Phoenix area for rental investments

[Uri E.]

I am planning to invest in rental properties in Chandler, Gilbert, Scottsdale ... all in Arizona.

Seeking advice on:

1) Your opinion of these areas compared with your experience in other parts of the country

2) Should I focus on a specific area of the three mentioned in AZ?

3) What kind of returns can I look forward to getting from these communities? 

[Doug McVinua]

@Uri E. The Southeast Valley, Chandler, Gilbert, Mesa, Apache Junction, Queen Creek, Tempe, AZ has a very strong rental market. Our vacancy rate is near zero with rent increases at each turnover common. Multiple applications on most properties in days of going on the market.

What's driving the metro Phoenix, AZ market, jobs, and inbound population. We have an ever-expanding job pool with companies expanding or moving to AZ on a regular basis. CA is our best friend at the moment as companies and people are leaving CA in droves.

Inventory in Phoenix is low, the demand exceeds the supply. Builders haven't been able to keep up and the market is simply low on supply. The inbound population growth is exceeding the rate of building growth leaving us short on rooftops.

The southeast valley is very strong and desirable due to the job market, great schools, low crime, newer properties, solid amenities, and reasonably affordable. 

Opportunities range from condos to multi-family.