What Is Your Favorite City to Invest?

[Weis Sherdel]

If you had to tell a novice investor to buy one SFR anywhere in the US, where would it be and why?

Price point: $70-100K

CAP: 9.0%+

Rent/Price: 1.3+

Cash on Cash Return: 15%+

I am really interested in Dallas and Houston because of strong macro-economic fundamentals like job and population growth, but have heard that both markets 'are farther along the recovery cycle and that means home prices have rebounded to a point where cap rates are suppressed.'  I like Philly because it's 2 hours from me, and they have strong CAPs, but I don't know if the city has the strong fundamentals like Dallas.

Would love to hear your thoughts about it.

[Caleb Heimsoth]

@Isaac Agbolosoo. Memphis TN