It’s no secret that real estate across the country is in major boom right now. Just consider the following:
- Home prices are increasing twice as fast as income growth (which means it’s prime time to start investing)
- Despite this explosive growth, experts believe we’re nowhere close to another housing bubble (though there are some cities inching closer to a bubble)
- There were 6 million units sold in March of this year alone, the median price of which was a whopping $250,400
We could go on, but you get the idea. Real estate is hot and it’s time you got a piece of that for yourself, right? Well, to minimize your risk and maximize your investment, you’re going to want to invest in some locations that are hot.
Find five of the hottest up and coming real estate markets in America below. If you need a commercial bridge loan, call us now at 855.505.LEND to find out why we’re one of the nation’s premier commercial lenders.
Nashville led the country in growth last year, with appreciation of around 4%. It’s easy to see why. With a large tourist scene, plenty of employment opportunities in the healthcare industry, and a culture that celebrates diversity, Nashville’s booming in popularity with younger generations.
Incomes are rising by about 1.1% per year, while the unemployment rate is very low, clocking in at only 4%. In fact, Nashville has been ranked among the ten top real estate markets in the country for three years straight. It dropped a bit last year but make no mistake – investing in Nashville will likely remain a smart move for years to come.
Atlanta has been a known real estate hot spot for a number of years now. It exploded this past year, though. Homes rose in value by about 12% and the average price per square foot of a home rose from $189 to $207. Rent prices have also been climbing and are at an all-time high of around $1,500 per month, up from $1,300 in February of 2017.
Despite this growth, or maybe because of it, investment has slowed a bit. There were fewer homes sold last year than in the previous one. Still, there’s demand from a huge population, plenty of employment opportunities, the presence of major Hollywood studios, and a number of areas still left to develop.
All of this means that Atlanta is a smart place to invest in. You can even take advantage of home sales slowing to negotiate prices and get yourself a once-in-a-lifetime deal.
Compared to Atlanta and Nashville, housing prices are rising at a glacially slow 3.6%. Still, that’s not too shabby at all. It gets even better when you factor in Denver’s extremely low unemployment rate of 2.9%, its attractiveness to the tech sector and outdoor types, and its status as one of the hubs of the nation’s $9 billion recreational marijuana industry.
Oh, and did we mention the average price for a single-family home in Denver topped $500,000?
Despite this growth, some sources believe the city’s real estate marketing is due for a bubble and soon. We don’t necessarily think that’s the case, but regardless you’re going to want to invest smartly in Denver.
Portland real estate is expected to appreciate by 5.2% this year. Despite that colossal growth, it’s nowhere near 2016’s 15% increase. Again, this sharp rise in prices brought with it fewer sales, but there is still plenty of prime picking for the savvy investor.
Unemployment is a bit higher than the other cities on our list at 4.8%, but income growth is strong at about 1%. With a young population, plenty of recreation options, and a strong focus on economic growth, Portland is likely to stay on our list of hot markets for a long time.
Let’s start with the facts:
- Home prices in Seattle jumped around 6% in 2017
- They jumped again this year, surpassing their record high numbers during the 2000’s boom
- The average cost of a single-family home? A cool $820,000
Even while incomes are rising at a rate of 1% and unemployment is at 4.4%, there’s still a struggle for local residents to find housing. While that might seem like a challenge to some, it’s a definite windfall for experienced investors. It means there’s huge potential for property development both inside the city proper, and in the surrounding metro regions.
Thinking About Real Estate Investments? Consider These Areas!
And there you have five of the hottest, fastest growing real estate markets in America. That doesn’t mean you have to invest in a Nashville or Seattle to increase your return, but these rapidly expanding markets are smart bets.
Do you need help finishing a development project? Then it’s a good thing you came to Lionshare Lending. We’re the nation’s premier commercial bridge loan provider. We can help when banks can’t and, more importantly, we can help without all of the red tape and paperwork. Call us today at 855.505.LEND to learn more.