Real Estate prices have been on the rise since 2013. A slowly growing economy and historically low interest rates have made first time investors and investment firms sit up and take notice. However, unlike previous years, interest has increased in second-tier cities that are exploding with affordable real estate and job opportunities.
Are you planning to invest in real estate around the US? We’ve listed for you the most favorable cities in the USA for real estate investment. Accordingly, the best cities to invest in real estate in the year 2014 are as follows:
1. Texas
Cities like Austin and Houston have topped the Forbes List of the Fastest Growing Cities in 2014. The Texas state economy improved leaps and bounds in 2013 and the state has welcomed more than 427,000 newcomers from 2010 to 2012. Cities like Dallas, Fort Worth, Plano, Irving and San Antonio are also popular as they welcomed relocating families due to a rapidly improving local economy.
This influx of trained workers has resulted in a robust local labor market and an unemployment rate that is lower than the national average. The people moving into the city are also actively investing in the local real estate market, resulting in a slow but sure improvement of the local standard of living.
For investors too, the real estate market has proved to be exceedingly lucrative. Rentals are at an all-time high and construction rates have doubled to provide affordable property for the booming local population.
2. North and South Carolina
Raleigh in North Carolina is proving to be what Dallas is to Texas. The city is very close to the Research Triangle Park that forms the local headquarters for more than 170 major companies like Cisco and the First Citizens National Bank. The city also is a bustling educational center with more than 10 colleges and universities located in and around the city. The city has experienced the highest employment and population rate in the US and real estate rates are at an all-time high in the city. Apart from Raleigh, Charlotte, Gastonia and Concord are also expected to have rapidly developing real estate markets by late 2014.
3. Utah
Salt Lake City comes in next with a rapidly expanding economy. Utah has experienced an average growth rate of 2.3% annually and Salt Lake City in particular has posted a nearly 3% growth in employment rates. The economy in particular has diversified into technology, biogenetic and medical research and production sectors. The city is in high demand for its job opportunities and investors will easily find properties for resale as well as for rental.
Although these cities are facing a rapid rise in employment and population, the actual benefits are only in second tier cities that currently have under-priced property. Analysts also predict that cities in Texas and Oklahoma will be the most profitable as they offer long-term jobs for families in the shale, oil and gas industry. This will result in an increased amount of first-time homebuyers and the potential for a slowly appreciating local real estate market.
