Real estate is one of the most practical investments you’ll make in your life. A venture into the housing economy is a prosperous one because its products increase in value over time, unlike other goods. In order to reap these benefits, however, it’s also important to be practical about where you put your hard-earned money.
These are the top 10 cities where you should invest in real estate:
- Detroit, MI
While recent news showed a 10.5% dip in commercial real estate sales last year, bestrealestatedirectory.com noted that realtors and investment firms are calling Detroit a “Phoenix.” This is because of the massive land space that’s ripe for investment. You just need a solid property investor lead generation strategy to connect with homeowners of undervalued properties.
- Chicago, IL
Experts forecast that the Windy City will have a strong year in 2019. There will be challenges but, ultimately, there will be multiple interest-rate increases for commercial real estate. The city also has “Opportunity Zones” with special tax rates to encourage investors to place money in economically-challenged communities.
- Los Angeles, CA
You should invest in real estate in Los Angeles because you can attract affluent clientele with properties in the area. There were 18 homes that sold for $25 million in 2017, making it a prime candidate for investments. When you buy a home in the City of Angels as a venture, increase its value by upgrading the kitchen or bathroom, and adding landscaping features.
- Austin, TX
Real estate in Austin, Texas has boomed and will continue to rise—especially with Apple’s announcement to build a campus in the city. Residential and commercial real estate prices have been soaring in the last few years and Austin has flourished, in part, due to tech startups and other large corporations like Google, Facebook, Amazon, and Oracle setting up offices in the area. It’s an excellent time to invest since the median list price per square foot in the city costs about $210—for now.
- Miami, FL
As an investor, you should watch out for the Design District in Miami since it will be the place that will bring you an excellent return on investment (ROI) five years from now. Even if the area has become a commercial destination for locals and tourists, residential properties still have reasonable prices so invest now before they increase.
- Phoenix, AZ
Place your money in Phoenix, Arizona where you can buy properties that fit your budget. There’s a home available in every price range. Moreover, there’s no need for a substantial down payment since a 3 to 5 percent initial deposit is enough to get you to your dream home. It has been predicted, though, that housing prices will increase by summer 2019 so grab the opportunity now.
- Atlanta, GA
Atlanta has exceptional schools, commercial infrastructure, and neighborhoods, which makes it an ideal place to raise a family. Georgia’s capital has also seen a rise in the population of millennials who prefer to rent than buy homes so investing in rental properties like single-detached and multi-family homes is both profitable and practical.
- Memphis, TN
The local economy in Memphis has grown, as proven by the boost in job opportunities in the area. This has resulted in a high demand for housing. Home prices have also seen a reasonable increase last year, between 5 and 10 percent. With more and more people relocating to Memphis for work, this could be your chance to make big money with some rental properties.
- Raleigh, NC
Since most baby boomers are already homeowners, millennials have stepped into the real estate market and are changing the way transactions happen. The majority of the market in this city is clients aged 26 to 38 years old and they are buying homes fast. Take advantage of the demand and invest in the area.
- Cleveland, OH
If you want a real estate market that’s slow and steady, then Cleveland is the place for you. Jobs in the area have been growing at a stable rate with its manufacturing industry. Often, most investors overlook the city in favor of other places with hot markets. However, there are plenty of Cleveland properties in attractive locations that you can get at an affordable price.
Real estate is a significant investment—that’s why you should do your research before pushing through with a purchase. Often, these transactions are a mix of both emotions and rational thought. Be smart about where you plan to invest and make sure that you get twice or thrice your money’s worth.