Choosing & Researching A Potential Market?

[David Gellner]

Hi Everyone,

I'm looking for a place where I can buy-and-hold multi-families and single family homes for the foreseeable future.

I know that it is recommended to invest in your own backyard, but I'm not to confident in the current area that I live in.

I'd like to invest in the Seattle and/or surrounding areas, as well as move to the location that I decide to invest.

Does anyone have any suggestions on how to research a potential real estate market? Is there any economic indicators that you specifically look for?

If anyone knows of good websites, books, or people to talk to I'd really appreciate it!

[George Paiva]

Start with population trends from the Census, Then cross reference in employment numbers from the Bureau of Labor Statistics. This will be a start. Then depending on what are your key metrics you are looking for in a property you can narrow down a bit further.

I live in an area that has dead population and employment upward trends so I have to use statistics to my advantage. Yes I still invest in my backyard if I can get a very good deal but will typically require a years effort and money to get turned around.

I don't see any issue with washington state. 3% bump in Pop and 2% in Employment:

CENSUS 2010-2012
State Projected population (July 1, 2012) Estimated population (July 1, 2010) % Change
% %
Change Change
North Dakota 672,591 699,628 4% 5% -0.30
Utah 2,763,885 2,855,287 3% 2% -0.80
Colorado 5,029,196 5,187,582 3% 2% -0.30
Alaska 710,231 731,449 3% 0% -0.60
Washington 6,724,543 6,897,012 3% 2% -0.90