There are many factors that go into a prime real estate market that is ideal for investors and homebuyers alike. Some of these factors are simple to understand, like location; others involve more complicated measures.
All are designed to point the way to real estate markets that are perfect for investment, especially ‘hidden gem’ markets that have a wealth of potential.
According to RealtyTrac, we have one of these hidden gem markets in our own backyard: Shelby County, Alabama.designed to point the way to real estate markets that are perfect for investment, especially ‘hidden gem’ markets that have a wealth of potential.
Real Estate in Shelby County Offers Opportunity
RealtyTrac produced a report that found the top 25 hidden gem markets in the U.S. – markets that are not on everyone’s radar for single-family homes.
It looked at a few factors, such as gross yield, median rent value, median market value, investor sales percentage, and unemployment.
Investor sales percentage refers to the percentage of investors who are institutional investors, such as banks, corporations, and funds. A lower percentage is more advantageous for average real estate investors.
According to the report, Shelby County real estate had a median market value of $157,000, an unemployment rate of 4.5% (much lower than the national average of 7.3%), and an investor percentage of 1.9%. The median rental price was $1,194 per month.
Most impressive was the gross yield of 9.1%, which is an impressive return even for this market.
Investors can use this information to find prime locations for purchasing homes and renting them to families who are in search for many of the same factors – affordable rates in places with low unemployment and hence more job opportunities.
Rising home prices and increased real estate investment in the greater Birmingham area is another piece of the puzzle that is producing an enticing picture for investors.
If you are an investor attracted to favorable real estate market conditions in the Birmingham area and need an expert property management company to maximize your return, contact gkhouses.com and call us today at 205.940.6363.