Whether you’re a US citizen or live abroad, America is the best place to purchase real estate investments. And although this has been true for a while, the 2018 tax code has added additional benefits for investors.
We’re also seeing relatively low interest rates, low unemployment rates, and a booming economy. In fact, we’re now seeing more international investors than ever before. I’ve noticed a surge in international buyers in the markets where I invest as well.
This means investors are getting smarter and savvier! They aren’t just purchasing in inflated markets such as NYC or LA. They’re going after ROI!
If you’re looking for a great rental market, it’s important that you consider what types of jobs are available in that city. If your tenants don’t have work, they’ll be unlikely to pay their rent. That doesn’t sound like positive cash flow to me!
I look for something very specific when it comes to choosing a rental market—I love average cities. Chain restaurants, long-haul trucking, hospitals, airports, universities, and distribution centers are all businesses I like in my rental markets. Think specifically about jobs that are not going overseas. Where there is job stability, you don’t have to worry as much.
I know we hear all the doom and gloom about the jobs market across the United States but the reality is much different. In fact, my favorite rental markets have very strong local economies with jobs that cannot be outsourced to other countries. These jobs are central to the US economy. In my favorite rental markets I didn’t see one dip in my rental income during the Great Recession.
When you rent your property to the local post office worker or nurse, they’re not likely to lose their jobs. These types of companies simply do not lay off these types of workers. It’s A class neighborhoods that are largely effected by economic collapse.
To hear more about rental markets, check out this playlist!