Here are six cities where there are many rental vacancies in commercial locations.
Colorado Springs, Colorado
Image via Flickr by Bob Hall
There will be difficulty for rental property seekers to find property to buy here, but when they do it will be worth it. Colorado Springs’ economy, housing, and tourism is fairly consistent even through the recession.
Rent is low, but remaining steady therefore attracting renters to properties. There is also a higher volume of renters in Colorado Springs due to the multiple Air Force bases in the area. Vacancy rates are at 5.3% and the average rent is $713.
Las Vegas, Nevada
One in every 25 houses in Las Vegas are foreclosed on, making it the highest foreclosure rate in the United States. The price of homes have dropped $100,000 in two years. This allows rental property buyers the opportunity transform vacancies into rental homes. It is best to buy quick before the housing market rebounds in the city. Unemployment rate in Las Vegas has lowered 3% in the past year, meaning more people will be willing to rent.
The only downside to owning rental property in Las Vegas is the low tourism rate. Renting a home on a long vacation is a great source of income for landlords. Yet with tourism low, that selling point will be difficult. Las Vegas’ vacancy rate is 8.6% and an average rent price of $803.
The best part about Memphis for rental property buyers is that renters are keeping Memphis afloat. Literally. The massive rain and flooding that occurred last year only dampened the city’s already struggling economy. Unemployment rates are high and housing prices are still falling.
The rental vacancy rate is at 11.2%, the highest in the country. Rental prices are cheap at an average of $682. Prices are low and steady with wide availability. This attracts renters to Memphis as opposed to nearby Knoxville, with cheaper rent but low availability, or Nashville, with high rent and tight housing. The culture of Memphis continues to attract renters and a small tourist population, which only helps sell rental properties.
Unfortunately for Atlanta, a ton of homes were built just as the recession hit. Fortunately for rental property buyers, this means vacancy is high and rental growth is low. Atlanta is a hidden gem for rental property buyers. The city’s population has grown by 1.6 million since 2000 and is still growing.
The airport, surrounding colleges, Coca-Cola plant, and Time Warner company are helping the metro area stay stable. Growth will come from these institutions, which will create more reasons to rent. The vacancy rate in Atlanta stands at 9.1% and the average rent is steady at $849.
Before 2008, people were buying condos and flipping them for a quick profit. Now Orlando is one of the highest foreclosure cities in the country, making these condos easy to buy. Luckily tourism in Orlando has not slowed down. The unemployment rate has dropped 2% the past year thanks to steady tourism.
All of these positive improvements on Orlando’s economy increases the amount of people looking to rent. Orlando’s vacancy rate is at 7.9% and the average rent price is $871. Property buyers can keep up-to-date on rental properties by visiting Fisher Investments MarketMinder , a great tool for news and information on the latest marketing trends.
Houston is the best place for rental property buyers to go. The city’s economy is thriving, causing more people to flock there. Prices are steady and reasonable at a $792 average. Houston has lots of room and is constantly expanding, giving the rental buyer more options for properties to snatch up. Vacancy rates are high at 10.2%.
Housing prices are rising, so it is wise to buy into properties before they climb too high. The expansion ensures more rental properties will be available to buy. Unemployment is low, thanks to big name energy companies supplying jobs to the area. There is no reason not to buy property in Houston.
Rental properties are in high demand in these cities. Just a year ago, landlords were offering special packages to draw renters in, which they no longer have to do. To take advantage of rent prices and wide housing availability, now is the time to explore these six cities for property investment.
Heather Hobbs is a freelance writer exploring every topic to create informative and enjoyable content.