At any given time, certain cities in the U.S. stand out as favorites among residential real estate investors. Criteria to consider includes population growth, diversity, amenities and opportunities. The following five cities are the top five to own residential investment properties.
1. Memphis, TN
Memphis’ robust job market makes it a fantastic real estate investment city. Healthcare, education, logistics, and manufacturing comprise the city’s economy. This creates a regular flow of jobs, which draws quality tenants. Memphis’ inexpensive housing also attracts real estate investors, since housing prices reflect the city’s reduced cost of living. Investors can buy inexpensive houses and make substantial profits. From single-family houses to multifamily buildings, the city is a terrific market for investors with diverse methods and ambitions. For investors seeking rental income, single-family houses are popular among homeowners.
2. Nashville, TN
Nashville’s robust job market makes it a fantastic real estate investment city. Healthcare, education, and music are key sectors here. This creates a steady flow of job opportunities, which helps attract new residents while ensuring that tenants have sufficient income to pay rent. Population growth in the city is likely to continue, which will raise housing demand and property values. From single-family houses to multifamily buildings, Nashville is a terrific market for investors with diverse tactics and investment strategies. Nashville’s talented labor force, low cost of living, and high quality of life have attracted technological enterprises and startups. In turn, job prospects and population growth raise housing and rental property demand.
3. Denver, CO
Smart real estate investors cite the city’s healthcare, education, technology, and energy industries as reasons to invest. The sheer number of available jobs helps to ensure quality tenants and contributes heavily to Denver’s high in-migration rates. Every year, more people relocate to Denver for jobs, and those new residents need rental housing. In addition, Denver’s housing environment is one with high demand. Even if new residents want to buy right away, they can’t because of the shortage of available single-family homes. This means that more highly-paid residents turn to rentals to meet their housing needs, which is a boon for residential real estate investors. Denver provides a variety of investment choices, from single-family houses to multifamily buildings, making it a good market for investors with diverse methods and ambitions. Denver’s tourist business is another plus for real estate investors. The city draws tourists with its stunning mountain vistas, world-class skiing, and outdoor sports. This can boost rental demand, especially near tourist attractions. Denver also attracts new residents due to its lifestyle appeal. The city has great restaurants, nightlife, museums, and parks, which are known to increase housing demand.
4. Dallas, TX
People are attracted to the affordable living expenses and the high-paying jobs in Dallas. If you’re a real estate investor looking to invest in Texas, Dallas is a great place to start. Not only does it have a growing economy and a growing population, but it has a lot to offer. A big part of Dallas’ success comes from its diversified economy. It is a thriving business area and has become a business magnet for companies from all over the country. Dallas is home to thousands of companies and is a major player in the employment market. With an economy that operates on a low tax and regulation basis, many innovative companies have chosen to relocate to the metroplex. This Texas city has a rich history and a strong sense of tradition. It’s been a top contender for job growth and has become the second-largest job market in the nation. The Dallas-Fort Worth-Arlington metropolitan area is currently the fourth-largest in the United States. Dallas itself has a population of more than 6 million. This metro is expected to grow by about 10 million people by the end of the century. Many of the residents are immigrants, and the number of college graduates has also increased. Dallas is the perfect location for rental properties.
5. Austin, TX
Austin, Texas is becoming more and more popular with real estate investors and people looking to relocate. It’s a city that attracts a diverse and young population, making it a great place for everyone. This also means that the real estate market has lots of opportunities for investors to make a profit. As Austin continues to gain popularity, it’s attracting new businesses, creating new job opportunities for both residents and real estate investors. This is a major reason why real estate investors should look into purchasing rental properties in the area. The city is attracting large tech companies such as Amazon and Tesla. These companies have both leased 330,000 square feet of space in Austin. While the city has experienced a strong rise in rent prices in the last few years, it’s important to note that this is not due to a bubble. Both renters and investors are still getting good value for their money. Austin is home to many large companies. This includes 49 Fortune 500 businesses. For example, Amazon has recently signed a 330,000 square foot lease in Austin. In addition, the company has already brought 3,000 jobs to the city. A growing young business population is driving demand for housing. That’s why there are now more construction projects underway to meet that demand. Real estate investors will also benefit from the increasing number of young professionals moving to Austin. Many young millennials are drawn to the city because of the lower cost of living and the low taxes.
As a residential real estate investor seeking the best cities to put your money, it’s worth it for you to consider these top five cities to own residential investment properties.