18 Best Places to Buy Rental Property in 2021 for Cash Flow & Appreciation

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18 Best Places to Buy Rental Property in 2021 for Cash Flow & Appreciation

Summary: In this article, you’ll learn about 18 of the best places to buy rental property in 2021. Discover why each of these markets is a great place to invest, read housing market statistics for each area, trends to know for next 3-5 years and more.

How To Determine the Best Places To Buy Rental Property for 2021

If you’re wondering where to buy real estate in 2021, this article is for you. But before we launch into our recommendations for where to invest this year, there are a few things to note.

First, understand that the best real estate market for you may not be the best one for your neighbor or your coworker. Where you end up investing will depend largely on your personal investment goals.

In my decades of experience buying single and multi family rental properties around the United States and abroad, I’ve found that the best cities to invest in have three factors in common: job growth, population growth and affordability. When you find a market that has all three, you’ll probably be able to find good investment opportunities for both cash flow and appreciation.

There are several cities across the United States where these factors exist today — places where you can buy high cash flow rental property while prices are still low (around $100,000 in many cases), and watch your equity grow.

In this article, you’ll learn about 18 of these best real estate markets for the year 2021. Find out what makes them great places to invest and why.

Where To Buy Real Estate: 18 Cities To Consider in 2021 (and also into 2022)

Please Note: These markets are listed in alphabetical order. Also, please make sure to always do your own due diligence when choosing a real estate market to invest in and an investment property to purchase.

You May Also Like: 28+ Housing Market Predictions for 2021-2025 [Is the Crash Coming?]

#1 - Albuquerque, New Mexico

Albuquerque is a strong real estate market for 2021 because it has solid job growth, steady population growth and affordability. The median metro home price is $219,000 and the average rent is $1,180. Of course, in some neighborhoods, you can find more affordable prices and secure higher rents. For example, in the neighborhoods where many RealWealth members invest the average home price is $150,000 and the average rent is $1,300. This equates to 0.87% of the purchase price, which is higher than the national average.

Albuquerque Housing Market Statistics Chart 2021 - Home Values, Rents, 6 Year Equity Growth & Rent Growth, 9 Year Population Growth, Job Growth

About the Albuquerque Housing Market

Located in the middle of the Rio Grande valley, Albuquerque is the most populous city in the state of New Mexico and the 32nd-most populous city in the United States.

Albuquerque is a culturally rich and naturally beautiful metropolitan area. It’s home to most notably, the University of New Mexico, along with 10 other educational institutions. Albuquerque’s elevation of 5,326 feet is the highest of any metropolitan area in the entire nation.  

At the center of New Mexico’s “Technology Corridor,” Albuquerque has a concentration of high-tech private companies and government institutions. It is also home to Intel, Sandia National Laboratories and Kirtland Air Force Base. 

In 2018, Netflix moved its U.S. production hub to the Albuquerque area. As of November 2020, Netflix plans to expand its production site by 300 acres and agrees to spend more than $1 billion over the next decade. This expansion by Netflix is expected to produce roughly 1,000 more jobs in the coming years. 

Albuquerque’s economy has been impacted by the Coronavirus pandemic, just like the rest of the country. Before the pandemic, New Mexico’s GDP growth rate was fourth-best in the nation, with rising wages. Even with a jump in job losses this last year, the state’s economy should bounce back relatively quickly when COVID-19 is over. 

New Mexico’s property tax rates are among the lowest in the country. Its average property tax rate is 0.78%. As such, property taxes for homeowners in New Mexico were, on average, $800 less than they were nationally. One of the biggest advantages of Albuquerque’s low property tax rate is the potential for stronger cash flow.

Housing Market Statistics

  • Population: 915,000
  • Median Household Income: $59,000
  • 1-Year Job Growth Rate: -3%
  • 6-Year Equity Growth Rate: 26%
  • 9-Year Population Growth: 3%
  • Unemployment Rate: 8.9%
  • Albuquerque Metro Area Home Values & Rents:
    • Median Home Price: $219,000
    • Median Rent Per Month: $1,180 (0.54% price-to-rent ratio, 21% below national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $150,000
    • Median Rent Per Month: $1,300 (0.87% price-to-rent-ratio, 27% above national average)

Housing Market Quick Facts

  1. The median price of the average home in Albuquerque was $219,000 in 2020. This is 14% less than the median value nationwide.
  2. In 2020, the median monthly rent of an average home in the U.S. was $1,700, which is 0.68% of the median purchase price of $254,000.
  3. Since 2010, the population in Albuquerque has increased by 3%. The national population grew by 6% during this 9-year period. This shows us that Albuquerque is experiencing consistent growth year after year. And although this growth isn’t staggering, it’s another indicator that Albuquerque’s real estate market will continue to be stable in years to come.
  4. Between November 2019 and November 2020 the number of jobs in the Albuquerque metro decreased at a rate of 3%, which is 53% better than the national average. One good thing to note is that the unemployment rate has been steadily falling in 2021 as people regain their jobs after the COVID-19 pandemic.  In April 2021, the unemployment rate was 8.2% compared to the 10% unemployment rate in April of 2020.

[Recap] Top 3 Reasons to Invest in the Albuquerque Real Estate Market in 2021

As mentioned, most of the best real estate investment markets have three factors in common: job growth, population growth and affordability. Albuquerque checks all of these boxes.

Job Growth

Between November 2019 and November 2020, the number of jobs in the Albuquerque metro decreased at a rate of 3%, due to the Coronavirus pandemic. However, ABQ fared 53% better than the nation during this period. While there have been job losses over the past year,  people continue to move to the area. More people equals more demand for rental housing. The unemployment rate in this metro has also been dropping in 2021 as people regain their jobs post-pandemic. This is all good news for buy-and-hold investors. 

Population Growth

Since 2010, the population in Albuquerque has increased by 3%. Although this is less than the 6% growth experienced nationwide, this shows us that Albuquerque is experiencing consistent population growth year after year. And while this growth isn’t staggering, it’s another indicator that Albuquerque’s real estate market will continue to be stable in years to come.

Affordability

Albuquerque home values are 14% more affordable than the median value nationwide. In the neighborhoods where RealWealth members invest, home values are 41% less than the average home nationwide. Additionally, the rent to purchase ratio is 0.87%, which is well above the national average. This shows us that Albuquerque real estate is uniquely affordable.

How To Purchase Investment Property in Albuquerque

At RealWealth we refer our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and new construction properties.

To view sample property pro formas and to connect with property teams in the Albuquerque area and other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

#2 - Atlanta, Georgia

The Atlanta housing market is another one of the best places to buy rental property in 2021. The rising number of new jobs is driving Atlanta’s impressive population growth. In the Atlanta metropolitan area, the average home price is $247,000 and median rents are $1,573. The Atlanta housing market offers investors affordable investment opportunities with the potential for impressive equity growth.

Atlanta Housing Market Statistics Chart 2021 - - Home Values, Rents, 6 Year Equity Growth and Rent Growth, 9 Year Population Growth, Job Growth

About the Atlanta Housing Market

Located in the low foothills of the Appalachian Mountains, Atlanta is the third-largest metropolitan region in the Southeast, behind the Greater Washington and South Florida areas.

For decades, the Atlanta metro area experienced rapid population growth to match the demand of new jobs being created, many of them in high-paying sectors, like manufacturing. 

Today, Atlanta’s population is growing 122% faster than the rest of the nation. Since 2010, more than 730,000 people have moved to the Atlanta area, making it the fourth fastest growing metropolitan area in the U.S.

The Hartsfield-Jackson Atlanta International Airport is also the busiest airport in the world, with more than 300,000 passengers a day. The largest employers in the Atlanta metro area include Delta Air Lines (Corporate HQ/Airport), Coca-Cola, Emory University & Emory Healthcare, The Home Depot, Northside Hospital, Piedmont Healthcare, Publix Super Markets, WellStar Health System, The Kroger Co., AT&T, UPS and more. 

Georgia is also one of the top 10 states with the best recovery from the pandemic. Compared to January 2020, consumer spending is only down 1.6% and new jobs are only 8.9% lower than they were at the beginning of the year. 

Atlanta is expected to have a strong recovery from the COVID-19 pandemic. This means there are still good opportunities to purchase rental properties that can appreciate, if you know where to look.

Housing Market Statistics

  • Metro Population: 6 Million
  • Median Household Income: $72,000
  • 1-Year Job Growth Rate: -4%
  • 6-Year Equity Growth Rate: 50%
  • 9-Year Population Growth: 14%
  • Unemployment Rate: 4.7%
  • Atlanta Metro Area Home Values & Rents:
    • Median Home Price: $247,000
    • Median Rent Per Month: $1,573 (0.64% price-to-rent ratio, 6% below national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $200,000
    • Median Rent Per Month: $1,450 (0.77% price-to-rent-ratio, 7% above national average)

Housing Market Quick Facts

  1. Between 2019 and 2020, average homes in the Atlanta metro area appreciated by nearly 7%. This is slightly higher than the national average of 5.3%. Over the last 6 years, homes in Atlanta appreciated by 50%, which is 36% faster than the national average.
  2. During the same period, rents for average homes in Atlanta appreciated by an average 35%.
  3. Over the past 9 years, Atlanta’s population grew by 13.54%, which is 122% faster than the national average of 6%.
  4. In the last year, COVID-19 caused massive job losses nationally as well as in Atlanta. However, in 2019, the job growth rate was higher than the national average. This year, the metro area experienced a job decrease of 4%, which is better than the national job growth rate of -6%.  

[Recap] Top 3 Reasons to Invest in the Atlanta Real Estate Market in 2021

Job Growth

In the last year, Atlanta’s job growth dropped by 4% – an annual growth rate that was 30% better than the national average of -6%. Overall, the job market in Atlanta hasn’t suffered as much as the majority of the country and its unemployment rate remains relatively low.

Population Growth

Over the past 9 years, Atlanta’s population grew by almost 14%, which is 122% faster than the national average of 6%. Atlanta’s metropolitan area is also expected to have around 8.6 million residents by 2050. This is good for investors looking to invest in an area with a large tenant pool.

Affordability

In 2020, the median purchase price of an average single-family home in the Atlanta area was $247,000. This is 3% lower than the national average of $254,000. In the neighborhoods where RealWealth members invest, home values are 21% below the average home nationwide. This is great news for real estate investors looking for solid long-term appreciation in Atlanta.

How To Purchase Investment Property in Atlanta

RealWealth is an education and referral company that connects our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) as well as new construction properties.

To view sample property pro formas and to connect with property teams in the Atlanta area and other markets around the country, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your 100% free membership comes with a variety of benefits (like free strategy sessions) and signing up takes less than 5 minutes.

#3 – Baltimore, Maryland

Baltimore’s real estate market is a good place to buy in 2021 because it has a strong and diverse job market, steady population growth, and affordable housing. In the Baltimore metropolitan area, the average price of a home is $301,000 and the median rent is $1,655. While home values in Baltimore are slightly higher than the national average, it’s possible to find newly remodeled homes for as little as $160,000, with rents around $1,500. Find out why we’re so excited about this exciting market. 

Baltimore Housing Market Statistics Chart 2021 - Home Values, Rents, 6 Year Equity Growth & Rent Growth, 9 Year Population Growth, Job Growth

About the Baltimore Housing Market

Baltimore is the most populated city in the state of Maryland. It’s located about 40 miles from the nation’s capital of Washington D.C.  Baltimore is a large seaport via the Chesapeake Bay, with extensive automobile shipping. The Baltimore metropolitan area has a diverse economy with major industries in health care, education, finance, and insurance. The federal government and military are also a big part of Baltimore’s workforce, with the Federal Social Security Administration headquartered in the city.

A mecca for institutions of higher education, Baltimore is home to some of the most prestigious schools in the country including Johns Hopkins University, Towson University, the University of Maryland–Baltimore, the University of Baltimore, Loyola University, the Notre Dame of Maryland University, the Maryland Institute College of Art and many more. 

The city of Baltimore offers several cultural attractions, especially for art, music, theatre and history buffs. There are multiple state parks in the surrounding area and a wide variety of professional and college sports for fans to choose from. 

The housing market in Baltimore is relatively affordable compared to average incomes. And even with the Coronavirus pandemic forcing a big drop in jobs, in an ordinary year, Baltimore has consistently been adding thousands of jobs. With the influx of jobs expected to restart after the pandemic ends, Baltimore should continue to grow in population, in turn increasing rental demand. 

Housing Market Statistics​

  • Population: 2.8 Million
  • Median Household Income: $69,000
  • 1-Year Job Growth Rate: -6%
  • 6-Year Equity Growth Rate: 12%
  • 9-Year Population Growth: 3%
  • Unemployment Rate: 7.2%
  • Baltimore Metro Area Home Values & Rents:
    • Median Home Price: $301,000
    • Median Rent Per Month: $1,655 (0.55% price-to-rent ratio, 19% below national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $160,000
    • Median Rent Per Month: $1,500 (0.94% price-to-rent-ratio, 38% above national average)

Housing Market Quick Facts

  1. The median price of the average home in Baltimore was $301,000 in 2020. This is 18% above the median home value nationwide.
  2. In 2020, the median monthly rent of an average home in Baltimore was $1,655, just below the national average.  
  3. Since 2010, the population in Baltimore has increased by 3%, which is 49% slower than the national average of 6%. This shows us that Baltimore is experiencing slower, but steady population growth year after year.
  4. Between November 2019 and November 2020 the number of jobs in the Baltimore metro decreased by 6%. However, in a normal year, the job market in Baltimore is creating jobs rapidly.

[Recap] Top 3 Reasons to Invest in the Baltimore Real Estate Market in 2021​

As mentioned, many of the strongest real estate investment markets have three factors in common: job growth, population growth and affordability. Baltimore has all of these factors and more.

Job Growth

Between November 2019 and November 2020, the number of jobs in the Baltimore metro decreased at a rate of 6%, due to the Coronavirus pandemic. However, before COVID-19 hit, the state of Maryland added some 32,000 jobs, a 1.2% increase over the previous 12 months. This shows us that the state is poised for job growth in 2021. Even with job losses over the past year, the Baltimore metro area continues to grow in population. 

Population Growth

Since 2010, the population in Baltimore has increased by 3%. While this is 49% slower than the rest of the nation, it’s still growth. This is another indicator that Baltimore’s real estate market is stable and demand for rental housing should increase as people move there. This is good news for buy-and-hold investors looking for good equity growth.

Affordability

Baltimore’s home values are 18% above the median home value nationwide. In the neighborhoods where RealWealth members invest, the average home rents for $1,500 per month, which is 0.94% of the $160,000 median purchase price.  This is 38% higher than the national average of 0.68%. A higher price-to-rent ratio indicates that Baltimore’s real estate market has a greater opportunity for cash flow.

How To Purchase Investment Property in Baltimore

At RealWealth we refer our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and new construction properties.

To view sample property pro formas and to connect with property teams in the Baltimore area and other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

Data Sources:

#4 – Birmingham, Alabama

Birmingham, Alabama is one of the best places to invest in rental property in 2021 because of its affordability. Its population has also been steadily increasing, jobs are abundant and job losses due to COVID-19 have been relatively low compared to the national average. Average home prices in the Birmingham metro are just $177,900 and the median rent is $1,145. And it’s still possible to find great investment properties in certain neighborhoods for around $120,000. If you’re looking for an affordable real estate investment in 2021, keep reading.

Birmingham Housing Market Statistics Chart 2021 - Home Values, Rents, 6 Year Equity Growth & Rent Growth, 9 Year Population Growth, Job Growth

About the Birmingham Housing Market

Located in the foothills of the Appalachian Mountains, Birmingham is the most-populous city in the state of Alabama and the county seat of Jefferson County. More than 1.2 million people call Birmingham home and it’s population is slowly, but steadily increasing. In fact, Millennials are one of the large demographics moving to the Birmingham area. 

At the height of the nation’s manufacturing age, the city grew so fast in population 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, limestone, and iron ore) occur naturally in a ten-mile radius.

Just minutes from downtown Birmingham, you’ll find thousands of acres of tree-filled greenspace, great for hiking and biking. Barber Motorsports Park is one of the nicest racing facilities in the world and is the host to the Honda Indy Grand Prix–the only city in the deep south on the North American Indy circuit.

What makes it one of the best places to buy real estate in 2021? Well, in the last few decades, Birmingham has undergone a major revitalization, becoming a hub for publishing, medical research, banking, construction, technology, entrepreneurs and service-based companies. In fact, the Birmingham metro has the highest per capita concentration of healthcare workers nationwide.

Today, the Magic City is considered one of the nation’s most livable cities because of its vibrant downtown, burgeoning loft community, and world-class culinary scene. As mentioned above, Birmingham is also very affordable. The average price of a home is $177,900 and the median rent is $1,145, which is an average 0.65% of the purchase price.

Compared to a 6% drop in jobs nationwide in the last year, jobs in the Birmingham metro dropped only 4%. In a Coronavirus-free year, Birmingham’s job growth is 28% better than the rest of the nation, which is another positive indicator of a strong real estate market.    

Keep reading to learn more about why we think the Birmingham real estate market is a good one for 2021. 

Housing Market Statistics​

  • Population: 1.2 Million
  • Median Household Income: $58,000
  • 1-Year Job Growth Rate: -4%
  • 6-Year Equity Growth Rate: 30.04%
  • 9-Year Population Growth: 2.03%
  • Unemployment Rate: 2.5%
  • Birmingham Metro Area Home Values & Rents:
    • Median Home Price: $177,900
    • Median Rent Per Month: $1,145 (0.64% price-to-rent ratio, 5% below national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $120,000
    • Median Rent Per Month: $1,100 (0.92% price-to-rent-ratio, 35% above national average)

Housing Market Quick Facts

  1. Birmingham is affordable. The average home prices in Birmingham are still well below national levels, which means investing here is more affordable than many other U.S. cities today.
  2. Birmingham offers a cash flow opportunity. Average homes in Birmingham can rent for more than 0.92% of the purchase price in certain neighborhoods, which means there’s a strong income opportunity here.
  3. Birmingham is stable. Birmingham is not experiencing wild appreciation or depreciation swings, which makes it more stable than many other U.S. cities today. This means that investing here is likely less-risky than many other markets too.
  4. Birmingham is growing steadily. Over the last 6 years, Birmingham has experienced both population and job growth at a slow, but steady yearly rate. And while this metro has experienced negative job growth this year with the Coronavirus pandemic, it’s fared better than most areas around the country. All good signs that this market will continue to be stable for years to come.

[Recap] Top 3 Reasons to Invest in the Birmingham Real Estate Market in 2021​

As mentioned throughout this article, job growth, population growth and affordability are three of the most important factors to consider when analyzing a real estate market. Here’s how Birmingham stacks up:

Job Growth

Between November 2019 and November 2020, the number of jobs in Birmingham decreased by 4%, compared to a 6% drop nationally. This shows us that while Birmingham’s job market has been negatively impacted by the Coronavirus, it’s doing better than other areas.  This is a good sign for real estate investors because job growth leads to population growth, and people always need a place to live.

Population Growth

Since 2010, Birmingham’s population has grown by 2.70%. Although this is slower than the national average, it does show consistent growth. This is a good sign of stability in a strong real estate market.

Affordability

Birmingham home values are 30% below the national average. However, in the neighborhoods where RealWealth members invest, you can find properties for as little as $119,600, which is 53% lower than the average home price nationwide. And average rents in these areas are $1,100, which is a  0.92% price-to-rent ratio. Alabama is also one of the states with the lowest property tax rates in the nation. Both of these factors combined make Birmingham a strong market for cash flow investors. 

How To Purchase Investment Property in Birmingham

RealWealth is an education company that refers its members to property teams around the United States that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and also new construction properties.

To view sample property pro formas and to connect with property teams in the Birmingham metro and other areas, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

Data Sources:

#5 – Charlotte, North Carolina

The Charlotte housing market is one of the most exciting markets for 2021. Its population is growing incredibly fast because the job market continues to expand and housing is very affordable. In the Charlotte metro area, the median home price is $249,275 and the average rent is $1,502. Investors looking for solid equity growth should keep reading to learn more about the opportunities Charlotte has to offer. 

Charlotte Housing Market Statistics Chart 2021 - Home Values, Rents, 6 Year Equity Growth & Rent Growth, 9 Year Population Growth, Job Growth

About the Charlotte Housing Market

North Carolina is one of the most visited states in the nation. Its landscape is diverse, ranging from beautiful beaches along the Atlantic Ocean to the Great Smoky Mountains.   

Charlotte, the largest and fastest-growing city in North Carolina, has a metro population of 2.5 million. In recent years, there’s been an uptick of Millennials moving to this area. The major reasons young professionals are attracted to Charlotte are because it’s affordable, has job opportunities, is tax-friendly, and has a huge single population. 

Charlotte has a diverse economy with key industries in finance, health care and technology. Some of the biggest companies in the Charlotte area are Bank of America, Wells Fargo, Lowe’s Brighthouse Financial, Atrium Health and Duke Energy. 

While COVID-19 has caused a 5% drop in jobs in the Charlotte metro, faring 14% better than the rest of the U.S. Charlotte’s job market and economy has started to recover over the last few months and should continue in that direction.  

Charlotte’s rapidly growing population, affordability and job growth has brought huge demand for affordable housing, making Charlotte’s real estate market one of the more exciting in the country.     

Housing Market Statistics​

  • Population: 2 Million
  • Median Household Income: $60,000
  • 1-Year Job Growth Rate: -5%
  • 6-Year Equity Growth Rate: 49%
  • 9-Year Population Growth: 17%
  • Unemployment Rate: 8.1%
  • Charlotte Metro Area Home Values & Rents:
    • Median Home Price: $249,275
    • Median Rent Per Month: $1,502 (0.60% price-to-rent ratio, 12% below national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $265,000
    • Median Rent Per Month: $1,750 (0.66% price-to-rent-ratio, 3% below national average)

Housing Market Quick Facts

  1. The median price of the average home in Charlotte was $249,275 in 2020. This is 2% less than the median home value nationwide.
  2. In 2020, the median monthly rent of an average home in Charlotte was $1,502, which is 0.6% of the purchase price.
  3. Since 2010, the population in Charlotte has increased by 17%, which is 181% faster than the national average of 6%. This shows us that Charlotte is experiencing lots of growth year after year. This is another indicator that Charlotte’s real estate market will continue to grow in the coming years.
  4. Between November 2019 and November 2020 the number of jobs in the Charlotte metro decreased 5%. However, the state fared 14% better compared to the rest of the nation, with average job losses of -6%.

[Recap] Top 3 Reasons to Invest in the Charlotte Real Estate Market in 2021​

Charlotte has job growth, population and growth and affordability, all if which make it a strong place to invest in real estate in 2021 and beyond.

Job Growth

Between November 2019 and November 2020, the number of jobs in the Charlotte metro decreased at a rate of 5%, due to the Coronavirus pandemic. However, the job market did 14% better than the rest of the nation during this period. While there have been job losses over the past year, the area continues to grow in population as recapped below. Demand for rental housing will increase as people move to the Charlotte metropolitan area. This is good news for buy and hold investors looking for equity growth.

Population Growth

Since 2010, the population in Charlotte has increased by 17%. This shows us that Charlotte is experiencing incredible population growth, 181% faster than the rest of the nation. This is an indicator that Charlotte’s real estate market is stable and will grow in the future.

Affordability

Charlotte’s home values are 2% more affordable than the median home value nationwide. In the neighborhoods where RealWealth members invest, home values are a little more expensive but rents are also higher.

How To Purchase Investment Property in Charlotte

RealWealth is an education and referral company that connects its members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and new construction properties.

To view sample property pro formas and to connect with property teams in the Charlotte area and other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

Data Sources:

#6 – Chicago, Illinois

Chicago another one of the top cities to invest in rentals in 2021, because as one of the biggest cities in the U.S., it’s densely populated, has a huge job market and still offers relatively affordable prices. The average home in the Chicago metro costs $248,400 and median rent is $1,783. However, there are pockets around Chicago where even more affordable homes can be found with comparable rents. Keep reading to find out why investors are taking a hard look at the Chicago real estate market in 2021. 

Chicago Housing Market Statistics Chart 2021 - Home Values, Rents, 6 Year Equity Growth & Rent Growth, 9 Year Population Growth, Job Growth

About the Chicago Housing Market

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

One of the most notable characteristics of Chicago’s economy is that it is extremely diversified, making it incredibly balanced and stable. Major industries in Chicago include leisure and hospitality, tourism, and private sector companies. 

With lower-than-average job and population growth, Chicago may not seem like a “good” place to invest in real estate. That said, it is one of the few cities in the nation where housing prices still haven’t risen above their 2006 levels. 

When focusing on finding the highest capital growth and cash flow, you’ll find some neighborhoods around Chicago offer homes between $130,000 to $210,000, with rents as high as 1.23% of the purchase price every month! This is significantly above the national average when it comes to price-to-rent ratio! To make matters even better, nearly half of Chicagoans are renters, resulting in a high rental demand. 

All of this is good news for investors looking for below market value properties, with tremendous potential for monthly cash flow and steady appreciation.

Housing Market Statistics​

  • Metro Population: 9.5 Million
  • Median Household Income: $75,000
  • 1-Year Job Growth Rate: -7%
  • 6-Year Equity Growth Rate: 23%
  • 9-Year Population Growth: -0.13%
  • Unemployment Rate: 11.8%
  • Chicago Metro Area Home Values & Rents:
    • Current Median Home Price: $248,000
    • Median Rent Per Month: $1,783 (0.72% price-to-rent ratio, 6% above national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $130,000
    • Median Rent Per Month: $1,600 (1.23% price-to-rent-ratio, 81% above national average)

Housing Market Quick Facts

  1. Chicago is the 3rd largest city in the United States and among the top 5 most economically powerful cities in the world.
  2. The median sale price of the average home in the Chicago metro area was $248,400 in 2020, which is 2% less than the national average of $254,000.
  3. In the neighborhoods where RealWealth members invest, the median purchase price was only $130,000 in 2020, which is 49% more affordable than the national average.
  4. The median rent in the Chicago metro area is $1,783 per month and in the neighborhoods where RealWealth members invest the rents are pretty comparable – an average $1,600 or month or 1.23% of the purchase price. 
  5. Chicago is home to 30 Fortune 500 companies and boasts a $697 billion GDP, which is more than that of Norway and Belgium combined!

[Recap] Top 3 Reasons to Invest in the Chicago Real Estate Market in 2021​

Job Growth

Chicago is the 3rd largest city in the United States and among the top 5 most economically powerful cities in the world. There are 30 Fortune 500 companies headquartered in the metro area, which boast a $697 billion GDP. In the past year, Chicago experienced huge job losses due to the Coronavirus pandemic. During the previous year, Chicago added 37,900 new jobs to its economy. This trend of new jobs should restart in 2021 as the pandemic comes to an end.

Population Growth

Real estate prices have soared within Chicago’s city limits, causing people to move out of the city and into the suburbs. As a result, prices in many of these neighborhoods continue to increase. While Chicago’s population growth is well below the national average, it’s important to note that it’s still consistently growing, which is a good sign for those looking to invest in more stable markets.

Affordability

Chicago is one of the last markets where housing prices have not yet risen past their 2006 levels, simply due to the state’s tough foreclosure laws. The median sale price for a home in Chicago was $248,400, but it’s possible to find homes for sale in mid-level neighborhoods between $130,000 and $210,000.

How To Purchase Investment Property in Chicago

At RealWealth we refer our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and new construction properties.

To view sample property pro formas and to connect with property teams in the Chicago area and other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

Data Sources:

#7 – Cincinnati, Ohio

The Cincinnati metro offers a great opportunity for real estate investors looking for cash flowing properties. The housing market in Cincinnati is affordable, with average home values of $195,387 and median rents of $1,251. While the area isn’t experiencing tons of population growth, people are continuing to move to the area at a steady rate. Learn more about Cincinnati’s housing market in 2021 below.

Cincinnati

About the Cincinnati Housing Market

Cincinnati is a unique and historic city located on the Ohio River. Winston Churchill once said that “Cincinnati is the most beautiful of the inland cities of the union.” It seems like a lot of people today agree with Mr. Churchill. This is one reason why Cincinnati is one of the best places to buy rental property in 2021.

With a population of 2.2 million, Cincinnati is part of the 24th largest U.S. metropolitan area and it’s growing fast! Over the last few years, Cincinnati has attracted a large population of millennials, which continues to rapidly grow.

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

According to the Brookings institution, the Cincinnati and Dayton (more details on Dayton below) areas are among the nations 25 fastest developing regions. Yet the cost of living and the cost of housing are still well below the national average, making this an affordable and attractive place to live.  In 2020, the median monthly rent for an average home in Cincinnati was $1,251, which is 0.64% of the purchase price of $195,387. This is just under the national price-to-rent ratio of 0.68%.

Within certain neighborhoods around the Cincinnati metro area, you can find move-in-ready investment properties with median rents of around $1,755, which is 0.98% of the purchase price of $180,000.

All of these are good signs for investors that are looking to invest in cash flow rental property with a strong chance of appreciation. This is why Cincinnati has made our list of best cities to buy real estate in 2021.

Housing Market Statistics​

  • Metro Population: 2.2 Million
  • Median Household Income: $67,000
  • 1-Year Job Growth Rate: -5.6%
  • 6-Year Equity Growth Rate: 37.51%
  • 9-Year Population Growth: 3.76%
  • Unemployment Rate: 5.1%
  • Cincinnati Metro Area Home Values & Rents:
    • Median Home Price: $195,387
    • Median Rent Per Month: $1,251 (0.64% price-to-rent ratio, 6% below national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $180,000
    • Median Rent Per Month: $1,755 (0.98% price-to-rent-ratio, 43% above national average)

Housing Market Quick Facts

  1. The area is among the nation’s 25 fastest developing regions with a growing population every year.
  2. A $350 million retail complex opened in 2018.
  3. Cincinnati is the country’s 4th largest inland hub.
  4. The area is 4th in the US in new facilities – including GE Aviation’s new 420,000 square-foot Class A office campus and a new 80,000 sq ft Proton Therapy Center for cancer research.
  5. Cincinnati has also completed a $160 Million dollar campus expansion.
  6. In 2020, the median monthly rent for an average home in Cincinnati was $1,251, which is 0.64% of the purchase price of $195,387. This is just below the national price-to-rent ratio of 0.68%.
  7. In the neighborhoods where RealWealth members invest, it’s possible to purchase a rental property for $180,000, with rents around $1,755, making the price-to-rent ratio 0.98%. This is especially attractive for investors looking for cash flow rental property.

[Recap] Top 3 Reasons to Invest in the Cincinnati Real Estate Market in 2021​

Job Growth

The Cincinnati metro area has the 4th largest number of new facilities in the U.S. – including GE Aviation’s new 420,000 square-foot Class A office campus and a new 80,000 sq ft Proton Therapy Center for cancer research. Job growth in Cincinnati is growing 40% faster than the national average.

Population Growth

The Cincinnati metro population has grown 3.76% over the past nine years. Although this is below the national average, it’s still growing. And with a cost of living that is below the national average, this trend will likely continue in 2021.

Affordability

In Cincinnati, it’s still possible to purchase fully renovated cash flow properties in good neighborhoods for $180,000, which is 29% below the average price of homes nationwide.

How To Purchase Investment Property in Cincinnati

RealWealth is an education and referral company that connects our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) as well as new construction properties.

To view sample property pro formas and to connect with property teams in the Cincinnati area and other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

Data Sources:

#8 – Cleveland, Ohio

Cleveland is another one of the best real estate markets for 2021. The overall population has been slowly declining over the past nine years, however, it’s experiencing an increase in its millennial population who are moving to the area because it’s affordable and there are jobs. This is significant, because a large majority of young people prefer to rent (or can’t afford to buy). The median metro home price in Cleveland is $161,415 and average rent is $1,103. Additionally, there are pockets around Cleveland where you can find even lower priced homes with higher rents. Check out the reasons why we like Cleveland’s real estate market in 2021. 

Cleveland Housing Market Statistics Chart 2021 - Home Values, Rents, 6 Year Equity Growth & Rent Growth, 9 Year Population Growth, Job Growth

About the Cleveland Housing Market

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

And the pace is picking up, with a huge number of people moving downtown, mostly comprised of the coveted Millennials (ages 18-34). This demographic shift is referred to as the “brain gain,” since there’s been a 139% rise in the number of young residents with bachelor’s degrees.

Why? Downtown Cleveland has experienced a renaissance over the past several years, with an estimated $19 billion in development completed or planned since 2010. Just in the last few years, a 10-acre green space downtown was redesigned and has quickly become a gathering place for locals and tourists. The $50-million redesign is just one of many commercial and residential real estate developments.

The job market in the Cleveland metropolitan area is also strong. It offers a variety of jobs in industries such as, IT, manufacturing and healthcare. These high-paying positions are plentiful, yet there still aren’t enough qualified professionals to take these jobs. 

With the healthcare industry being a big part of Cleveland’s economy, the city suffered from the impacts of COVID-19. Since then, healthcare jobs are trickling back and should continue to do so in the coming year. 

Although Cleveland’s population is slowly declining, the city is still seeing considerable growth from younger demographics. Most young people are renters, so demand in the Cleveland area should remain high. As such, it’s possible to find cash flowing rental properties to buy in certain neighborhoods around Cleveland. Keep reading to find out why Cleveland is one of the best and most affordable markets on our list.

Housing Market Statistics​

  • Metro Population: 2.1 Million
  • Median Household Income: $58,000
  • 1-Year Job Growth Rate: -9.6%
  • 6-Year Equity Growth Rate: 34.36%
  • 9-Year Population Growth: -1.3%
  • Unemployment Rate: 5.8%
  • Cleveland Metro Area Home Values & Rents:
    • Median Home Price: $161,415
    • Median Rent Per Month: $1,103 (0.68% price-to-rent ratio, 0.50% above national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $120,000
    • Median Rent Per Month: $1,150 (0.96% price-to-rent-ratio, 41% above national average)

Housing Market Quick Facts

  1. Fastest growing healthcare economy in U.S. (and home to world renowned Cleveland Clinic).
  2. Nation’s first Global Center for Health and Innovation as well as a new medical convention center.
  3. 10 Fortune 500 company headquarters (Goodyear Tire, Cliffs, Natural Resources, Firstenergy, Sherwin Williams, Eaton Corporation, TravelCenters of America, Aleris, Parker Hannifin, Progressive Insurance, KeyCorp).
  4. Home to three major sport teams that bring billions of dollars of revenue to the area every year.
  5. In a typical year, job growth slowly, but steadily rises at around 0.94%.
  6. In 2020, the median price of homes in Cleveland was $161,415. This is 37% lower than the national average.

[Recap] Top 3 Reasons to Invest in the Cleveland Real Estate Market in 2021​

Here’s a recap of the top three factors that make Cleveland one of the best cities to buy rental property in for 2021:

Job Growth

Cleveland has the fast-growing healthcare and tech sector. Millennials are moving into the area at a rapid pace to take advantage of the job opportunities available, including The Cleveland Clinic, Eaton Corporation, and Key Corp.

Population Growth

While Cleveland’s population has declined over the last 9 years, the number of people moving to downtown Cleveland has increased over 102% since 2000. And the pace is picking up, with more people moving downtown in the last year. The population growth is mostly made up of the coveted Millennials (ages 18-34).

Affordability

In the Cleveland neighborhoods where RealWealth members invest, the median price of a home is only $120,000, which is 53% less than the average home nationwide. Average rent in these areas is $1,150, which is 0.95% of the purchase price. This means there’s a good opportunity for cash flow and appreciation in this market. And that’s great news for real estate investors in 2021.

How To Purchase Investment Property in Cleveland

RealWealth refers its members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) as well as new construction properties.

To view sample property pro formas and to connect with property teams in the Cleveland area or other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your 100% free membership comes with a variety of benefits (like free strategy sessions and a network of preferred resources) and signing up takes less than 5 minutes.

Data Sources:

#9 – Dallas, Texas

The housing market in the Dallas metro area is has been solid in 2021 and this trend is expected to continue into 2022. One of the reasons for this is because the population continues to grow more than twice as fast as the rest of the nation–much of that growth due to a large and diverse job market. Dallas is also a very affordable place to live. The average price of a home in the Dallas area is $263,688 and median rent is $1,563. However, you can still find great investment properties in certain parts of the Dallas metro, at even lower prices with comparable rents. Learn more about Dallas below.

Dallas Housing Market Statistics Chart 2021 - Home Values, Rents, 6 Year Equity Growth & Rent Growth, 9 Year Population Growth, Job Growth

About the Dallas Housing Market

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

In the last several years, companies from cities like San Francisco and Los Angeles have started exploring the nation to find the best cities for relocation. Many of them have targeted Dallas as a prime spot to relocate. There are a variety of reasons for this, including Texas’ business-friendly environment (ie: lower cost of doing business, lower taxes, and fewer business regulations). Dallas also offers a lower cost of living for employees.

The leading industries within the Dallas metro area include technology, financial services and defense. The Fort Worth area is also a part of the Dallas metro, and has major industries in oil and gas, manufacturing, and aviation/aerospace. The Dallas-Fort Worth metro is home to roughly 43% of all Texans working in the high-tech industry. 

The largest employers in the region include American Airlines, Dallas ISD, Texas Health Resources, Bank of America, Baylor Scott & White, and Lockheed Martin Aeronautics.  

The city of Dallas attracts a diverse population of people with its dense concentration of restaurants and shopping centers, as well as rich culture and extensive art scene. Dallas is also known for its popular sports teams. The NFL’s Dallas Cowboys, NBA’s Dallas Mavericks, MLB’s Texas Rangers, the NHL’s Dallas Stars, MLS’s FC Dallas, and the WNBA’s Dallas Wings. There’s also a major following of college sports fans located around the area.

The good news for real estate investors is that even with a population rising incredibly fast, the area still remains relatively affordable. The average home price in the Dallas metro is $263,688, just 4% above national home prices, on average. Median rents are $1,563, which is 0.60% of the purchase price. 

We especially like real estate around Dallas because it’s still possible to find less expensive, newly-remodeled homes for around $165,000, with average rents of $1,400. This means that in certain neighborhoods, investors can secure a 0.85% price-to-rent ratio, which is well above the national average of 0.68%. Not to mention the 55% equity growth Dallas homes have experienced over the last 6 years, which is 52% faster than the majority of cities around the nation. These indicators show us that there are opportunities to earn both cash flow and appreciation by investing in real estate in the Dallas metro.

Housing Market Statistics​

  • Metro Population: 7.5 Million
  • 1-Year Job Growth Rate: -3%
  • 6-Year Equity Growth Rate: 55%
  • 9-Year Population Growth: 18.48%
  • Unemployment Rate: 7.6%
  • Dallas Metro Area Home Values & Rents:
    • Current Median Home Price: $263,688
    • Median Rent Per Month: $1,563 (0.59% price-to-rent-ratio, 13% below national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $165,000
    • Median Rent Per Month: $1,400 (0.85% price-to-rent-ratio, 25% above national average)
  • Median Household Income: $75,000

Housing Market Quick Facts

  1. Dallas is slightly less affordable than the average home nationwide. In 2020, the median purchase price of an average single family home in the Dallas metro area was $263,688. This is 4% above than the national average of $254,000. However, in some neighborhoods, it’s possible to purchase property for an average $165,000 which is 35% below the national average.
  2. Dallas offers investors an opportunity to generate passive monthly income. In 2020, the median monthly rent for homes in Dallas was $1,563, which is 0.59% of the purchase price of $263,688. This is slightly less than the national average of 0.68%. However, in some neighborhoods, it’s possible to secure rents that are 0.85% of the purchase price, which is 25% above the national average.
  3. Dallas home values are rising faster than other real estate markets. Over the last 6 years, the average home price in Dallas has appreciated by 55%. During the same period, home values appreciated by 36% nationwide.
  4. Dallas is the ninth most populous city in the U.S. and is a huge commercial and cultural hub in Texas. This is likely why the population is growing so rapidly–the area experienced an 18% jump in population between the 2010 and 2019 censuses, which is a whopping 202% faster than the national average.

[Recap] Top 3 Reasons to Invest in the Dallas Real Estate Market in 2021​

Job Growth

In a typical year, Dallas has significant job growth. In the last year, Dallas’ job growth declined by 3%. Compared to the national average of job losses (6%), Dallas fared 46% better. Normally, more jobs are being created in the Dallas area than most other U.S. cities today.

Population Growth

Dallas’ population is growing rapidly. The population in Dallas has increased by 18.48% over the past 9 years, which is 202% faster than the national average. This shows us that people are moving to Dallas at a higher rate than most other cities across the nation today.

Affordability

In the neighborhoods where RealWealth members invest, the median price of an average home was $165,000, with rents of $1,400. To give you perspective, the home prices in these Dallas neighborhoods are 35% lower than the national average of $254,000 while the price-to-rent ratio is 25% higher than the national average. Bonus: Over the past 6 years, homes in Dallas have appreciated 55%! That’s more than double the average appreciation rates around the country during the same period. This shows us that home values and monthly rents are rising more quickly than the majority of cities across the U.S.

How To Purchase Investment Property in Dallas

At RealWealth we refer our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and new construction properties.

To view sample property pro formas and to connect with property teams in the Dallas area and other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

Data Sources:

#10 – Dayton, Ohio

The housing market in Dayton is similar to Cincinnati due to their close proximity to each other. Median home prices in Dayton are $141,072 and the average rent is $994. Dayton is extremely affordable and presents a great opportunity for cash flow real estate investors. It’s actually possible to find rental properties that have price-to-rent ratios of 1.27%, which is 87% above the national average. See what else Dayton’s housing market has to offer investors in 2021 below.

Dayton Housing Market Statistics and Trends 2021

About the Dayton Housing Market

The city of Dayton is located between Columbus and Cincinnati and has nearly 140,000 residents. These areas are all experiencing growth due to a rush of housing, retail and commercial development across Warren and Butler counties. 

One significant investor benefit of this area is that the majority of people living in Dayton rent their homes. Much like Cincinnati, Dayton has been attracting a large population of young people because it’s diverse and has a great nightlife scene. 

As Dayton is a smaller city than Cincinnati and Columbus, it has even more affordable housing. The average home in the Dayton area costs $141,072, and the median rent is $994, both figures well below national averages.

In certain areas around Dayton, there are homes available for around $138,000 with rents as high as $1,755! This means that the price-to-rent ratio can be as high as 1.27% for homes in the Dayton area, which is 87% higher than the 0.68% national average. As such, Dayton is another place where investors can buy affordable and cash-flowing rental property. 

Housing Market Statistics​

  • Population: 2.2 Million
  • Median Household Income: $67,000
  • 1-Year Job Growth Rate: -5.6%
  • 6-Year Equity Growth Rate: 35.89%
  • 9-Year Population Growth: 0.99%
  • Unemployment Rate: 5.1%
  • Dayton Metro Area Home Values & Rents:
    • Median Home Price: $141,072
    • Median Rent Per Month: $994 (0.40% price-to-rent-ratio, 4% above the national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $138,000
    • Median Rent Per Month: $1,755 (1.27% price-to-rent-ratio, 87% above national average)

Housing Market Quick Facts

  1. The Dayton housing market is among the nation’s 25 fastest developing regions with a growing population every year.
  2. A $350 million retail complex opened in 2018.
  3. Dayton is a part of the country’s 4th largest inland hub, including Cincinnati and Columbus.
  4. The metro’s largest employers include Wright-Patterson Air Force Base, Premier Health, Kettering Health Network and Kroger Co.  
  5. In 2020, the median monthly rent for an average home in Dayton was $994, which is 0.70% of the purchase price of $141,072. This is just above the national price-to-rent ratio of 0.68%.
  6. In the neighborhoods where RealWealth members invest, it’s possible to purchase a rental property for $138,000, with rents around $1,755, making the price-to-rent ratio as high as 1.27%. As such, cash flow investors should consider taking a closer look at buying real estate in Dayton.

[Recap] Top 3 Reasons to Invest in the Dayton Real Estate Market in 2021​

Job Growth

The Dayton metro area is growing more slowly than other big cities nearby, however the job market is stable and expanding. With big industries in government, healthcare and retail, Dayton is expected to recover nicely from the Coronavirus pandemic. 

Population Growth

The Dayton metro population has only grown 0.99% over the past nine years. Although this is well below the national average, it’s still growth. And with a cost of living that is below the national average, this trend will likely continue.

Affordability

In Dayton, it’s still possible to purchase fully renovated cash flow properties in good neighborhoods for $138,000, which is 46% below the average price of homes nationwide. The price-to-rent ratio is also 1.27% in some neighborhoods, which is way above the national average of 0.68%. 

How To Purchase Investment Property in Dayton

RealWealth is a referral and education company that connects our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and new construction properties.

To view sample property pro formas and to connect with property teams in the Dayton area and other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

Data Sources:

#11 – Detroit, Michigan

Detroit is another one of the best places to invest in rental properties this year, because of its affordability and strong price to rent ratio in many neighborhoods. In the Detroit metro area, you can expect median home prices of $188,000 and average rents of $1,255. Although the population growth is slower than the national average, people are still moving here at a steady rate, which is a good sign for investors looking for a very affordable and stable real estate market. The job market in Detroit has lost more jobs than most cities around the country due to the COVID-19 pandemic. However, jobs have already started to recover and are expected to grow in 2021. These are three of the major reasons we think Detroit is a strong place to invest this year. For more details, keep reading.

Detroit Housing Market Statistics Chart 2021 - Home Values, Rents, 6 Year Equity Growth & Rent Growth, 9 Year Population Growth, Job Growth

About the Detroit Housing Market

Detroit is the largest city in the state of Michigan AND it’s recognized as the automotive capital of the world. Nicknamed the “Motor City,” the Detroit metro area is home to General Motors, Ford Motor Company, and Chrysler. “The Big 3” major automotive companies in the U.S. and Canada, offer a wide range of jobs and invest billions of dollars into the city’s infrastructure.

Detroit is also home to 100 Fortune 500 companies, including Penske Automotive, Quicken Loans, Kellogg, Whirlpool, and Walmart.

Despite its longstanding nickname, several of Detroit’s fastest-growing industries are in sectors as diverse as healthcare, defense, aerospace, IT and logistics. 

Billionaire Dan Gilbert (the chairman and founder of Rock Ventures and Quicken Loans Inc, as well as the majority owner of the National Basketball Association’s Cleveland Cavaliers, the American Hockey League’s Cleveland Monsters, the Arena Football League’s Cleveland Gladiators and the NBA Development League’s Canton Charge) has moved numerous companies to Detroit, investing over $1.6 Billion in the Detroit area.

Major attractions include Detroit Tigers, Detroit Lions, Detroit Red Wings, Wayne State University, University of Michigan, Beaumont Hospital, and Fox Theater. 

Downtown Detroit is also being totally revitalized with billions of dollars of real estate and construction activity underway. Plus, many of the dilapidated foreclosures have been torn down. 

Construction on the Gordie Howe International Bridge began in 2018, which will span the Detroit River and connect to Windsor, Ontario, Canada. The bridge is scheduled to be completed by 2024 and will provide a toll-free option for travelers.

Even with slower population growth in the Detroit area, it’s still steady growth. The job market is also beginning to recover and should stabilize in 2021. Not to mention the affordability that Detroit has to offer. 

The median home value in the greater Detroit metro area is $188,000, which is 26% below the national average home price of $254,000.

We found an excellent team in Detroit who finds discounted properties, fixes them to like-new condition and offers ongoing property management. Somehow they are able to keep the price points down for fully-renovated, turnkey homes to around $97,500 and collect rents around $1,075 per month. This is why we believe Detroit is one of the best places to invest in rental properties for cash flow in 2021.

Housing Market Statistics​

  • Population: 4.3 Million
  • Median Household Income: $65,000
  • 1-Year Job Growth Rate: -9.86%
  • 6-Year Equity Growth Rate: 48%
  • 9-Year Population Growth: 0.66%
  • Unemployment Rate: 6.3%
  • Detroit Metro Area Home Values & Rents:
    • Median Home Price: $188,000
    • Median Rent Per Month: $1,255 (0.67% price-to-rent-ratio, 2% above national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $97,500
    • Median Rent Per Month: $1,075 (1.10% price-to-rent-ratio, 62% above national average)

Housing Market Quick Facts

  1. Detroit is also home to 100 Fortune 500 companies, including Penske Automotive, Quicken Loans, Kellogg, Whirlpool, and Walmart.
  2. Despite its longstanding nickname, several of Detroit’s fastest-growing industries are in sectors as diverse as healthcare, defense, aerospace, IT and logistics.
  3. The Michigan Business Development Program provides grants, loans, and other economic assistance to businesses.
  4. Michigan has a flat 6% corporate income tax, which is the lowest in the nation.
  5. Personal income tax is also among the lowest in the nation at 1.2%.
  6. Michigan also has a lower cost of living than any other Midwestern state.
  7. Since 2010, more than 45,000 automotive manufacturing jobs have been added to the Detroit Metro, which is more than any other area in the nation.

[Recap] Top 3 Reasons to Invest in the Detroit Real Estate Market in 2021​

Job Growth

According to the U.S. Bureau of Labor Statistics, the employment rate in Detroit increased faster than the national average between 2010 and 2019. However, like most of the nation, Detroit saw huge job losses from the Coronavirus outbreak last year. In a typical year, there is solid job growth in Detroit. The Detroit metro also outperforms similar markets at attracting educated Millennials to their workforce. Likely due to several research universities in the area, including Wayne State University.

Population Growth

People have been following companies and jobs to “less expensive” cities like Detroit over the last several years. It makes sense that companies would want to move to Michigan, because the state’s corporate income tax rate is the lowest in the country. For example, Billionaire Dan Gilbert has moved numerous companies to Detroit, investing over $1.6 Billion in the Detroit area.

Affordability

In the Detroit neighborhoods where RealWealth members invest, the median price of homes in 2020 was only $97,500. This is 62% lower than the national average. This shows us that real estate in Detroit is more affordable than most other U.S. markets today. Not to mention the median rent is $1,075, which is a price-to-rent ratio of 1.10%. This makes the Detroit metropolitan area a great cash flow opportunity for real estate investors in 2021.

How To Purchase Investment Property in Detroit

At RealWealth we refer our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and new construction properties.

To view sample property pro formas and to connect with property teams in the Detroit area and other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

Data Sources:

#12 – Houston, Texas

The Houston metropolitan area housing market is another strong real estate market because of its diverse job market and growing population. The average home in the Houston area costs $225,750 and the median rent is $1,477. Better news, it’s still possible to find even more affordable home prices in certain neighborhoods around Houston. Find out more below about the real estate investment opportunities in the Houston metropolitan area.

Houston Housing Market Statistics Chart 2021 - Home Values, Rents, 6 Year Equity Growth & Rent Growth, 9 Year Population Growth, Job Growth

About the Houston Housing Market

When then-President of the Republic of Texas, Sam Houston, incorporated the City of Houston in 1837, the prevailing industry was railroad construction, oil and gas. A lot has changed since then, but the city’s passion for modes of transportation has not. Houston is the home of NASA’s Mission Control and also the busiest seaport in the U.S. in terms of foreign tonnage.

Today, Houston is now the fourth-largest city in the U.S. and includes 11-counties within Texas. 

Houston has a diverse economy and growing industries in healthcare, digital technology, trade and manufacturing. In fact, about 33% of manufacturers in the state of Texas are located in the Houston area. 

What makes this city one of the best places to buy rental property in 2021? It has job growth, tremendous population growth, AND it’s still pretty darn affordable!

Houston is home to 49 Fortune 1000 companies, which is the second largest concentration of any other city in the country, behind only New York with 72. In addition, the largest medical center in the world, The Texas Medical Center, is located in Houston and gets an average of 7.2 million visitors per year. To date, there have been more heart surgeries performed here than anywhere else in the world.

Houston is a stable, landlord-friendly market that offers both cash flow and equity growth. And you can STILL acquire properties well below their replacement value.

Housing Market Statistics​

  • Population: 7 Million
  • Median Household Income: $70,000
  • 1-Year Job Growth Rate: -5%
  • 6-Year Equity Growth Rate: 30.65%
  • 9-Year Population Growth: 18.81%
  • Unemployment Rate: 9.7%
  • Houston Metro Area Home Values & Rents:
    • Median Home Price: $125,000
    • Median Rent Per Month: $1,476 (0.66% price-to-rent-ratio, 3% below national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $155,000
    • Median Rent Per Month: $1,275 (0.82% price-to-rent-ratio, 21% above national average)

Housing Market Quick Facts

  1. Houston is more affordable than many U.S. real estate markets today. In 2020, the median price of homes in Houston was $224,750. This is 12% lower than the national average of $254,000
  2. Houston offers investors a strong opportunity to generate passive monthly income. In 2020, the median monthly rent for average homes in Houston was $1,477, which is 0.66% of the purchase price of $224,750. This is just below the national price-to-rent ratio of 0.68%. However, in certain neighborhoods, it is possible to find even more affordable properties with comparable rents.
  3. Houston home values have been rising faster than other U.S. real estate markets. Over the last 6 years, homes in Houston appreciated by 30.65%. While this is slightly slower than the national average, it still shows solid equity growth. 
  4. Houston was ranked the #10 best city for young entrepreneurs by Forbes and #2 for best places to live in the world by Business Insider.

[Recap] Top 3 Reasons to Invest in the Houston Real Estate Market in 2021​

Job Growth

It’s currently at, or near the top for job growth in the U.S and the cost of living is well below the national average. The Coronavirus pandemic impacted Houston’s job growth this year with a 5% drop. However, that’s 14% better than job losses nationally. A good sign that Houston’s job market is stable.

Population Growth

Since 2010, Houston’s population has increased by 18.81%. During the same period, the national population grew by only 6%. This means that the population in Houston is growing 208% faster than the national average. This shows us that people are moving to Houston in greater numbers than the majority of other American cities. Another positive indicator of a strong housing market.

Affordability

In 2020, the median price of an average home in Houston was $224,750. This is 12% lower than the national average of $254,000. In the neighborhoods where RealWealth members invest, average home prices are $155,000 and median rents are $1,275 (0.82% of the purchase price). Making the Houston metro area not only affordable, but an opportunity for real estate investors to generate cash flow.

How To Purchase Investment Property in Houston

RealWealth is an education and referral company that connects our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and new construction properties.

To view sample property pro formas and to connect with property teams in the Houston area and other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. It takes less than 5 minutes to sign up for your 100% free membership!

Data Sources:

#13 – Huntsville, Alabama

Investors looking for a solid cash flow rental property in 2021 should check out Huntsville’s real estate market. The job market is strong because of the growing population and affordable home prices (an average of $203,000 in the metro area). Although home values in Huntsville are appreciating more slowly than the national average, the price-to-rent ratio available in some neighborhoods makes it appealing to cash flow investors. Read on to find out the details.  

Huntsville Housing Market Statistics Chart 2021 - Home Values, Rents, 6 Year Equity Growth & Rent Growth, 9 Year Population Growth, Job Growth

About the Huntsville Housing Market

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

Today, Huntsville is one of the most well known cities in the Southeast part of the country. USA Today touted Huntsville as “one of the top communities leading the economic recovery,” while Money magazine named it “one of the nation’s most affordable cities.”

Huntsville is also well known for its technology, space, and defense industries. The top employer is the military with over 31,000 jobs at Redstone Arsenal. NASA Marshall Space Flight Center is the next largest employer. The city is also home to several Fortune 500 companies, which provide a broad base of manufacturing, retail, and service industries to the area.

The Coronavirus negatively impacted Huntsville’s job growth over the last year. That said, the job market fared better than most other cities around the country. And in September 2020, The Huntsville/Madison County Chamber announced new economic development projects coming to the area. These projects will invest more than $71 million into the Huntsville community and add over 500 new jobs. Huntsville is also one of the U.S. metros whose unemployment rates are recovering the most. 

We believe that Huntsville is another one of the best places to buy rental property in 2021, because the real estate market offers great opportunities for investors today. It’s one of the nation’s most affordable investment markets, it has a steady job market that offers STEM workers above average salaries, and a growing population (38% of whom are renters). These are good signs for investors interested in generating passive monthly income.

Housing Market Statistics​

  • Population: 472,000
  • Median Household Income: $54,000
  • 1-Year Job Growth Rate: -4%
  • 6-Year Equity Growth Rate: 28%
  • 9-Year Population Growth: 13%
  • Unemployment Rate: 4.5%
  • Huntsville Metro Area Home Values & Rents:
    • Median Home Price: $202,000
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $145,000
    • Median Rent Per Month: $1,350 (0.93% price-to-rent-ratio, 37% above national average)

Housing Market Quick Facts

  1. Huntsville is home to several prestigious Southern universities, including Alabama A&M University, Oakwood University and the University of Alabama in Huntsville.
  2. The U.S. Space & Rocket Center, Alabama’s top paid tourist attraction and the earth’s largest space museum, is also located in Huntsville.
  3. Huntsville is well known for its technology, space, and defense industries. The top employer is the military with over 31,000 jobs at Redstone Arsenal. NASA Marshall Space Flight Center is the next largest employer.
  4. Huntsville is also home to several Fortune 500 companies, which provide a broad base of manufacturing, retail and service industries to the area.
  5. Huntsville continues to lead the growth in Alabama. In the last nine years the population has grown over 13%, which is 105% faster than the national average.
  6. Huntsville enjoys lower tax rates and high rents, which increase ROI. And since the average home price is $203,000, these areas won’t break your bank account either.

[Recap] Top 3 Reasons to Invest in the Huntsville Real Estate Market in 2021​

To recap, here are the three primary factors that make Huntsville one of the best cities to invest in real estate in 2021.

Job Growth

Huntsville is well known for its technology, space, and defense industries. The top employer is the military with over 31,000 jobs at nearby Redstone Arsenal. NASA Marshall Space Flight Center is the next largest employer. The city is also home to several Fortune 500 companies, which provide a broad base of manufacturing, retail and service industries to the area.

Population Growth

Over the last 9 years, Huntsville’s population has increased 13%. During the same period, the national population grew by only 6%. This shows us that people are moving to Huntsville at a higher rate than most other cities across the United States. This type of population growth, when coupled with affordable real estate prices and job growth, are all positive indicators that the Huntsville real estate market is strong. 

Affordability

Huntsville also enjoys lower tax rates and competitive rents, in some neighborhoods as high as 0.93% of the purchase-to-rent ratio (with $1,350 in monthly rents). The average home price where RealWealth members invest is $140,000, which is 43% lower than the national average. This makes Huntsville an excellent place to buy cash flowing rental property in 2021.

How To Purchase Investment Property in CITY

At RealWealth we refer our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and new construction properties.

To view sample property pro formas and to connect with property teams in the Huntsville area and other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

Data Sources:

#14 – Indianapolis, Indiana

Indianapolis is a very exciting real estate market for 2021 because it’s extremely affordable and the metropolitan area continues to grow at a much faster rate than the U.S. average, thanks to a varied and expanding job market. The average metro home price is $193,000 and the median rent is $1,255. That said, it is possible to find nice homes at even lower prices in certain neighborhoods, and still pull in comparable monthly rents. There’s a lot to love about Indianapolis so keep reading to learn more about investing in this market.

Indianapolis Housing Market Statistics Chart 2021 - Home Values, Rents, 6 Year Equity Growth & Rent Growth, 9 Year Population Growth, Job Growth

About the Indianapolis Housing Market

With a metro area of over 2.1 million people, Indianapolis is the 2nd largest city in the Midwest, the 14th largest in the U.S., and one of the very best real estate markets in Indiana. 

The city of Indianapolis has poured billions of dollars into revitalization and now ranks among the best downtowns and most livable cities, according to Forbes.

Housing costs and the annual cost of living in Indianapolis are also well under the national average. Indy also has a strong, diverse job market, great schools and universities, and plenty of sports attractions. 

Job growth in the Indianapolis metro has declined 3.3% since the onset of the Coronavirus in the U.S. However, the job market has performed 45 percent better compared to the national average. Their unemployment rate is around 6.6%, but jobs are slowly starting to trickle back into the economy and that trend should continue in 2021.

In 2020, the median monthly rent for homes in Indianapolis was $1,255, which is 0.65% of the purchase price of $192,670. This is slightly lower than the national price-to-rent ratio of 0.68%. However, there are areas where more affordable homes can be found with average rents of $1,100, which is 0.88% of the purchase price of $125,000. What do all of these factors tell us about the real estate market potential in Indianapolis? Let’s just say it’s a good time to become a landlord in Indianapolis.

Housing Market Statistics​

  • Population: 2.1 Million
  • Median Household Income: $63,000
  • 1-Year Job Growth Rate: -3.3%
  • 6-Year Equity Growth Rate: 38%
  • 9-Year Population Growth: 9.6%
  • Unemployment Rate: 6.6%
  • Indianapolis Metro Area Home Values & Rents:
    • Median Home Price: $193,000
    • Median Rent Per Month: $1,255.00 (0.65% price-to-rent-ratio, 4% below national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $125,000
    • Median Rent Per Month: $1,100 (0.88% price-to-rent-ratio, 29% above national average)

Housing Market Quick Facts

  1. 3 Fortune 500 Companies have their headquarters in Indianapolis.
  2. 7 high-tech “Certified Technology Parks” with tax incentives to start-ups.
  3. Major distribution hubs including Fedex, Celadon Trucking, Amazon, Target.
  4. Indy is the ONLY U.S. metropolitan area to have specialized employment concentrations in all five bioscience sectors evaluated in the study: agricultural feedstock and chemicals; bioscience-related distribution; drugs and pharmaceuticals; medical devices and equipment; and research, testing, and medical laboratories.

[Recap] Top 3 Reasons to Invest in the Indianapolis Real Estate Market in 2021

Like most of the markets on this list, Indianapolis is a strong real estate market because it has job growth, population growth and affordability. This is why it’s made our list of the best places to buy rental property in 2021. Here’s a recap:

Job Growth

Indianapolis is one of the fastest growing hubs for technology, bioscience and Fortune 500 companies in the nation. In fact, Indy is the ONLY U.S. metropolitan area to have specialized employment concentrations in all five bioscience sectors evaluated in the study: agricultural feedstock and chemicals; bioscience-related distribution; drugs and pharmaceuticals; medical devices and equipment; and research, testing, and medical laboratories.

Population Growth

With a metro area of over 2.1 million people, Indianapolis is the 2nd largest city in the Midwest and 14th largest in the U.S. Since 2012, Indy’s population has grown by 9.6%, which is 57% faster than the rest of the nation.

Affordability

Indianapolis is among the few U.S. cities where you can purchase like-new, rental ready properties for only $125,000. In 2020, the median monthly rent for an average home in Indianapolis was $1,255, which is 0.65% of the purchase price of $192,670. This is slightly lower than the national price-to-rent ratio of 0.68%. In the neighborhoods where RealWealth members invest, the average home is $125,000. Median monthly rents are $1,100, which is 0.88% of the purchase price. This shows that Indianapolis is very affordable with a great opportunity to earn passive rental income.

How To Purchase Investment Property in Indianapolis

RealWealth is an education and referral company that connects our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and new construction properties.

To view sample property pro formas and to connect with property teams in the Indianapolis area or other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

Data Sources:

#15 – Jacksonville, Florida

The Jacksonville metropolitan area has an increasing number of people moving there to fill available jobs in an expanding market. Homes in Jacksonville are slightly more affordable than the national average, with average prices of $240,000. The median rent for a home in Jacksonville is $1,379, also below the national average. Real estate investors seeking excellent appreciation and decent cash flow can find that in the Jacksonville area.

Jacksonville Housing Market Statistics Chart 2021 - Home Values, Rents, 6 Year Equity Growth & Rent Growth, 9 Year Population Growth, Job Growth

About the Jacksonville Housing Market

Located on the eastern coast of Florida, Jacksonville lines both banks of the St. Johns River – the longest river in Florida and also one of only two rivers in North America that flows north instead of south.

In the past 9 years, the Jacksonville metro area has grown by almost 16%. To date, there are over 1.5 million people living in this area, and more continue to come every year. In fact, Jacksonville’s population has been steadily increasing at a rate of about 2% per year, and their workforce has been growing at a consistent rate as well.

There are many reasons for this growth. For starters, Jacksonville is the only Florida city that is home to four Fortune 500 companies. The region also has a world-class health care system, with more than 20 hospitals and a growing bioscience community. Additionally, 13 of Forbes Global 500 have operations in Jacksonville.

Jacksonville has three seaports, four airports and an immense highway and rail system. A large contributor to Jacksonville’s economy is the auto parts industry. There are two major distribution centers in the area, Southeast Toyota (the largest distributor in the country) and General Motors Corp. Within its city limits, Jacksonville has the third-largest military presence in the entire nation. Importing and exporting are another huge source of revenue for Jacksonville as well as the state of Florida.

With a cost of living below the national average, a wonderful climate and a business-friendly environment, we believe Jacksonville is one of the best real estate investment markets in the country right now. It also has a lower than national average tax rate for real estate. 

Housing Market Statistics​

  • Population: 1.5 Million
  • Median Household Income: $59,000
  • 1-Year Job Growth Rate: -4%
  • 6-Year Equity Growth Rate: 43%
  • 9-Year Population Growth: 16%
  • Unemployment Rate: 5%
  • Jacksonville Metro Area Home Values & Rents:
    • Median Home Price: $240,000
    • Median Rent Per Month: $1,379 (0.57% price-to-rent-ratio, 15% below national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $200,000
    • Median Rent Per Month: $1,600 (0.80% price-to-rent-ratio, 18% above national average)

Housing Market Quick Facts

  1. The population in Jacksonville has grown about 16% since 2010, which is higher than Miami and Tampa, respectively. 
  2. Future job growth in Jacksonville is predicted to be 44% over the next 10 years.
  3. In Jacksonville, the median home price is about $240,000, which is 6% less than the national average. A typical home can rent for around $1,379 or more.
  4. The expansion of the Panama Canal is helping to bring jobs into the Jacksonville area ports. This is likely to lead to even more population growth.
  5. The Jacksonville metro also has a world-class health care system, with more than 20 hospitals and a growing bioscience community.

[Recap] Top 3 Reasons to Invest in the Jacksonville Real Estate Market in 2021

There are three main reasons that Jacksonville made our list of the best places to invest in property: job growth, population growth and affordability.

Job Growth

Jacksonville is one of the best cities in the U.S. for jobs. In a typical year, the average yearly job growth rate is right around 3%. Over the next decade, job growth in the Jacksonville metro area is expected to increase 44%. The region also has a world-class health care system, with more than 20 hospitals and a growing bioscience community.

Population Growth

The population in Jacksonville has grown 16% since 2010, and continues to grow by an average 3% annually. Future job growth over the next ten years is predicted to be over 44%.

Affordability

In Jacksonville, the median home price is about $240,000, which is 6% less than the national average. A typical home can rent for around $1,379. In the areas where RealWealth members invest, you can secure average monthly rents of $1,600, which is 0.80% of the purchase price of $200,000.  These factors show us that there’s a strong opportunity for cash flow in the Jacksonville metro.

How To Purchase Investment Property in Jacksonville

At RealWealth we refer our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and new construction properties.

To view sample property pro formas and to connect with property teams in the Jacksonville area and other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

Data Sources:

#16 – Montgomery, Alabama

The Montgomery metropolitan area is an exciting real estate market for 2021 because it offers below-average home prices and the area has strong job growth. Even though the population has slightly declined over the past several years, it still continues to be a desirable place to live and work, due to its low cost of living. 

Median home prices in the Montgomery metro area are $141,000, which is 45% lower than average home values nationwide. In different pockets around Montgomery, investors can buy rental property and charge around $1,350 in monthly rents. With a median purchase price of $145,000, this gives investors a 0.93% price-to-rent ratio. Continue reading to find out more reasons we are excited about Montgomery.

Montgomery Housing Market Statistics Chart 2021 - Home Values, Rents, 6 Year Equity Growth & Rent Growth, 9 Year Population Growth, Job Growth

About the Montgomery Housing Market

Montgomery is the second-largest city in the state of Alabama and the 144th largest metro area in the country. Interestingly, more than 600,000 residents live within 50 miles of Montgomery County. As the capital city of Alabama, Montomgery’s GDP surpasses $17 billion and is ranked as one of the top 200 places for the cost of doing business. 

The major industries that sustain Montgomery’s economy include military and defense, cyber and tech, medical, manufacturing and automotive. The big employers in the Montgomery metro area are Maxwell/Gunter Air Force Base, Hyundai Motor Manufacturing, Koch Foods, GKN Aerospace, Kowa Pharmaceuticals America, Inc., Alabama State University, Troy University and more. The Montgomery Regional Airport also offers direct flights to Atlanta, Charlotte, Dallas, and Washington, D.C. 

Montgomery and Birmingham are two cities in Alabama that investors should keep their eye on. Investors can still buy an average home in Montgomery for around $141,000, with average rental rates of $1,350. 

Housing Market Statistics​

  • Population: 373,000
  • Median Household Income: $50,000
  • 1-Year Job Growth Rate: -5.5%
  • 6-Year Equity Growth Rate: 12%
  • 9-Year Population Growth: -0.49%
  • Unemployment Rate: 7.2%
  • Montgomery Metro Area Home Values & Rents:
    • Median Home Price
    • Median Rent Per Month: $ (0.XX% price-to-rent-ratio)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $
    • Median Rent Per Month: $ (0.XX% price-to-rent-ratio)

Housing Market Quick Facts

  1. Montgomery is incredibly affordable. The average home prices in this metro are still well below national levels, which means investing here is more affordable than most other U.S. cities.
  2. Montgomery offers a cash flow opportunity. Average homes in Montgomery can rent for more than .93% of the purchase price, which means there’s a strong opportunity for cash flow here.
  3. Montgomery is stable. Because it’s not experiencing crazy appreciation or depreciation swings, it is more stable than many other cities today. This means that investing here is  less-risky than many other markets as well.
  4. Montgomery is slightly declining in population. Over the last 6 years, Birmingham has experienced steady job growth but no population growth. And while this metro has experienced negative job growth with the novel Coronavirus pandemic, it’s done better than most areas around the country. All good signs that this market will continue to be stable for years to come–even if the population isn’t going up.

[Recap] Top 3 Reasons to Invest in the Montgomery Real Estate Market in 2021

As mentioned throughout this article, there are three key factors to look at when considering a real estate market:  job growth, population growth and affordability. Here’s how Montgomery is doing in 2021:

Job Growth

Between November 2019 and November 2020, the number of jobs in Montgomery has decreased by 5.5%, compared to a 6% drop nationally. This shows us that while jobs have been lost due to the pandemic, it’s doing better than other cities around the country.  This is a good sign for real estate investors because job growth leads to population growth, and people need housing.

Population Growth

Since 2010, Montgomery’s population has declined just 0.49%. Although this is a lot slower than the national average, a stable and growing job market is a good sign of a good real estate market.

Affordability

Montgomery home values are 45% below the national average, which is another great indicator that extremely affordable homes are out there with the opportunity to produce monthly cash flow.

How To Purchase Investment Property in Montgomery

At RealWealth we refer our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and new construction properties.

To view sample property pro formas and to connect with property teams in the Montgomery area and other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

Data Sources:

#17 – Orlando, Florida

Orlando’s housing market is expected to have a great year in 2021. Its population growth in the previous years has been exceptionally fast and the job market is strong (despite losses due to COVID-19). In the Orlando metro area, the average home costs $262,000 and the median rent is $1,597. It’s also possible to find even more affordable prices in certain neighborhoods and also lock in similar rents. Learn more about all the investment opportunities the Orlando real estate market has to offer in 2021.

Orlando Housing Market Statistics Chart 2021 - Home Values, Rents, 6 Year Equity Growth & Rent Growth, 9 Year Population Growth, Job Growth

About the Orlando Housing Market

The demand for single family homes has been on the rise in the Sunshine State for quite some time. Still, it’s possible to acquire fully renovated properties in good Florida neighborhoods for around $215,000.

What’s even more interesting is that, despite these incredibly low housing prices statewide, many home seekers are choosing to rent instead of buy. As you can imagine, this is causing rental rates to rise and are expected to keep going up in 2021.

On top of great cash flow, values are on an upswing in these areas with no sign of slowing down. They are nowhere near their 2006 highs and inventory levels are still way down because builders just can’t make a profit at these price points.

Property taxes and insurance are also low in Orlando, plus there’s no state income tax in Florida. Add warm weather and exceptional health care, and you can see why many of the 10,000 baby boomers retiring every day are moving to Florida.

Orlando also boasts a rapidly growing population fueled by job seekers, baby boomer retirees, and students who want to live in a “cheap and cheerful” area that offers a high quality of living at a reasonable cost. There are several theme parks in the surrounding area including, Universal Orlando, Walt Disney World, the Magic Kingdom and Epcot.

The Coronavirus pandemic has hit Orlando’s job market and economy harder than most metros in the country. A major reason for this is that Orlando’s economy relies so heavily on tourism, and leisure and hospitality. These industries are an enormous source of income for the city of Orlando. However, in 2021 we should start to see jobs being added back as the COVID-19 vaccination becomes more readily available. 

The good news is that people are still moving to Orlando and the housing market continues to thrive with great levels of appreciation.

Housing Market Statistics​

  • Population: 2.6 Million
  • Median Household Income: $61,000
  • 1-Year Job Growth Rate: -9.5%
  • 6-Year Equity Growth Rate: 50%
  • 9-Year Population Growth: 22%
  • Unemployment Rate: 8%
  • Orlando Metro Area Home Values & Rents:
    • Median Home Price: $262,000
    • Median Rent Per Month: $1,600 (0.61% price-to-rent-ratio, 10% below national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $215,000
    • Median Rent Per Month: $1,500 (0.70% price-to-rent-ratio, 3% above national average)

Housing Market Quick Facts

  1. Orlando is listed as the #1 Best Places to Buy a House by Forbes for the third year in a row. Projections suggest up to a 35% increase in house prices by 2021.
  2. Metro Orlando is the 4th largest metro area in the country, and it’s also the fastest growing metro in the nation.
  3. In a typical year, Orlando is the most visited tourism destination in the country.
  4. The population in Orlando has grown over 22% since the year 2010. To date, Metro Orlando houses over 2.6 million residents.
  5. Rents grew in the last 12 months, but are still 10% below national levels.
  6. Orlando’s projected job growth for the next ten years is the highest in the United States among the 200 largest metros, according to Forbes.
  7. Orlando Medical City boasts a $7.6 billion economic impact and plans to create over 45,000 jobs.

[Recap] Top 3 Reasons to Invest in the Orlando Real Estate Market in 2021​

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

Job Growth

Orlando’s employment growth is among the best in the U.S. with more than 45,000 new jobs created in a typical year. Additionally, a projected growth rate of 3.44% annually is anticipated for the next ten years.

Population Growth

Orlando’s population has grown 259% faster than the national average over the last 9 years. And with all the new jobs coming to the area, it’s very likely this trend will continue in 2021 and into 2022.  (This means the demand for housing is likely to increase.)

Affordability

In Orlando it is still possible to purchase fully renovated properties in good neighborhoods for around $215,000 with average rents of $1,500.

How To Purchase Investment Property in Orlando

As an education and referral company, RealWealth refers our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and also new construction properties.

To view sample property pro formas and to connect with property teams in the Orlando area and other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

Data Sources:

#18 – Tampa, Florida

Tampa is another great real estate market in Florida for 2021. The median purchase price of a home in Tampa is $231,000 and the average rent is $1,557. The housing market in the Tampa metro area stands out because its population is growing 139% faster than the rest of the country. The broad job market, which we’ll highlight below, also brings in a diverse workforce. In the past few years, real estate values in Tampa have increased significantly and this growth is expected to continue in 2021–a good sign for investors looking for appreciation. 

Tampa Housing Market 2021 Stats and Trends

About the Tampa Housing Market

Located on the west coast of Florida, Tampa Bay is a densely populated metropolitan area (second only to Miami), with a population of more than 3.1 million people. Major cities in this area include St. Petersburg, Largo, Clearwater, New Port Richey, Holiday and Tampa.

Akin to Orlando’s climate, residents of Tampa enjoy mild weather all-year round. There are several major attractions in the area including, Busch Gardens and the Tampa Zoo. Sports fans also flock to Tampa as there are a number of professional and collegiate sports teams in the area.

Why is Tampa on our list of best places to buy real estate in 2021? For starters, the local economy is worth over $169 billion and the metro area has been ranked as one of the fastest-growing in the country. Tampa also places a strong focus on job growth in areas such as financial services and healthcare.

Another perk of owning real estate in Florida is it’s lower than average property taxes. The real property tax rate in Florida is 0.98%, compared to 1.08% nationally. 

Without the Coronavirus pandemic, the Greater Tampa Bay area creates more than 34,300 new jobs a year. Ordinarily, the job growth rate is 71% better than the national average. More than 19 firms with annual revenues of over $1 billion are headquartered here and it is home to four Fortune 500 companies. Tampa and surrounding areas continue to be some of the best real estate markets in the country.

Housing Market Statistics​

  • Population: 3.1 Million
  • Median Household Income: $58,000
  • 1-Year Job Growth Rate: -4.4%
  • 6-Year Equity Growth Rate: 58%
  • 9-Year Population Growth: 14.58%
  • Unemployment Rate: 5.6%
  • Tampa Metro Area Home Values & Rents:
    • Median Home Price: $231,000
    • Median Rent Per Month: $1,557 (0.68% price-to-rent-ratio, 1% below national average)
  • RealWealth Neighborhood Home Values & Rents:
    • Median Home Price: $219,000
    • Median Rent Per Month: $1,625 (0.74% price-to-rent-ratio, 9% above national average)

Housing Market Quick Facts

  1. The Tampa area has a population of around 3.1 million. Its local economy is worth over $169 billion, and it’s one of the fastest growing metros in the United States.
  2. An area with mostly high-priced homes, Tampa still has pockets where investors can find homes at affordable prices (even as low as $219,000) and turn around to rent them for around $1,625 a month.
  3. New jobs from Amazon and a talent pipeline from the University of South Florida helped increase employment in the Tampa metropolitan area.
  4. The area has numerous strong Fortune 500 companies including Publix Super Markets Inc., Jabil Circuit Inc., and WellCare Health Plans, Inc.
  5. Tampa remains a fantastic tourism market and one of the best cities to buy real estate. It’s a popular option for retirees as well, providing for many short-term rental opportunities.

[Recap] Top 3 Reasons to Invest in the CITY Real Estate Market in 2021​

As you’ve learned, when a real estate market has job growth, population growth and affordability, you’ll likely be able to find good investment opportunities. We believe Tampa is one of the best places to buy rental property in 2021 because it has all three.

Job Growth

In terms of job losses, the Tampa metro area performed 27% better compared to the rest of the U.S. during COVID-19. In a normal year, the number of new jobs created in the Tampa area has outpaced the national average.

Population Growth

Tampa has a population of 3.1 million, a local economy worth over $169 billion, and is one of the fastest-growing metros in the United States.

Affordability

An area with mostly high-priced homes, Tampa still has pockets where investors can find homes at affordable prices. In the neighborhoods where RealWealth members invest, rental properties can be found for as little as $219,000 and turn around to rent them for around $1,625 a month.

How To Purchase Investment Property in Tampa

At RealWealth we refer our members to property teams around the country that sell single-family and multi-family REAL Income Properties™ (our unique turnkey standard) and new construction properties.

To view sample property pro formas and to connect with property teams in the Tampa area and other markets, become a member of RealWealth by clicking the orange “Join for Free” button in the menu above. Your membership is 100% free and signing up takes less than 5 minutes.

Data Sources:

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