Life as a landlord is worth the investment risk, as long as you make the right choices. When searching for the best spot to put down landlord roots, consider the following ten destinations.
Florida is called The Sunshine State for good reason. It remains a popular tourist destination and retirement spot. The year-round warm weather is attractive to tenants, and certain vacation destinations, like Cape Coral, are becoming a permanent home for many baby boomers. As a landlord, you can expect peaceful, well-behaved tenants in this area.
Pittsburgh, Pennsylvania specifically is an excellent place to invest in real estate due to the many tech startups and film productions. As in any major city, the crime rates are higher than a peaceful country township, so landlords should rely on an online rental application to screen their applicants. Landlord software is the perfect solution to acquiring the right tenants.
Minnesota has a lot of beauty to offer, especially the region around St. Cloud. Since the cost of living in St. Cloud is 3% below the national average, it’s the perfect choice for a landlord looking to invest. St. Cloud is home to many universities, including St. Cloud State, so the area is filled with students and recent graduates looking for housing. You might have to deal with the occasional college party, but otherwise, tenants in this area should be easy to deal with.
In every state, there’s typically once city worth investing in, and in Texas, it’s Houston. While property prices are exorbitant right now, you could take advantage of the many foreclosures on the market. Houston offers high rent prices, making each property a worthwhile return on investment. The crime rates are staggering, however, and you’ll need to rely on a Turbo Tenant screening more than ever.
If you want to be a landlord in Ohio, head to Cleveland. The city has invested billions in its development over the last ten years, and the metropolis continues to grow. The city boasts a 98% occupancy, so it’s the perfect place for landlords. While Cleveland’s crime rates are dropping, it’s still one of the most dangerous cities in the US, so a simple, online tenant screening is a must.
While Illinois taxes have some businesses and residents fleeing the state, Chicago is only getting bigger. Many of the neighborhoods around Chicago are gentrifying, and while rental property can be a steep investment, the average person is renting instead of buying: perfect for return on investment. Depending on how much you charge for your unit, you could end up with all kinds of characters in Chicago, so make sure you screen tenants carefully.
While Indiana is known for its flat plains and cornfields, and Indianapolis (or “Indy,” as it’s known by locals) is known for being the best city for renters in America. If renters are plentiful, then so are landlords, and you could join the modern downtown and many opportunities life in Indianapolis brings. Again, crime rates in Indianapolis are higher than in some of the smaller cities in the state, so watch for criminal records on your applicants.
In Missouri, residents enjoy the hospitality of the South along with the low prices. Many businesses are moving to Kansas City for the inexpensive opportunities it offers, and the influx of residents makes it perfect for landlords. It’s far from the safest city, however, so if you want to promise a safe building, you should screen with care.
While great rental opportunities are available across Michigan, the best destination for landlords is Detroit. Over one-hundred Fortune 500 companies call Detroit home, and other businesses continue to relocate there. With the businesses come employees, all of whom need housing. Detroit is the worst city in the US for crime, and you may be able to charge a higher rate if you can promise secure housing.
Nestled under the Appalachian Mountains, Atlanta is a winning city for landlords. With over 74,000 jobs created last year, the city continues to grow, and the median cost of property is 28% lower than the national average. Combine those two, and you have a landlord’s dream. As in any city, the crime rates are high, but a landlord who uses a background check and tenant screening has no cause for alarm.