 Best rental property places to buy by 2020

Best_Rental_Properties

Introduction: How do we know the best places to buy property by 2020?

Wondering where to buy property by 2020? The fact is, you may not find the best real estate market the best for your neighbor or your coworker. Wherever you end up spending it will ultimately rely on your personal investment goals.

The best places to buy rental property for (for example) cash flow and equity growth often have three things in common: employment growth, population growth and affordability. If you find a market that has all three of these factors, you will likely be able to find good opportunities for investment.

There are many cities around the U.S. where these factors exist today β€” areas where you can buy high cash flow rental property when rates are still small (in many cases under $100,000), and watch your equity rise.

You’ll learn about 18 of those “best-buy” real estate markets for the year 2020 in this article. Find out what makes them invest in great places, and why.

Where To Buy Real Estate: 18 Cities In 2020

Please note: These are not listed in any specific order.

1-Orlando, FL

18 Best rental property places to buy by 2020

For quite some time now the demand for single family homes has been rising in the Sunshine State. Still, for under $193,000, it is possible to acquire fully refurbished properties in good Florida neighborhoods.

What’s even more interesting is that despite these statewide incredibly low housing prices, many home seekers choose to rent rather than buy. This, as you might imagine, causes rental prices to increase (over 6 per cent in just one year) and is predicted to continue to grow in 2020.

Besides strong cash flow, prices in these areas are on an upswing with no sign of slowing down. They are nowhere near their peak in 2006 and stock rates are still well down, so at these price points builders simply can not make a profit.

Property taxes and insurance are small, plus state income tax is not applicable. Add good weather and excellent health care, and you can see why many of the 10,000 aging baby boomers travel to Florida every day.

Orlando is one of the best places in the State of Florida to buy rental property and real estate in 2020. Located in the Sun Belt region of Florida, the area is known for its warm climate, beautiful beaches, world-renowned amusement parks, entertainment, and attractions.

With a growing population of more than 2.5 million residents, the real estate market in Orlando is fuelled by job seekers, baby boomer retirees and students who want to live in a “cheap and cheerful” area that offers high quality living at reasonable cost.

Housing statistics

  • Median price for sale: $231,000
  • Median Rent: $1,486 per month
  • Income Median Households: $42,418
  • Population: around 2.6 M
  • Job growth rate of 1-Year: 3.44 per cent
  • 7 Year growth rate for equity: 110 per cent
  • Population growth of 8 years: 30 per cent
  • Unemployment rate: 2.9%

Quick facts on the housing market

  1. For the third year in a row, Orlando is listed as # 1 Best Places to Purchase a House by Forbes. Projections suggest an increase in house prices by up to 35 per cent by 2021.
  2. Metro Orlando is the country’s 4th largest subway area, and it’s also the nation’s fastest growing subway.
  3. In 2019 more than 68 million people visited the Orlando area, making it the country’s most visited tourist destination.
  4. Orlando’s population has grown more than 20 per cent since 2010. Metro Orlando has house more than 2.6 million residents to date.
  5. In the last 12 months, rents have risen by 3.44 percent, which is 134 percent higher than the national average.
  6. Over the next ten years, Orlando’s expected employment growth is the fastest of the 200 largest metros in the United States, Forbes estimates.
  7. Orlando Medical City has an economic effect of $7.6 billion, which would generate more than 45,000 jobs.

Conclusion: Top 3 Reasons for Investing in the 2020 Orlando Real Estate Market

As mentioned, there are three factors common to most of the best places to invest in real estate: job growth, population growth and affordability. Orlando is no exception to this …

Job Growth: Orlando’s growth in employment is among the best in the U.S. with more than 45,000 new jobs created in just one year and a projected annual growth rate of 3.44 percent over the next ten years.

Population growth: Over the past 8 years, Orlando’s population has grown 252 percent faster than the national average, and with all the new jobs coming into the area, this trend is very likely to continue by 2020. (This means lodging demand is likely to rise.)

Affordability: In Orlando it is still possible to purchase completely renovated 3-bedroom homes for as little as $193,000 in nice neighbourhoods.

Looking to buy rental property in Orlando?

At RealWealth we link investors in the Orlando metro area with the property teams. The teams we are working with currently offering the following rental investments:

  1. Family only
  2. New Building

If you want to view Sample Property Pro Formas, connect with one of the teams that we are working with in Orlando, or talk to one of our Investment Counselors about this or other markets, become a RealWealth member for free. Tap here to lead off.

Also, when communicating with one of the Orlando teams we work with and/or with one of our Investment Advisors, make sure you inquire about investments in Orlando that meet our REAL Estate PropertyTM Requirements.

2-Florida, Tampa

18 Best rental property places to buy by 2020

Situated on Florida’s west coast, Tampa Bay is a densely populated metropolitan area (second only to Miami), with a population of over 3 million people. This area’s big towns include St. Petersburg, Largo, Clearwater, New Port Richey, Holiday and Tampa.

Why is Tampa among our 2020 list of best places to buy property? For starters, the local economy is worth more than $130 billion and the metro area was ranked as one of the country’s fastest growing areas. Tampa also puts heavy emphasis on growth in jobs in sectors such as financial services and healthcare.

In just 12 months, the Greater Tampa Bay area has created more than 34,300 new jobs with an employment growth rate above the national average of 71 per cent. More than 19 firms are headquartered here with annual revenues of more than $1 billion, and it is home to four Fortune 500 companies. Tampa and surrounding areas remain some of the country’s best real-estate markets.

Housing statistics

  • Median Price for Sales: $225,250
  • Median Rent: $1,485 per month
  • Income Median Households: $65,196
  • Metro Area: 3.1 M
  • Job growth rate 1-Year: 2.52 per cent
  • 7 Year growth rate for equity: 106 per cent
  • Population growth of 8 years: 12.69 per cent
  • Level of unemployment: 3.4%

Quick facts on the housing market

  1. Tampa region has a population of more than 3 million, a local economy worth more than $130 billion, and is one of America’s fast-growing metros.
  2. Tampa continues to have pockets where investors can find homes at affordable prices (even as low as $150,000) and turn around to rent them for about $1,485 a month.
  3. New Amazon jobs and a talent pipeline from the University of South Florida helped push the Tampa metropolitan area to the No. 15 spot on the 2018 index of best-performing cities in the United States by the Milken Institute.
  4. The city has several large Fortune 500 companies including Publix Super Markets Inc., Jabil Circuit Inc. and WellCare Health Plans, Inc.
  5. Tampa remains a great destination for tourists, and one of the best towns to buy land. It is also a popular option for retirees, providing for many rental opportunities in the short term.

Conclusion: Top 3 Reasons for Investing in the 2020 Tampa Real Estate Market

As you’ve heard, you’ll typically be able to find good investment opportunities when a real estate market has job growth, population development and affordability. We believe Tampa, because it has all three, is one of the best places to buy rental property in 2020.

Job Growth: The Tampa metro area is ranked # 15 in the 2018 index of best performing cities in the United States by the Milken Institute

Population Growth: Tampa has a population of 3.1 million, a local economy worth more than $130 billion, and is one of America’s fastest growing metros.

Affordability: An area with predominantly high-priced homes, Tampa still has pockets where investors can find homes at affordable prices, even as low as $150,000 and turn around to rent them over the national average for about $1,485 per month.

Looking to buy rental property in Tampa?

At RealWealth we connect investors in the Tampa metro area with the property teams. The teams we are working with currently offering the following rental investments:

  1. Family only

If you want to view Sample Property Pro Formas, connect with one of the teams that we are working with in Tampa, or talk to one of our Investment Counselors about this or other markets, become a RealWealth member for free. Tap here to lead off.

Also, when communicating with one of the Tampa teams we work with and/or with one of our Investment Counselors, make sure you inquire for investments in Tampa that meet our REAL Income PropertyTM criteria.

3-Florida, Jacksonville

18 Best rental property places to buy by 2020

Located on Florida’s eastern coast, Jacksonville lines both banks of the St. Johns River – Florida’s longest river, and also one of only two North American rivers that flow north rather than south.

The metro area of Jacksonville has grown by nearly 14 percent over the past 10 years. There are more than 1.5 million people living in this area to date, and more still come every year. In fact, the population of Jacksonville has steadily increased at a rate of about 2 percent per annum, and their workforce is also growing at a consistent rate.

There are numerous reasons for that development. For starters, Jacksonville is also the only city in Florida where four Fortune 500 companies are based. The area also has a world-class healthcare network, with more than 20 hospitals and an rising population of biosciences. In addition 13 of Forbes Global 500 have Jacksonville operations.

With living costs below the national average, a wonderful climate and a business-friendly atmosphere, we assume Jacksonville is one of the country’s best real estate investment markets right now.

Housing statistics

  • Median Price for Sales: $189,000
  • Monthly Median Rent: $1,409
  • Income Median Households: $58,709
  • Metro Area: 1.5 M
  • Job growth rate of 1-Year: 3.11 per cent
  • 7 Year growth rate for equity: 75 per cent
  • Population growth of 8 years: 14.75 per cent
  • Occupancy: 3.0 per cent

Quick facts on the housing market

  1. Since 2000, the Jacksonville population has risen nearly 14 percent in size, which is higher than the Miami and Tampa populations.
  2. Jacksonville’s future job growth is forecast to be 39.21 per cent over the next 10 years.
  3. The median home price in Jacksonville is around $189,000, which is 15 per cent lower than the national average.
  4. For about or more than the national average, a standard 3 bedroom home will rent out.
  5. Panama Canal expansion is helping to bring jobs to ports in the Jacksonville area. This is likely to increase population growth even further.
  6. Jacksonville Metro also has a world-class health care network, with over 20 hospitals and a growing population of biosciences.

Conclusion: Top 3 Reasons to Invest in Real Estate Market in Jacksonville in 2020

Jacksonville has made our list of the best places to invest in property for three main reasons: employment growth, population growth and affordability.

Job Growth: Forbes has also ranked Jacksonville # 3 on their list of best U.S. cities for jobs this year with a growth rate of 3.11 percent, 111 percent faster than the national average. The area also has a world-class healthcare network, with more than 20 hospitals and an rising population of biosciences.

Population growth: Jacksonville’s population has grown nearly 15 percent since 2000, and continues to grow by an average of 2 percent per annum. Future job growth is expected to be 39.21 per cent in the next ten years.

Affordability: The median home price in Jacksonville is around $189,000, which is 15 per cent lower than the national average. For more or around the national average, a typical 3 bedroom home can rent out. Both indicators remind us that the Jacksonville metro provides a good cash flow potential.

Would you like to buy rental property in Jacksonville?

At RealWealth we connect investors in the Jacksonville metro area with property teams. The teams we are working with currently offering the following rental investments:

  1. Family only
  2. New Building
  3. Multihousehold (2-4 units)

If you want to show Sample Property Pro Formas, communicate with one of the teams that we are working with in Jacksonville, or speak to one of our Investment Advisors about this or other markets, become a RealWealth member for free. Tap here to lead off.

Also, when connecting with one of Jacksonville ‘s teams we work with and/or with one of our Investment Counselors, make sure that you ask about investments in Jacksonville that meet our REAL Income PropertyTM standards.

4-Alabama, Huntsville

18 Best rental property places to buy by 2020

Alabama’s fourth-largest city, Huntsville is just a 90-mile drive from Birmingham on the I-65 heading north. Huntsville was founded in 1811, and is known for its rich Southern heritage and space missions legacy. During the 1960s, when the Saturn V rocket was built at Marshall Space Flight Center, Huntsville actually received the nickname “The Rocket City,” which later allowed Neil Armstrong and Buzz Aldrin to walk on the moon.

Today, Huntsville is one of the country’s most well-known towns in the Southeast. USA Today declared Huntsville “one of the top communities leading the economic recovery,” while Money magazine called it “one of the most affordable cities in the nation.”

Huntsville is also well-known for its defense, space and development industries. The top employer at Redstone Arsenal is the military, with more than 31,000 jobs. The next bigger employer is NASA Marshall Space Flight Center. The town also houses many Fortune 500 companies that provide the city with a wide base of manufacturing , retail, and service industries.

We believe Huntsville is another of the best places to buy rental property in 2020, because today’s real estate market offers great opportunities for investors. It is one of the most affordable investment markets in the nation, it has a steady job market that provides higher-than – average wages for STEM workers, and a growing population (38 per cent are renters). For investors interested in generating passive monthly income these are good signs.

Housing statistics

  • Actual Median Home Price: $158,750
  • Median Rent: $1,075 per month
  • Income Median Households: $49,060
  • Population: 462,693 People
  • 1-Year growth rate for employment: 2.76 per cent
  • 7 Year growth rate for equity: 34.53 per cent
  • Population growth for 8 years: 10.35 per cent
  • Unemployment rate: 2.3%

Quick facts on the housing market

  1. Huntsville is home to many renowned Universities in the South, including Alabama A&M University, Oakwood University, and Huntsville University of Alabama.
  2. Huntsville is also home to the U.S. Space & Rocket Center, the top paid tourist attraction in Alabama and the largest space museum on earth.
  3. Huntsville is well known for its industry of technology, space, and defence. The top employer at Redstone Arsenal is the military, with more than 31,000 jobs. The next bigger employers are the NASA Marshall Space Flight Center.
  4. There are also several Fortune 500 companies in both cities which provide the area with a broad base of manufacturing, retail and service industries.
  5. Huntsville remains at the forefront of Alabama development. The population has grown more than 10 per cent in the last eight years, which is 80 per cent faster than the national average.
  6. Huntsville enjoys lower rates of taxes and high rents, which raise ROI. And because the average home price is about $158,750 these places do also not split your bank account.

Conclusion: Top 3 Reasons for Investing in the 2020 Huntsville Real Estate Market

To recap, here are the three key factors that make Huntsville one of the best real estate investment cities in 2020.

Job Growth: Huntsville is well known for its industrial technology, space, and defense. The top employer at Redstone Arsenal is the military, with more than 31,000 jobs. The next bigger employers are the NASA Marshall Space Flight Center. The town is also home to several Fortune 500 businesses that provide the area with a broad base of manufacturing, retail and service industries.

Population growth: The population of Huntsville has grown by 10.35 percent in the past 8 years. The national population increased by just 5.76 over the same time period. It tells us that people travel to Huntsville at a higher pace than most other US cities. This type of population growth, coupled with affordable real estate prices and employment growth, is a positive indicator that the real estate market in Huntsville is strong. In the next section learn more about job growth.

Affordability: In some areas, Huntsville also enjoys lower tax rates and affordable rentals, up to 0.97 per cent of the purchase-to-rent ratio, which raises ROI. And the average single family home price of 3 bedrooms is around $158,750, lower than the national average by 28 per cent. That makes Huntsville a great place to purchase rental property in 2020.

Looking to buy rental property in Huntsville?

At RealWealth we link investors in the Huntsville metro area with property teams. The teams we are working with currently offering the following rental investments:

  1. Family only

If you want to view Sample Property Pro Formas, connect with one of the teams that we are working with in Huntsville, or talk to one of our Investment Counselors about this or other markets, become a RealWealth member for free. Tap here to lead off.

Also, when connecting with one of the Huntsville teams we work with and/or with one of our Investment Counselors, make sure you ask about investments in Huntsville that meet our REAL Income PropertyTM standards.

5-Texas, Dallas

Dallas, located in northern Texas, is the nation’s fourth most populous metropolitan area. Historically, due to its strategic position along numerous railroad lines, Dallas was one of the most important centers for the oil and cotton industries.

Many businesses from cities like San Francisco and Los Angeles have started researching the nation in the last five years to find the best cities for relocation, and many of them have chosen Dallas as a prime place to relocate. There are a number of reasons for this, including the business-friendly climate in Texas (i.e. lower manufacturing rates, lower taxes, and lower business regulations) as well as lower employee living costs.

Housing statistics

  • Actual Median Home Price: $215,000
  • Median Rent: $1,624 per month
  • Income Median Households: $79,893
  • Underground population: 7.5 M
  • 1-Year growth rate for employment: 2.70 per cent
  • 7 Year growth rate for equity: 80.67 per cent
  • Population growth of 8 years: 17.33 per cent
  • Unemployment rate: 3.1%

Quick facts on the housing market

  1. Dallas is just slightly more affordable than the nationwide average home. The median buying price for 3 bedroom single family homes in the Dallas metro area in 2019 was $215,000. This is down 3.5 percent from the $222,000 national average.
  2. Dallas is providing an opportunity for investors to generate passive monthly income. In 2019, Dallas’ median monthly rent for 3 bedroom homes was $1,654, which is 0.77 per cent of the $215,000 purchase price. This is higher than the 0.75 per cent national average.
  3. Dallas home prices are growing more quickly than other real estate markets. Three bedroom homes in Dallas have appreciated by 81 percent in the last 7 years (Jan 2012 to Dec 2019). Three bedroom home values appreciated 55 per cent nationwide during the same period.
  4. Dallas is the ninth most populous city in the United States and a major commercial and cultural center in Texas.

Conclusion: Top 3 Reasons for Investing in the Dallas property market by 2020

Job growth: Significant job growth in Dallas. Dallas has added 100,200 new jobs to their economy over the last year, with an annual growth rate of 2.70%, which is significantly higher than the national average of 1.47%. This shows us that, in the Dallas area, more jobs are being created than most other U.S. cities today.

Population Growth: The population of Dallas is increasingly growing. Over the past 8 years , the population in Dallas has grown 17 percent, which is 201 percent faster than the national average. This shows us that people move to Dallas at a higher rate than most other nationwide cities today.

Affordability: The median price for 3 bedroom homes in 2019 was $145,000 in communities where RealWealth members invest. That’s 35 per cent lower than the $222,000 national average. This tells us that home prices and monthly rents are growing higher than most other cities nationwide.

Looking to buy rental property in Dallas?

At RealWealth we link investors to the Dallas metro area property teams. The teams we are working with currently offering the following rental investments:

  1. Family only
  2. New Building
  3. Multihousehold (2-4 units)

If you want to view Sample Property Pro Formas, connect with one of the teams that we are working with in Dallas, or talk to one of our Investment Counselors about this or other markets, become a RealWealth member for free. Tap here to lead off.

Also, when connecting with one of the Dallas teams that we work with and/or with one of our Investment Counselors, make sure that you ask about Dallas investments that meet our REAL Income PropertyTM standards.

6 – Texas, Houston

18 Best rental property places to buy by 2020

When the then-President of the Republic of Texas, Sam Houston, incorporated the City of Houston in 1837, railroad construction was the dominant industry. Since then a lot has changed, but the passion for transportation modes in the city has not. Hint: Houston is NASA’s Mission Control headquarters, with a lot of oil money.

What makes this town one of the best places to purchase rental property by 2020? It has growth in jobs, population growth, and it is still pretty darn affordable!

Houston is home to 49 Fortune 1000 companies, the country’s second-largest concentration of any other city, behind only 72 in New York. Moreover, the world’s largest medical centre, The Texas Medical Center, is located in Houston and receives an average of 7.2 million visitors per year. To date, more cardiac surgeries have been carried out here than anywhere else in the world.

Houston is a stable, homeowner friendly market offering both cash flow and equity growth. And you can have assets STILL far below their replacement value.

Housing statistics

  • Actual Average Home Price: $175,000
  • Median Rent: $1,517 a month
  • Income Average Households: $75,377
  • Underground population: 6.9 M
  • 1-Year growth rate for employment: 2.59 per cent
  • 7 Year growth rate for equity: 60.55 per cent
  • Population growth of 8 years: 17.64 per cent
  • Total unemployment: 3.5 per cent

Quick facts on the housing market

  1. Houston is more competitive than many of today’s US real estate markets. In 2019 there was a median price of $175,000 for three bedroom homes in Houston. This is 21 per cent lower than the $222,000 national average
  2. Houston offers an important opportunity for investors to generate passive monthly income. In 2019, Houston’s median monthly rent for three bedroom homes was $1,517, which is 0.87 per cent of the $175,000 purchase price. This is higher than the 0.75 per cent national price-to-rent ratio.
  3. Houston home prices rose more quickly than other U.S. real estate markets. The median price in 2012 was $104,000 for three bedroom homes in Houston. Three bedroom homes in Houston appreciated by 61 percent over the next 7 years (Jan. 2012 to Dec. 2019).
  4. Houston has been ranked by Forbes as # 10 best city for young entrepreneurs and Business Insider’s # 2 best place to live in the world.

Conclusion: Top 3 Reasons for Investing in the 2020 Houston Real Estate Market

Job Growth: It’s at or near the top for job growth in the U.S. and living costs are well below the national average.

Population growth: The population of Houston has risen 18 percent since 2010. The national population grew by just 2.35 percent during the same period. Houston’s population is growing faster than the national average by 206 per cent. This shows us that people in greater numbers move to Houston than most other American cities, which is a positive indicator of a strong real estate market.

Affordability: The median price of Houston’s three bedroom homes was $175,000 in 2019. This is down 21 per cent from the $222,000 national average. Houston also provides good incentives for investors to produce monthly passive income. In 2019, Houston’s median monthly rent for three bedroom homes was $1,517, which is 0.87 per cent of the $175,000 purchase price. This is higher than the 0.75 per cent national price-to-rent ratio.

Looking to buy rental property in Houston?

At RealWealth we connect investors to Houston metro area property teams. The teams we are working with currently offering the following rental investments:

  1. Family only
  2. New Building
  3. Multihousehold (2-4 units)

If you want to show Sample Property Pro Formas, communicate with one of the teams that we are working with in Houston, or talk to one of our Investment Advisors about this or other markets, become a RealWealth member for free. Tap here to lead off.

Also, when communicating with one of the Houston teams we work with and/or with one of our Investment Counselors, make sure you inquire about investments in Houston that meet our REAL Estate PropertyTM Requirements.

7-Ohio, Cleveland

18 Best rental property places to buy by 2020

Cleveland, Ohio is one of the nation ‘s strongest real estate markets, delivering high cash flow to investors and future growth. Cleveland has the 12th largest economic region in the nation with a workforce of over 2 million people. Cleveland, Ohio is located on the southern shore of Lake Erie, about 60 miles west of the Pennsylvania border.

And the rate is picking up, with just last summer an all-time high of 15,000 moving downtown, mainly made up of the coveted Millennials (ages 18-34). This demographic shift is called the “brain gain,” as the number of young residents with bachelor’s degrees has risen by 139 per cent.

Why? For what? In the past few years Downtown Cleveland has undergone a resurgence with an estimated growth of $19 billion completed or expected since 2010. A 10-acre green space downtown has been redesigned just in the last three years, and has quickly become a meeting place for locals and tourists. The $50million project is just one of many, including developments in commercial and residential real estate.

Housing statistics

  • Actual Median Home Price: $138,000
  • Median Rent: $1,143 per month
  • Income Median Households: $71,582
  • Underground population: 2.1 M
  • Job growth rate of 1-Year: 0.94 per cent
  • 7 Year growth rate for equity: 31.43 per cent
  • Population decline of 8 years: -0.90 per cent
  • Occupancy: 4.2 per cent

Quick facts on the housing market

  1. The fastest growing healthcare economy in the United States (and home to the world famous Cleveland Clinic).
  2. Nation’s first Global Health and Technology Hub and a modern Medical Convention Center.
  3. 10 Headquarters of Fortune 500 companies (Goodyear Tire, Cliffs, Natural Resources, Firstenergy, Sherwin Williams, Eaton Corporation, Travel Centers of America, Aleris, Parker Hannifin, Progressive Insurance and KeyCorp).
  4. Home to three major sports teams bringing in billions of dollars per year to the region.
  5. Job growth continues to increase steadily to 0.94 per cent.
  6. The median price for Cleveland’s 3 bedroom homes in 2019 was $138,000. This is lower than the national average by 38 per cent.

Conclusion: Top 3 Reasons for Cleveland Real Estate Market Investment in 2020

Here’s a summary of the top three factors making Cleveland one of the best cities to buy rental property by 2020:

Work growth: Cleveland has a rapidly growing healthcare and technology market. Millennials are moving quickly into the area to take advantage of the job opportunities at Cleveland businesses, including The Cleveland Clinic, Eaton Corporation, and Key Corp.

Population Growth: While the population of Cleveland has declined in the last eight years , the number of people moving to downtown Cleveland has increased from around 6,000 residents to 20,000. And the pace is picking up, with last year’s all-time high of 12,500 moving downtown, mostly consisting of the coveted Millennials (ages 18-34).

Affordability: The median price is just $105,000 in neighbourhoods where RealWealth members invest. It is 53 per cent lower than the national average of 3 bedroom home. This means the cash flow and appreciation prospects are strong in this business. And that is great news in 2020 for real estate investors.

Would you like to buy rental property in Cleveland?

In the Cleveland metro area we link investors with property teams at RealWealth. The teams we are working with currently offering the following rental investments:

  1. One Family

If you want to view Sample Property Pro Formas, connect with one of the teams that we are working with in Cleveland, or talk to one of our Investment Counselors about this or other markets, become a RealWealth member for free. Tap here to lead off.

Also, when connecting with one of the Cleveland teams that we are working with and/or with one of our Investment Counselors, make sure you ask about Cleveland investments that meet our REAL Income PropertyTM standards.

8-Ohio, Cincinnati

18 Best rental property places to buy by 2020

Cincinnati is a unique, historic town on the Ohio River. Winston Churchill once said that “Cincinnati is the most beautiful of the union’s inland cities.” It looks like many people today agree with Mr. Churchill … that’s one reason why Cincinnati is one of the best places to buy rental property by 2020.

With a population of 2.2 million, Cincinnati is part of the 24th largest metropolitan area in the United States, and is increasing rapidly! In a rush of housing, retail, and commercial development across Warren and Butler counties, both Cincinnati and neighboring city, Dayton, are fast coming together. According to CNBC, with more than 12,000 new inhabitants, a recent report placed Cincinnati among the 15 city’s attracting the most millennials in 2018.

The Cincinnati / Dayton area is among the 25 fastest-developing regions among nations, according to the Brookings institution. But living rates and property prices tend to be far below the national average, making this an affordable and desirable place to live. In 2019, Cincinnati ‘s median monthly rent for three bedroom homes was $1,232 which is 0.75 per cent of the $165,000 purchase price. It is in line with the 0.75 percent national price-to-rent ratio.

Cincinnati has also become a popular destination for new company headquarters and relocation, including 10 Fortune 500 companies and 17 Fortune 1000 companies.

All of these are good signs for investors looking to invest in cash flow property with a strong odds of appreciation, which is why buying rental property in 2020 is made our list of best cities.

Housing statistics

  • Underground population: 2.2 M
  • Income Median Households: $80,277
  • Actual Median Home Price: $165,000
  • Median Rent: $1,232 per month
  • Job growth rate of 1-year: 2.06%
  • 7 Year growth rate for equity: 35.25 per cent
  • Population increase of 8 years: 3.58 per cent
  • Occupancy: 3.8 per cent

Quick facts on the housing market

  1. The area is among the 25 fastest-developing regions of the nation with a increasing population each year.
  2. In 2018, a shopping complex opened for $350 million.
  3. Cincinnati / Dayton is the fourth-largest inland hub in the country.
  4. The area is 4th on new facilities in the US – including the latest 420,000 square-foot Class A office campus from GE Aviation and a latest 80,000 sq ft Proton Therapy Center for cancer research.
  5. Cincinnati also completed an expansion of the $160 Million campus.
  6. In 2019, Cincinnati ‘s median monthly rent for three bedroom homes was $1,232, which is 0.75 per cent of the $165,000 purchase price. This is in line with the 0.75 per cent national price-to-rent ratio.
  7. Cincinnati had just been named by Forbes as one of the best real estate investment markets in 2020.

Conclusion: Top 3 Reasons for Investing in the 2020 Cincinnati real estate market

Job Growth: The Cincinnati metro area has the 4th highest number of new facilities in the United States – including the new 420,000 square-foot Class A office campus of GE Aviation and a new 80,000 sq ft Proton Therapy Center for cancer research. Cincinnati’s employment growth is rising 40 per cent higher than the national average.

Population growth: In the past eight years, the Cincinnati metro population has increased by 3.58 per cent. While that’s below the national average, it’s still increasing. And with living costs below the national average this pattern is likely to continue.

Affordability: In Cincinnati, for $123,000 to $150,000, it is still possible to buy fully renovated cash flow properties in good neighbourhoods.

Looking to buy rental property in Cincinnati?

At RealWealth we connect investors in the Cincinnati metro area with the property teams. The teams we are working with currently offering the following rental investments:

  1. One Family
  2. New Building

If you want to view Sample Property Pro Formas, connect with one of the teams that we are working with in Cincinnati, or talk to one of our Investment Counselors about this or other markets, become a RealWealth member for free.

Also, when connecting with one of the Cincinnati teams that we work with and/or with one of our Investment Counselors, make sure that you ask about Cincinnati investments that meet our REAL Income PropertyTM standards.

9 #-Illinois, Chicago

18 Best rental property places to buy by 2020

Renowned for its soaring skyscrapers and Fortune 500 firms, Windy City is one of the few remaining U.S. markets where you can still find great opportunities for investment.

Chicago does not seem like a “healthy” place to invest in real estate, with higher real estate rates and lower-than – average jobs and population growth. That said, it is one of the nation’s few cities where housing prices have not yet risen above their 2006 levels. While focused on discovering the best demand growth and cash flow, you’ll find certain communities offering homes at $128,000 to $210,000 with rentals as high as 1.13 percent (above the national average) of the purchase price each month.

All of this is good news for investors searching for under-market value properties, with tremendous monthly cash flow and a steady appreciation approach.

Housing statistics

  • Underground population: 9.5 M
  • Income Median Households: $84,000
  • Actual Median Home Price: $210,000
  • Median Rent: $1,679 per month
  • 1-Year growth rate for employment: 0.80 per cent
  • 7 Year growth rate for equity: 41 per cent
  • Population growth of 8 years: 0.29 per cent
  • Unemployment rate: 3.6%

Quick facts on the housing market

  1. Chicago is the 3rd largest city in the United States and one of the world’s top 5 cities with the most economic power.
  2. The average 3 bedroom home median sale price in the Chicago metro area was $210,000.
  3. This is 5 per cent lower than the $222,000 national average for 3 bedroom homes.
  4. The median home price in the areas where RealWealth participants invest was just $128,000 in 2019, which is 42 per cent more affordable than the national average.
  5. The Chicago metro area’s median rent is over $1,679 a month, with more than half the population renting.
  6. Eighty-three per cent of Chicagoans live 1 year or more in a house.
  7. Chicago is home to 30 Fortune 500 companies and boasts a GDP of $500 billion which is more than the combined Norway and Belgium!

Conclusion: Top 3 Reasons to Invest in Real Estate Market in Chicago in 2020

Work Growth: Chicago is the 3rd largest city in the United States and one of the world’s top 5 cities with the most economic strength. There are 30 Fortune 500 firms based in the metro region that have a GDP of $500bn. Chicago ‘s added 37,900 new workers to their economy in the past year.

Population Growth: Real estate rates increased within the city limits of Chicago, forcing residents to migrate out of town and into the suburbs. As a result, prices continue to rise in some of these neighbourhoods. Although population growth in Chicago is far below the national average, it’s important to remember that it is still rising rapidly, which is a positive sign for those looking to invest in more competitive markets.

Affordability: Chicago is one of the last markets where housing prices have not yet risen above their level in 2006, simply because of the tough laws on foreclosure in the state. The median sales price for a Chicago home is $210,000, but mid-level areas will still find homes for sale between $128,000 and $210,000. In the areas where RealWealth members invest, rent 3 bedroom homes for $1,450 a month, which is 1.13 percent of the average selling price of $128,000. This is higher than the national average by 51 per cent. Which means there are fantastic cash flow prospects in Chicago, and there’s also a high chance of recognition.

Looking to buy rental property in Chicago?

At RealWealth we bind investors in the Chicago metro area with property teams. The teams we are working with currently offering the following rental investments:

  • Family only
  • Multi-family (2-4 units) with certain chances under Section 8.

If you want to show Sample Property Pro Formas, communicate with one of the teams that we are working with in Chicago, or talk to one of our Investment Counselors about this or other markets, become a RealWealth member for free. Tap here to lead off.

Additionally, when communicating with one of the Chicago teams that we partner with and/or with one of our Investment Counselors, make sure you inquire for investments in Chicago that meet our REAL Income PropertyTM criteria.

Not sure if paragraph 8 is the right choice for you? See our detailed guide: Is Section 8 Good or Not Good for Landlords?

10 – Indianapolis.

18 Best rental property places to buy by 2020

Indianapolis is the 2nd largest city in the Midwest and 14th largest in the U.S. with a metro area of more than 2.1 million residents. According to Forbes, the town has poured billions of dollars into revitalization and is now ranked among the best downtowns and most livable towns.

Housing costs and annual living costs in Indianapolis are well below the national average, as well. Indy also has a large , diverse job market, great schools and universities and many sporting attractions. In 2019, Indianapolis ‘s median monthly rent for three bedroom homes was $1,172, which is 0.71 per cent of the $164,400 purchase price. That is slightly lower than the 0.75 per cent national price-to-rent ratio. What are all those factors telling us about Indianapolis’ real estate market potential? Just let’s say it’s a good time to become an Indianapolis landlord.

Bonus: for only $80,000-$ 350,000 you can buy like-new properties.

Housing statistics

  • Underground population: 2.1 M
  • Income Median Households: $68,000
  • True Median Home Price: $164,400
  • Median Rent: $1,172 per month
  • Employment growth rate of 1-Year: 0.81 per cent
  • 7 Year growth rate for equity: 45.00 per cent
  • Population growth of 8 years: 8.25 per cent
  • Unemployment rate: 3.1%

Quick facts on the housing market

  1. 3 Fortune 500 Companies in Indianapolis have their headquarters.
  2. 7 “Certified Technology Parks” high-tech with start-up tax incentives.
  3. Big distribution center including Fedex, Amazon, Aim, Celadon Trucking.
  4. Indy is the ONLY U.S. metropolitan region to have concentrations of specialist jobs measured in the study in all five bioscience sectors: agricultural feedstock and chemicals; distribution related to bioscience; medicines and pharmaceuticals; medical instruments and equipment; and analysis, testing, and medical laboratories.

Conclusion: Top 3 Reasons for Investing in the 2020 Indianapolis Real Estate Market

Indianapolis has job creation, population development and affordability, as do most markets on this list. This is why our list of the best places to buy rental property by 2020 has been made. Here’s a review:

Work Growth: Indianapolis is one of the nation’s fastest growing technology hubs, bioscience and Fortune 500 firms. Indeed, Indy is the ONLY U.S. metropolitan area assessed in the study to have specialized concentrations of employment in all five bioscience sectors: agricultural feedstock and chemicals; distribution related to bioscience; drugs and pharmaceuticals; medical devices and equipment; and research, testing, and medical laboratories.

Population Growth: With over 2.1 million residents in the metro area, Indianapolis is the 2nd largest city in the Midwest and 14th largest in the United States. The population of Indy has grown more than 36 percent since 1989, and continues to grow at a rate of nearly 1 percent per year.

Affordability: Indianapolis is one of the few cities in the U.S. where you can purchase like-new, rental-ready properties for only $80,000 to $135,000. In 2019, Indianapolis ‘s median monthly rent for three bedroom homes was $1,172, which is 0.71 per cent of the $164,400 purchase price. That is slightly lower than the 0.75 per cent national price-to-rent ratio. This shows that Indianapolis has an affordable chance of earning passive rental income.

Looking to buy rental property in Indianapolis?

At RealWealth we connect investors in the Indianapolis metro area with property teams. The teams we are working with currently offering the following rental investments:

  1. Family only

If you want to view Sample Property Pro Formas, connect with one of the teams that we work with in Indianapolis, or talk to one of our Investment Counselors about this or other markets, become a RealWealth member free of charge. Tap here to lead off.

Also, when interacting with one of the Indianapolis teams that we work with and/or with one of our Investment Advisors, make sure that you inquire about Indianapolis investments that meet our REAL Estate PropertyTM requirements.

11-Michigan, Detroit

18 Best rental property places to buy by 2020

Why is Detroit one of the best towns in this year to buy rental property? It is the largest city in Michigan state AND it is recognized as the world ‘s automobile capital. This is why many people know it by the nickname “Motor City.” The metro area is home to General Motors, Ford Motor Company, Chrysler (“The Big 3” major U.S. and Canadian automotive companies), which offer a wide range of jobs and invest billions of dollars in infrastructure in the city.

There are also 100 Fortune 500 companies in Detroit including Penske Automotive, Quicken Loans, Kellogg, Whirlpool and Walmart.

Despite its long-standing nickname, in sectors as diverse as education, defense, aerospace, Transportation and logistics, some of Detroit’s fastest growing industries are.

Billionaire Dan Gilbert (the chairman and founder of Rock Ventures and Quicken Loans Inc., as well as the majority owner of Cleveland Cavaliers of the National Basketball Association, the Cleveland Monsters of the American Hockey League, the Cleveland Gladiators of the Arena Football League and the Canton Charge of the NBA Developmental League) has moved numerous companies to Detroit, investing more than $1.6 trillion I trillion.

Major attractions include Detroit Tigers, Detroit Lions, Detroit Red Wings, Wayne State University, Michigan University, Beaumont Hospital, Fox Theatre, and the construction of a new bridge to Canada.

Last year our Real Wealth vetting team made a trip to Detroit to see what is going on there and to find out why investors are jumping back into that market. We are shocked by what we have found! With trillions of dollars in real estate and construction activity, Downtown Detroit is being completely revitalized. Plus, it knocked down many of the dilapidated foreclosures.

In Detroit we found an excellent team that finds discounted properties, fixes them to like-new condition and offers ongoing property management. Somehow they can bring the price points down to about $80,000 (in some cases as small as $50,000) for a fully-renovated, turnkey house. For this reason we conclude that this year Detroit is one of the best places to invest in rental property.

Housing statistics

  • Metropolitan population: 4.3 M
  • Income Median Households: $75,000
  • Actual Median Home Price: $207,000
  • Median Rent: $1,462 per month
  • 1-Job growth rate for 1 year: -0.51 per cent
  • 7 Year growth rate for equity: 99.0 per cent
  • Population growth of 8 years: 0.82 per cent
  • Occupancy: 3.8 per cent

Quick facts on the housing market

  1. There are also 100 Fortune 500 companies in Detroit including Penske Automotive, Quicken Loans, Kellogg, Whirlpool and Walmart.
  2. Despite its long-standing nickname, in sectors as diverse as education, defense, aerospace, Transportation and logistics, some of Detroit’s fastest growing industries are.
  3. The Michigan Business Development Program provides business grants , loans, and other economic aid.
  4. Michigan has flat corporate income tax of 6 per cent, which is the nation’s lowest.
  5. Personal income tax is also at 1.2 per cent among the lowest in the nation.
  6. Michigan has lower living costs, too, than any other Midwestern state.
  7. Since 2010, the Detroit Metro has added more than 45,000 automotive manufacturing jobs, which is more than any other region in the country.

Conclusion: Top 3 Reasons for Investing in the 2020 Detroit Real Estate Market

Work Growth: In the United States, Bureau of Labor Statistics, between 2010 and July 2018, the Detroit job rate rose by 0.82 per cent. The national job count increased by 5.76 percent over the same period. Despite very slow / negative growth, the Detroit metro continues to outperform comparable markets in attracting educated Millennials to their labor force. Possibly because of a number of research universities in this field, including Wayne State University.

Population Growth: People in “less costly” cities have been pursuing companies / jobs. For instance, Billionaire Dan Gilbert (the chairman and founder of Rock Ventures and Quicken Loans Inc., as well as the majority owner of the Cleveland Cavaliers of the National Basketball Association, the Cleveland Monsters of the American Hockey League, the Cleveland Gladiators of the Arena Football League and the Canton Charge of the NBA Developmental League) has moved numerous companies to Detroit, investing over $1.

Affordability: The median price for 3 bedroom homes in 2019 was just $87,000 in the Detroit communities where RealWealth members invest. This is smaller than the national average by 61 per cent. This shows us that Detroit real estate is more affordable than many other markets in the US today.

Looking to buy rental property in Detroit?

In the Detroit metro area we connect investors with property teams at RealWealth. The teams we are working with currently offering the following rental investments:

  1. Family only

If you want to view Sample Property Pro Formas, connect with one of the teams that we work with in Detroit, or talk to one of our Investment Advisors about this or other markets, become a RealWealth member for free. Tap here to lead off.

Also, when communicating with one of the Detroit teams we work with and/or with one of our Investment Advisors, make sure you inquire about investments in Detroit that meet our REAL Estate PropertyTM requirements.

12 – Atlanta, GA

18 Best rental property places to buy by 2020

Situated in the low foothills of the Appalachian Mountains, Atlanta is the third largest metropolitan area in the southeast, behind the Greater Washington and southern Florida.

The Atlanta metro area has experienced rapid population growth for decades to meet the demand for new jobs being developed, many of them in highly paying sectors such as manufacturing. Atlanta ‘s growth today has slowed a bit but if you know where to look, there are still strong investment opportunities to be found. Atlanta ‘s growth today has slowed a little, but not quite.

Housing statistics

  • Metro Population: 5.9 million
  • Income Median Households: $77,000
  • Actual Median Home Price: $189,900
  • Median Rent: $1,434 per month
  • 1-Year growth rate for employment: 2.15 per cent
  • 7 Year growth rate for equity: 109.00 per cent
  • Population increase of 8 years: 12.18 per cent
  • Unemployment rate: 2.9%

Quick facts on the housing market

  1. Between 2018 and 2019, a median of 15.03 percent valued 3 bedroom single-family homes in the Atlanta Metro. This is higher than the 9.90 per cent national average. Median appreciation rose to 109 per cent over a seven-year period, which is 97 per cent faster than the national average.
  2. In the same time, rents appreciated by an average of 4.95 percent for 3 bedroom single family homes in Atlanta.
  3. The population of Atlanta has risen by 12.18% over the past eight years, which is 111% faster than the national average of 5.76%.
  4. In the last year, 60,300 new jobs were generated in Atlanta – a 1.96 per cent annual growth rate. It is a higher pace than the 1.73 per cent national average.

Conclusion: Top 3 Reasons for Investing in the 2020 Atlanta Real Estate Market

Work growth: 53,700 new jobs were generated in Atlanta last year – a 2.15 percent annual growth rate. This is a higher pace than the 1.47 percent national average.

Population growth: The population of Atlanta has increased by 12.18% over the past eight years, which is 111% faster than the national average of 5.76%.

Affordability: In 2019, the median purchase price was $190,000 for 3 bedroom single family homes in the Atlanta area. For 3 bedroom homes, this is 15 per cent lower than the national average of $222,000. That is great news for investors in real estate in 2020.

Interested in buying atlanta rental property?

At RealWealth we bind investors in the Atlanta metro area with property teams. The teams we are working with currently offering the following rental investments:

  1. Family only
  2. New Building

When you want to show Sample Property Pro Formas, communicate with one of the teams that we work with in Atlanta, or speak to one of our Investment Counselors about this or other markets, become a RealWealth member free of charge. Tap here to lead off.

Also, when connecting with one of the Atlanta teams that we work with and/or with one of our Investment Counselors, make sure that you ask about Atlanta investments that meet our REAL Income PropertyTM standards.

13-Ohio, Columbus

18 Best rental property places to buy by 2020

Columbus is Ohio’s capital, Franklin County county seat and the state’s largest city. In recent years, this city has emerged as one of the most technologically advanced cities in the country β€” it is home to the Batelle Memorial Center, the world’s largest private research and development organization, and the third-largest university campus in the country, Ohio State University.

Columbus also offers big opportunities for today ‘s investors. This is particularly true for those looking for an affordable investment, a strong monthly cash flow and a good opportunity for equity growth.

Housing statistics

  • Median Price for Sales: $183,000
  • Median Rent: $1,310 per month
  • Income Median Households: $79,694
  • Population: around 2.1 M
  • Work growth rate of 1-Year: 0.84 per cent
  • 7 Year growth rate for equity: 51.24 per cent
  • Population increase for 8 years: 10.49 per cent
  • Unemployment rate: 3.7%

Quick facts on the housing market

  1. Columbus is reasonably affordable. In 2019, there was a median price of $183,000 for three bedroom homes in Columbus. That’s 18 per cent lower than the $222,000 national average.
  2. One-family homes in Columbus can be rented for as much as 0.90 per cent of the purchase price. This is well above the 0.75 per cent (2019) national average.
  3. Columbus is the country’s 14th-largest city. The metro population of Columbus has increased by more than 10 percent in the last eighth years, higher than the national average of 5.76 percent.
  4. Columbus was ranked fourth-hottest housing market in the country by Realtor.com.
  5. Business Week named Columbus one of the best towns in America to stay and work.

Conclusion: Top 3 Explanations for Columbus Real Estate Market In the year 2020

As mentioned above, three factors are common to most of the best real estate investment markets: job growth, population growth, and affordability. Columbus is certainly no exception …

Job Growth: Between 2018 and 2019 Columbus added more than 9,300 new jobs. While this figure suggests a slowdown in new employment, the rate of growth remains steady.

Population growth: The population of Columbus has increased more than 10 percent over the past eight years, higher than the national average of 5.76 percent, and remains the country’s 14th largest city.

Affordability: Fully renovated properties in good neighborhoods can still be purchased in Columbus for around $100,000.

Looking to buy rental property in Columbus?

At RealWealth we bind investors in the Columbus metro area with the property teams. The teams we are working with currently offering the following rental investments:

  1. Family only

If you want to view Sample Property Pro Formas, connect with one of the teams we work with at Columbus, or talk to one of our Investment Counselors about this or other markets, become a RealWealth member free of charge. Tap here to lead off.

Also, when connecting with one of the Columbus teams that we work with and/or with one of our Investment Counselors, make sure that you ask about Columbus investments that meet our REAL Income PropertyTM standards.

14-Albuquerque, NM

18 Best rental property places to buy by 2020

Set in the center of the Rio Grande Valley, Albuquerque is New Mexico’s most populated city and the 32nd most populated city in the United States.

Albuquerque, New Mexico, is a culturally rich and naturally beautiful metropolitan area, best known for its annual Balloon Fiesta and as the setting for AMC’s hit show “Breaking Bad” Albuquerque is at the center of the “Technology Corridor” in New Mexico, a concentration of high-tech private enterprises and government institutions located along the Rio Grande. Intel, Sandia National Laboratories, Kirkland Air Force Base, and four universities are also located here. And, as Netflix plans to move its new U.S. production hub to the area, we can expect more jobs and movies coming out of the area.

Housing statistics

  • Median Price for Sales: $204,000
  • Median Rent: $1,226 per month
  • Income Mean Households: $65,000
  • Population: 915,927 People
  • Work growth rate of 1-Year: 0.9 per cent
  • 7 Year growth rate for equity: 24 per cent
  • Population growth of 8 years: 3 per cent
  • Total unemployment: 4.5 per cent

Quick facts on the housing market

  1. The median price for Albuquerque’s average three bedroom home in 2019 was $204,000. This is 8 per cent lower than the national median value.
  2. In 2019 , the average monthly rent in the U.S. for an average three bedroom home was $1,670, which is 0.75 per cent of the $222,000 average purchase price.
  3. The population of Albuquerque has risen by 2.96 percent since 2010. During this 7-year period, the national population grew by 5.76 per cent. That tells us that year after year, Albuquerque is experiencing steady growth. And while this growth is not staggering, it is yet another indicator that Albuquerque’s real estate market will remain stable in the years to come.
  4. The number of jobs in the Albuquerque metro increased at a rate of 0.89 percent between November 2018 and November 2019, which is 39 percent slower than the national average.

Conclusion: Top 3 Reasons to invest in the real estate market in Albuquerque by 2020

As mentioned above, three factors are common to most of the best real estate investment markets: job growth, population growth, and affordability. Albuquerque is absolutely no exception …

Job Growth: Between November 2018 and November 2019, the number of jobs on the Albuquerque Metro increased at a rate of 0.89, which is slower than the growth rate of 1.47 percent nationally over that period. While this is slower than the national average, it is still a good sign that more people are moving to the area. More residents mean more affordable housing demand. So this is good news for investors to buy so keep on.

Population growth: Albuquerque’s population has increased by 2.96 percent since 2010. While this is less than the nationwide growth of 5.76 percent, this shows us that year after year Albuquerque is experiencing consistent population growth. And while this growth is not staggering, it is another indicator that in the years to come Albuquerque’s real estate market will continue to be stable.

Affordability: The home values of Albuquerque are 8 per cent more affordable than the national median value. Home prices are 37 percent lower in the areas where RealWealth members spend than the national average home with 3 bedrooms. This shows us that real estate in Albuquerque is unique in terms of affordability.

Looking to buy rental property in Albuquerque?

At RealWealth we link investors in the Albuquerque metro area with the property teams. The teams we are working with currently offering the following rental investments:

  1. Family only

If you want to view Sample Property Pro Formas, connect with one of the teams that we work with in Albuquerque, or talk to one of our Investment Advisors about this or other markets, become a RealWealth member for free. Tap here to lead off.

Also, when communicating with one of the Albuquerque teams that we work with and/or with one of our Investment Counselors, make sure that you inquire for Albuquerque investments that meet our REAL Estate PropertyTM requirements.

15-Alabama, Birmingham

18 Best rental property places to buy by 2020

Located at the foot of the Appalachian Mountains, Birmingham is Alabama’s most populated city and Jefferson County county seat.

At the height of the manufacturing age of the nation, the city grew so rapidly in population that it was nicknamed the “Magic City.” The nickname stuck when they discovered it was also the only city in the world where the three raw ingredients used to make steel (coal, calcareous and iron ore) occur naturally within a radius of ten miles.

What makes buying immovable property one of the best locations in 2020? Well, Birmingham has undergone a significant revitalization over the last few decades, becoming a center for publishing, medical research, banking, construction and service-based enterprises. Today, with its vibrant downtown, burgeoning loft community, and world-class culinary scene, the Magic City is considered one of the most livable cities in the nation. In reality, in 2016 Zagat voted Birmingham to be # 1 Up-and – Coming Food City.

Housing statistics

  • Median Price for Sales: $116,000
  • Median Rent: $1,150 per month
  • Income Median Households: $67,000
  • Population: 1.2 M People
  • 1-Year growth rate for employment: 1.55 per cent
  • 7 Year growth rate for equity: 30.04 per cent
  • Population growth of 8 years: 2.03 per cent
  • Total unemployment: 2.5 per cent

Quick facts on the housing market

  1. Birmingham is relatively accessible. Birmingham’s average home prices are still far below national averages, meaning moving here is more affordable than many other US cities today.
  2. Birmingham provides an opportunity to make cash flow. 3-bedroom single-family homes in Birmingham will rent more than 0.99 percent of the purchase price, which means a good cash flow opportunity is available here.
  3. Birmingham is in stable condition. Birmingham does not experience wild appreciation or depreciation swings, making it more stable than many other cities in the United States today. This means that it is probably less risky to invest here than many other markets too.
  4. Birmingham is ever-growing. Birmingham has experienced both population growth and employment growth at a steady annual rate over the past 7 years. That’s a good sign this market will remain stable for years to come.

Conclusion: Top 3 Reasons for Investing in the 2020 Birmingham Real Estate Market

Employment growth, population growth and affordability are three of the most important factors to consider when assessing a real estate market, as discussed in this article. Here’s how he stacks up Birmingham:

Employment growth: The number of jobs in Birmingham increased by just under 1.55% between November 2018 and November 2019, which is 6% higher than the national average. This shows us that Birmingham is creating more jobs today than other U.S. cities, which is a good sign to investors in real estate. Why? For what? Since growth in jobs contributes to growth in the population and people still need a place to live.

Population growth: The population of Birmingham has grown by 2.03 percent since 2010. Although this is slower than the national average, it does show steady growth. This is a good sign of a real estate market stabilization.

Affordability: home values of Birmingham are 48 per cent lower than the national average, which is a good sign for investors.

Do you like to buy rental property in Birmingham?

At RealWealth we connect investors in the Birmingham metro area with property teams. The teams we are working with currently offering the following rental investments:

  1. Family only

If you want to show Sample Property Pro Formas, communicate with one of the teams that we are working with in Birmingham, or speak to one of our Investment Advisors about this or other markets, become a RealWealth member for free. Tap here to lead off.

Also, when communicating with one of the Birmingham teams that we work with and/or with one of our Investment Advisors, make sure you inquire about investments in Birmingham that meet our REAL Estate PropertyTM requirements.

Pittsburgh, Pennsylvania 16

At over 2.3 million inhabitants the Pittsburgh Metro area is the nation’s 22nd largest. For its 446 bridges, the “Burgh” is known as the “City of Bridges,” and for its former steel manufacturing base, “The Steel City.”

It is home to several large corporations which help stabilize its moderate and growing economy including PNC Financial Services and Federated Investors. Its economy thrives on healthcare , education, technology, robotics, financial services, glass and more recently movie production (the Dark Knight Rises was filmed downtown).

The area is also known for oil and gas production, and is headquarters of major global financial institutions including PNC Financial Services (the fifth largest bank in the nation), Federated Investors, and BNY Mellon ‘s regional headquarters.

It is ranked within the Pittsburgh Post Gazette as one of the top 12 places to invest. It’s also one of the top 10 housing markets for growth and renovation.

Housing statistics

  • Median Price for Sales: $141,000
  • Median Rent: $1,115 per month
  • Income Mean Households: $59,000
  • Underground population: 2.3 M
  • Employment growth rate of 1-Year: 0.68 per cent
  • 6-Year growth trend for equity: 21.00 per cent
  • Five-year growth in population: -1.00 per cent
  • Occupancy: 3.8 per cent

Quick facts on the housing market

  1. The median sale price of 3 single family bedroom homes in Pittsburgh remains small at just $141,000. However, it is possible to buy homes for under $73,000 in certain communities.
  2. The average monthly rent is $1,115 a month or 0.79 per cent of the average purchase price, which provides an opportunity for a sizable and rapid return.
  3. The area is also seeing a steady rise in home value over the past 6 years, with more than 21 per cent equity growth.
  4. Pittsburgh has seen steady growth in jobs in the fields of education and health care, leisure and hospitality, technical and business care and STEM.
  5. In addition, Pittsburgh is home to 15 Fortune 500 firms, Google’s East Coast headquarters and several other high-tech startups.
  6. Business Times ranks Pittsburgh as the # 1 top city to relocate to & Zillow has ranked it among the nation’s top 10 best housing markets.

Conclusion: Top 3 Reasons for Investing in the 2019 Pittsburgh Real Estate Market

Employment Growth: Pittsburgh hasn’t generated as many jobs as other U.S. cities, but there are job gains in many industries in the metro region. For example, 6,773 jobs were created between September 2015 and 2016 in the education and health services, leisure and hospitality, professional and business services, and the STEM sectors. However, the goods-producing industries lost 6,447 jobs, which created near the net decline in employment for the metro region. All this data shows us that there is still a steady increase in demand in Pittsburgh among some “high-value” demographics, including millennials and people in STEM fields.

Population growth: The overall population of Pittsburgh has declined since 2010 but the millennial population has grown substantially. In fact, Pittsburgh ranked # 12 for best towns for millennials in a 2018 study conducted by Niche. It is a positive sign for investors as millennials still prefer renting to buying (in 2017, millennial home ownership is less than 13 per cent nationwide), which means demand for rental homes in Pittsburgh is expected to increase in the coming years.

Affordability: The average selling price of 3 bedroom single-family homes in Pittsburgh remains low at just $141,000, 30% lower than the national average of $202,000.

17-City of Kansas, Missouri

Kansas City is also one of the most affordable cities in the US, widely known for its sports, art and culture. The population in the metro area has increased by 6.15 percent since 2010, with a total population of 2.1 million.

Moreover, in 2014, the region’s gross regional product grew by 2.9%, higher than the national average of 2.2%. Between August 2017 and August 2018, Kansas City has become an important sector for healthcare, IT, manufacturing and the automotive industry, adding some 18,100 jobs. That growth in the economy and population is impressive.

Good news for investors: many Americans have been pursuing companies / jobs in “less costly” cities in recent years, including Kansas City. The result: rental demand is steadily increasing in those affordable markets. That means it’s a really good time to be a landlord in Kansas City. And you guessed that, that’s why we added KC to our best places for buying rental property in 2019.

Housing statistics

  • Underground population: 2.1 M
  • Income Median Households: $45,000
  • Actual Median Home Price: $162,000
  • Median Rent: $1,275 per month
  • Job growth rate of 1-Year: 1.67 per cent
  • 6-Year growth rate for equity: 17.00 per cent
  • Population growth of 7 years: 5.72 per cent
  • Occupancy: 3.9 per cent

Quick facts on the housing market

  1. Kansas City has become one of the hottest locations for renters, which has, in turn, increased demand for more available homes and rented apartments.
  2. There are many affordable homes on the market, including pre-foreclosure and bank-owned properties priced at around $100,000 to $120,000. The average price for a list here is $162,000.
  3. Monthly average rent sits at about $1,275 a month. The median income for households here is around $45,000.
  4. Employment in 2018 continued to rise by 1.67 per cent, adding around 18,100 jobs.

Conclusion: Top 3 Reasons for Investing in the 2019 Kansas City Real Estate Market

Employment growth: Kansas City has become an significant sector for healthcare , Retail, manufacturing and the automotive industry, adding only last year some 18,100 jobs. That growth in the economy and population is impressive.

Population Growth: A lot of Americans have been following companies / jobs in “less expensive” cities in recent years, including Kansas City. The population in the metro area has increased by 6.15 percent since 2010, with a total population of 2.1 million.

Affordability: Kansas City averages a list price of $162,000. However, there are a lot of affordable homes on the market in the metro area, including pre-foreclosure and bank-owned properties priced between $100,000 to $120,000. The monthly average rent is at around $1,275 a month.

18 – Missouri, St. Louis

The St. Louis metro area is home to over 2.8 million people and is the 21st largest metro in the country. It is also one of today’s most stable and affordable real estate markets where investors can buy single family homes for as little as $120,000 and rent them for as little as 1 percent of the purchase price as possible.

St. Louis is popular among real estate investors due to its stable economy, growing technology hub, large metro population and, most notably, the affordable housing market.

While the St. Louis area’s average home price is still below $200,000, there are many metro area pockets with even more affordable entry points ($120K-$130 K) with a monthly rent averaging $1100-$1,200.

Another positive factor for investors is that renters make up 32 percent of the market , which is expected to only increase as young educated millennials for their affordable housing market continue to migrate to St. Louis.

Housing statistics

  • Median Price for Sales (2018-19): $176,000
  • Median Per Month Rent (2018-19): $1,269
  • Income Median Households (2018-19): $60,000
  • Population: 2.8 M (2018-19)
  • 1-Year growth rate for employment (2018-19): 0.72 per cent
  • Five-year growth rate of equity (2018-19): 27 per cent
  • Population growth of 6 years (2018-19): 0.63 per cent
  • Unemployment rate: 4.50 percent (2018-19)

Quick facts on the housing market

  1. St. Louis is reasonably affordable. The average median price for the St. Louis three bedroom home is $176,000. This is 12 per cent lower than the national median value.
  2. The average three bedroom home gross monthly rent in St. Louis is $1,269, which is exactly 0.72 per cent of the $176,000 average selling price.
  3. The population of St. Louis MSA increased by 0.63 percent between July 2010 and July 2017. While this growth is slightly slower than the 5.29 per cent national average, the population continues to grow.
  4. The St. Louis MSA added 9,900 new jobs between June 2017 and 2018-an annual growth rate of 0.72 per cent. Over the same 12-month period, over 2,4 million jobs were created nationwide a 1.64 percent annual growth.

Conclusion: Top 3 Reasons for Investing in the 2019 St. Louis Real Estate Market

As mentioned above, three factors are common to most of the best real estate investment markets: job growth, population growth, and affordability. St. Louis is absolutely no exception …

Work Growth: Between 2017 and 2018 St. Louis added more than 9,900 new jobs. While employment growth has been slower than the national average over the last 12 months, it is important to remember that jobs were created and people moved to the region to claim them. To put it another way, slow growth remains growth.

Population growth: The population of St. Louis has grown by 0.63 percent since 2010. Though this growth is slower than the national average, the population continues to grow. Growth for the future looks promising too.

Affordability: Fully renovated properties in good neighborhoods can still be purchased in St. Louis for under $127,000, which is 37 percent lower than the national average of $200,000.