Is Chattanooga a Good Market??

[Chase Prater]

Hello!

This is my first post and I’m a newbie lol

My main question is about Chattanooga in general when it comes to whether or not it’s a good or not so good market to invest in. (Residential or Multi Family Commercial).

I live 30 mins south of Nashville and our property values have shot up over the last 5-7 years or so and finding a duplex in my city is gonna run at least $250,000 and I notice property values are much much lower in Chattanooga which will give better cash flow and higher ROIs (even though the rents are cheaper). For example, I'm looking at a duplex with two 3 bed 1 bath units and it's listed for $115,000 and its current GMI is $1,000. So even with 20% down of full asking price, if I cash flowed $400 a month it's a 20% ROI...not shabby.

I am mostly curious about the market growth because appreciation is where bigger leaps are made when generating wealth, and if these cash flowing properties aren’t appreciating much I’d rather find another market. I have noticed new and hip restaurants popping up which to me is a good sign, and properties are generally getting under contract in about a week after being listed. Also a good sign.

Anyone have any insight into this market?

Thanks!!