Confused about Atlanta Rental Market

[Jane Z.]

I have read lots of articles lately that those big hedge funds bought lots of SFR and converted them to rentals in Atlanta, which puts a lot of pressure on Atlanta rental markets. I totally agree with their analysis except the situation I experience on the ground is different. When I first invested in 2011, rental markets for SFR were supposed to be very good, but it actually took me a while to find a good tenant. Since May of this year, rental markets for SFR suddently pick up. Between my sister-in-law and I, we have close to 20 SFR, both of us experience the same thing. Granted, our SFRs are in better areas of Atlanta. I just don't understand why and whether this could sustain. I have been waiting for those hedge funds pushing their SFRs to the rental market, but things seem getting better? I am confused. It is not that I don't like it. But I would like to have a logic explanation so I could adjust my investment strategy accordingly. Do any of your Atlanta rental investors feel the same?

[Curt Smith]

I'll update this thread.  The Atlanta market changes every 12 to 18 mo.  What wa

hot is now not the hotest.  BTW you want to have very good strategy skills to data mine and figure out what will be the next hot market that currently is only warm, buy when warm, so you enjoy great rental demand and appreciation.  

The above was easy to say, but how do you figure out the warm markets that will get hot?   Keep your ear to the ground re new jobs, big employers coming to an area.  Then buy in the best school district near those new employers.

city-data.com has jobs data.

http://www.indeed.com/jobs?q=&l=Chattanooga%2C+TN&...

For indeed enter city names, then write down the jobs count in the search, with radius set to 5 mi.  I picked Chattanooga to show you 3k jobs in a small town is having a tremendous affect on flips and rentals in the entire area.  VW auto plant is expanding, there's 3 auto plants,  there's 2 Amazon distribution centers in the Chattanooga TN area, they are hiring 1000 people.

Athens GA, Augusta GA, Savanaha GA is another great jobs areas.  Click around indeed.com cities, pick your area.

We choose to go to the best area for easiest negotion with REO sellers, and to have lots of renters to choose from. I just did 2 rentals this year, Jan and Feb, the Feb rental I closed on Friday and took a money order reservatoin fee on Sunday... Yes I pushed the envelope by advertising without an address or picture a house I didn't own... LOL I just hate paying a mortgage without a rent check backing it up so I only work hot jobs areas with luke warm home sales making for cheap rentals.

Look at (GA) Barrow co, Clark Co, Henry Co for good jobs and not near the investors competing for REO as other metro counties. Get out of your comfort zone!!!