What market is the best right now?

[Aqsa Mughees]

Hi, want to know, with a budget of 50k with financing, what market is the best ti buy a home and rent it out?

I got to know of a few through different forums,

1. Toledo, OH

2. Houston, TX

3. Brownsville, TX

Please can you suggest a few more or see if these look good?

[Chris Seveney]

Quote from @Aqsa Mughees:

Hi, want to know, with a budget of 50k with financing, what market is the best ti buy a home and rent it out?

I got to know of a few through different forums,

1. Toledo, OH

2. Houston, TX

3. Brownsville, TX

Please can you suggest a few more or see if these look good?

 Stock Market and Bond market are the best right now.

[Min Zhang]

Hi Aqsa, there are plenty of affordable single family homes under $100k in the Toledo area. Investors often see returns of around 8-12% COC there. You can find a good turnkey rental between $70-100k, but properties below that price might need some rehab to be rent-ready. Don't hesitate to ask if you need anything!

[Aqsa Mughees]

Quote from @Evan Hopple:

Quote from @Aqsa Mughees:

Quote from @Clayton Silva:

Quote from @Aqsa Mughees:

Quote from @Clayton Silva:

Not to be dismissive, but it is almost impossible to answer that question without first understanding what your goals are.  Are you trying to replace income with cash flow? Are you looking for tax breaks and using real estate to offset income?  Are you looking for appreciation?  Are you looking to fix and flip?  Are you looking for long term rentals? Short term rentals?

Narrowing down your goals will help you better choose a market the fits your investment criteria.

I am looking for long term rentals and of course appreciation.

 In regards to your markets you mentioned, TX is likely going to be a better market for appreciation than OH.  Be wary of TX property tax as it is very expensive and can impact cash flow if not factored properly.

 what about cleveland?

Central OH is really your best bet for long term appreciation. Are you asking about a $50k purchase price or $50k in hand for a down payment?

 down payment

[Aqsa Mughees]

Quote from @J Leman:

50,000 Purchase price... I will speak for market I know well. Danville, Illinois. I have helped a lot of out of state investors purchase properties for 50,000 here that rent for $800 to $850

Good property management as well we can get you hooked up with. Property management is KEY in Cash flow markets like Danville.

50k as down payment. Total budget under 200k

[Evan Hopple]

Quote from @Aqsa Mughees:

Quote from @Evan Hopple:

Quote from @Aqsa Mughees:

Quote from @Clayton Silva:

Quote from @Aqsa Mughees:

Quote from @Clayton Silva:

Not to be dismissive, but it is almost impossible to answer that question without first understanding what your goals are.  Are you trying to replace income with cash flow? Are you looking for tax breaks and using real estate to offset income?  Are you looking for appreciation?  Are you looking to fix and flip?  Are you looking for long term rentals? Short term rentals?

Narrowing down your goals will help you better choose a market the fits your investment criteria.

I am looking for long term rentals and of course appreciation.

 In regards to your markets you mentioned, TX is likely going to be a better market for appreciation than OH.  Be wary of TX property tax as it is very expensive and can impact cash flow if not factored properly.

 what about cleveland?

Central OH is really your best bet for long term appreciation. Are you asking about a $50k purchase price or $50k in hand for a down payment?

 down payment

Columbus C-/C location Duplex, C+/B- Single Family
Cleveland C+ location Duplex