CNNMoney.com just ran an article listing the top 10 cities in which to buy a rental home. They provide average home prices currently and the current 2011 average gross rental income. Here they are in their listed order:
1. Las Vegas – Home price of $130,000 with gross average rent of $922. While Las Vegas has the highest foreclosure rate in the nation, apparently the people are staying and they need to rent.
2. Detroit – Average home price is $97,800 and the average gross rent is $681. Home prices are down around 37% from their peaks in Detroit. A falloff of another 3% in prices is predicted over the next three years.
3. Warren, MI – With the average home price at $106,400, the average gross rent is at $648 per month. Warren is near Detroit, and home prices have dropped almost as much, at 35% off peak prices.
4. Orlando, FL – Average rent is $980, and the average home price is $165,200. Prices in Orlando are 43% off their peak, but one analyst is predicting a 17% rise in prices over the next three years.
5. Bakersfield, CA – With the average rent at $736/month, and an average home price of $131,000, there is good rental potential in Bakersfield. Home prices have been cut in half, with 15% unemployment. However, the employment picture is improving.
6. Tampa, FL – The average home price is $152,700, and the average gross rent is $832. While prices in Tampa are predicted to slide a little more over the next three years, rents are expected to rise.
7. Phoenix, AZ - $834 average gross rent/month and average home price of $155,600 are the current numbers for this poster child of the housing crash. Rents are on the rise, and one analyst expects rent increases of around $100/month over the next three years.
8. Fort Lauderdale, FL – Home prices are expected to fall some more here. Current average price is $200,000, with an average gross rent of $1090. Rents are projected to increase by about 10% into 2014.
9. Rochester, NY – Rochester hasn’t suffered as much as many markets nationally and in the state. Average home price now is $150,500, and the average gross rent is $825/month. The economy is improving a little, and rents are expected to increase by 15% into 2014.
10. Stockton, CA – Stockton prices declined a big 57% from their peak. Current average home price is $157,100, and the average rent is $821/month. 11% rent increases are expected over the next three years.
Real estate is local, and your area could be one that would be mentioned in this article if it were about the top 50 cities for rental property ownership. Compare your area’s average rent and home prices. It’s a time of great opportunity for rental property investors.
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1. Las Vegas – Home price of $130,000 with gross average rent of $922. While Las Vegas has the highest foreclosure rate in the nation, apparently the people are staying and they need to rent.
2. Detroit – Average home price is $97,800 and the average gross rent is $681. Home prices are down around 37% from their peaks in Detroit. A falloff of another 3% in prices is predicted over the next three years.
3. Warren, MI – With the average home price at $106,400, the average gross rent is at $648 per month. Warren is near Detroit, and home prices have dropped almost as much, at 35% off peak prices.
4. Orlando, FL – Average rent is $980, and the average home price is $165,200. Prices in Orlando are 43% off their peak, but one analyst is predicting a 17% rise in prices over the next three years.
5. Bakersfield, CA – With the average rent at $736/month, and an average home price of $131,000, there is good rental potential in Bakersfield. Home prices have been cut in half, with 15% unemployment. However, the employment picture is improving.
6. Tampa, FL – The average home price is $152,700, and the average gross rent is $832. While prices in Tampa are predicted to slide a little more over the next three years, rents are expected to rise.
7. Phoenix, AZ - $834 average gross rent/month and average home price of $155,600 are the current numbers for this poster child of the housing crash. Rents are on the rise, and one analyst expects rent increases of around $100/month over the next three years.
8. Fort Lauderdale, FL – Home prices are expected to fall some more here. Current average price is $200,000, with an average gross rent of $1090. Rents are projected to increase by about 10% into 2014.
9. Rochester, NY – Rochester hasn’t suffered as much as many markets nationally and in the state. Average home price now is $150,500, and the average gross rent is $825/month. The economy is improving a little, and rents are expected to increase by 15% into 2014.
10. Stockton, CA – Stockton prices declined a big 57% from their peak. Current average home price is $157,100, and the average rent is $821/month. 11% rent increases are expected over the next three years.
Real estate is local, and your area could be one that would be mentioned in this article if it were about the top 50 cities for rental property ownership. Compare your area’s average rent and home prices. It’s a time of great opportunity for rental property investors.
The Business.
This business could be profitable. I'm interested in all.
Thanks for rental list of cities
This is good information to have in the pocket! It just goes to show that when one part of real estate is low the other is higher and vice versa. There will always be demand for some sort of real estate, whether people want to purchase or to rent they have to live somewhere!
I'm glad I am here doing
I'm glad I am here doing deals in Rochester,NY
Great info...
Thank you for passing this information along. It just goes to reinforce that when one aspect of real estate is down, there is a demand for it in a different way.
Are you serious...
...about the Detroit area? I have a friend there who just recently sold his house at roughly $10,000 and supposedly that's what they are about worth in his neighborhood. Detroit 48228, where I grew up...just curious...
Where are John and Lois that Dean about
I am attempting to locate, from John and Lois, the example deal that Dean talked about. It was mentioned in video # 2. Thanks if anyone can help.
Charley
Thanks for the list....
Thanks gdadmin2 for this list, and everything else you send. I am a newbie here at dg family and am very excited and thankful to everyone who contributes positive feedback and helpful advice.
Eager to lock the first deal
First time on a blog, but eager to be posting double digit completed deals before the end of 2011
nice list of cities
definitely good potentials to buy and hold; and in Cali!!
Thanks for letting us know!
Valerie
Important To Know
Great information, and even better for investors living in or close to those areas. Thanks for sharing.
Sandra
Homes in Detroit
Detroit has nice homes for a little of nothing $500,$1200 etc. price are good at this time, Iam from there born and rise 48221 The only thind is you pay a lot of tax home propety,
Thanks for the info