Disproportionate prices, low profitability or skepticism of some to invest again and again in traditional cities, it is time to turn to new markets, emerging but very promising. Detroit, Phoenix, Birmingham, Nashville or Nevada offer great prospects for capital gains and strong property returns. Focus on those regions and cities that see the future and profit in a big way.
Alabama – Birmingham
In addition to having a very low property tax, the city of Birmingham is attractive because it has a large number of real estate seized, available for purchase for a price consequently derisory. Count around $ 60-70,000 for a 3 bedroom home in a decent neighborhood. Add to that an average net profitability of 9.5% and you get a real estate deal!
Michigan – Detroit
Remember, the financial crisis of 2007, which, in a few years, transformed Detroit, the city of the automobile industry, into a ghost town and declared bankrupt in 2013. But that was before. Motor City is up and becoming more attractive than ever. Great champion of the citizen initiative, collaborative agriculture, and a spirit of renewal, Detroit now attracts large companies that want to establish their offices and young entrepreneurs who want to create their start up.
Real estate is doing well: a long-term rental demand with fairly high prices but the price of land is derisory, less than 700 dollars per m2. Real estate offers an average profitability of 11% and, best of all, property income benefits from low taxes. So, what are you waiting for to invest in Detroit?
Arizona – Phoenix
Here, you’ll have everything, sun, dynamism and affordable real estate galore. Yet very touched by the property crisis, Phoenix is reborn from the ashes with a growing job market, supported by the giant Walmart which has its headquarters there. Prices are reasonable and profitability assured in a dynamic market. Bravo! You have found the property, you now need a bank. That’s good, Wells Fargo and Bank of America are also very well established.
Tennessee – Memphis
In Memphis, more than half of the population rents, being mostly low-skilled. The average price of a property in the Greater Memphis area is $ 125,000 and it is $ 80,000 in the center of the city. The cost of living is also very attractive, well below the national average (-15%). More expensive than its neighbor Nashville, it is still home to many real estate opportunities in all neighborhoods, from Downtown to Foyer, Collierville to Arlington.
Tennessee – Nashville
Right now, you think lonely cowboys, nasal voices on harmonica background … henceforth, you will think investment, real estate and profitability. Investors have been interested for years in new markets, cities like Indianapolis, Kansas City, Little Rock, Memphis or Nashville. Typically, the latter suffered a lot from the crisis and began its recovery with a lag behind other cities. It is therefore quite possible to find real estate at low prices (between 80 and 100 000 dollars) with a high potential for profitability.