If you’re wanting to invest in real estate, location is everything.
An online real-estate investment management firm (HomeUnion) has identified zip codes in the US in which investors have seen the highest return on investment and little risk over five years. HomeUnion computed the figures utilizing a proprietary methodology. It removed neighborhoods with an average school rating below the 75th percentile.
Usually, areas with good schools have been appealing to long-term investors, though those areas have been tough to locate for remote investors in today’s hot housing market.
The markets with the biggest returns and an average school rating in the 75th percentile or higher made it to the top of the list.
Regardless if you’re looking for a property to rent or a place to live, every home buyer wants to make a clever investment. To find out where you can go, consider every city below.
Dallas takes the top spot. Homes in Dallas are also undervalued in comparison to historic averages and local income.
Jacksonville, FL claims annual home price growth, annual job growth and more than 5 % population growth in the last six years. Homes in Jacksonville are undervalued by more than 7% compared to the historic quota of local income and price.
Another FL city, Orlando, has 7% population growth and 4% annual job growth, both high on the list. A growing economy makes up for a lot of other stuff. With a declining economy, it doesn’t matter if things are solid right now, they are not going to be solid in a few years.
Prices in Seattle rose over 10% last year the most of any city. The average home price is the 2nd highest. In the very top markets, both jobs and population are increasing at high rates and builders aren’t capable of keeping up, which is why home prices have risen rapidly and rental demand is strong.