Real estate has always been a reliable investment. Today, modern resources make it easy for investors to consider the profit potential of properties throughout the nation, or even internationally.
While there are many great places to buy real estate around the world, when it comes to investment property Memphis Tennessee is currently second to none. Read on and find out why there’s never been a better time to buy real estate in Memphis.
Why People Are Moving To Memphis
Throughout its history, Memphis’ ideal location on the Mississippi river made it a transportation hub. It retains that role today, tying together major commercial traffic on water, rails, and roads.
Multiple major corporations (including FedEx and AutoZone) make Memphis their base of operations, contributing significantly to a strong job market.
With a cultural heritage that includes a vital role in the development of multiple genres of music, and with Graceland as a major attraction, Memphis has a thriving tourist trade.
Educational resources for residents are strong, and the city’s many universities are a significant booster for the rental property market.
The Overall State Of The Market
As with many areas, Memphis was hit hard by the housing downturn of 2008. This led to an enormous churn in the local housing market. Would-be owners suffered from foreclosures, and home prices dipped precipitously.
The overall economy of Memphis remains strong though, and demand for housing in the area is higher now than ever. Besides jobs, educational opportunities, and a low crime rate, many residents are drawn to Memphis by its low cost of living.
This overall affordability is visible in the real estate market. For typical investment property Memphis homes cost roughly $120,000.
What Makes Memphis A Haven For Real Estate Investors
As noted above, the economic upheavals of recent years have severely reduced the number of people in Memphis who own their own homes without significantly impacting the overall housing needs of the city.
This makes it a ripe market for real estate investors. Over the past few years, many buyers have reaped great profits by buying Memphis homes very cheaply, performing what little repair and renovation work is required, and then either renting them or reselling them.
At this point the situation has stabilized so that Memphis is attracting increased interest as an ideal area for turnkey investment. Home values and rental income are both likely to rise in the future, so this is an ideal time to invest in Memphis’s real estate market.
Why Memphis Real Estate Is Shifting From House Flippers To Turnkey Owners
Once it’s examined in greater detail, the real estate market in Memphis is a sterling example of the way the housing market follows certain predictable patterns. In the recent housing crash, it was mortgage-paying homeowners who suffered.
Their loss was the gain of real estate investors. This first wave of buyers featured aggressive house flippers, the type of investors who get their hands dirty and make their profit by significantly improving the properties they buy.
Now that the Memphis market has stabilized, they’re departing for fresh opportunities. In their wake they leave a real estate landscape ideally suited to the long-term investor, with plenty of properties that will increase in value and provide reliable rental income for many years to come.