New HomeUnion data reveals the top 10 markets in the U.S where investors can affordably buy single-family rental properties. The online real-estate investment management firm looked at non-owner occupied properties, median prices of investment properties, year-over-year job growth, gross rental yield, and housing affordability to determine its ranking.
Charlotte, N.C., came in at the top of the list due to its strong job growth. Among the top 10, Nashville, which ranked at No. 10, had the highest median investment sales price at $125,000, while Birmingham and Cincinnati had the lowest median investment sales price at $70,000.
... “Like any other investment, the focus for SFR investors should be on long-term rate of return and each of the markets on this list has favorable rental yields, low-cost entry points and solid, long-term economic fundamentals. Nationally, macro-economic factors, such as lower homeownership rates, are quite favorable for SFR investing, but real estate is still all about location and finding accessible markets that have low entry points, like Cincinnati and Birmingham, or high gross rental yields, like Milwaukee.”