Where do we invest near RTP in current situation

[Karthik Arun]

I am an out of state investor who wants to invest on a property around RTP. I am hoping Apple's arrival and jobs in RTP will bring in more appreciation and rental potential to those areas.

However APEX/Cary/Morrisville seem to be highly appreciated and my realtor is suggesting to buy in fuquay varina and holly springs and was saying it is very easy to rent in those areas(3br - $1600 to $1900). I am not sure if this can be trusted and wanted to see inputs from locals. My budget was under $500k for single family.

[Tim McGarvey]

@Karthik Arun your budget should depend on your investment goals. You mention appreciation potential, which has been a huge upside of investing in Raleigh, Cary, Apex, etc the past several years. Between the housing shortages and job growth many investors are expecting prices to continue to go up, but this is not guaranteed. You'll have a hard time cash flowing on a SFH in Cary/Apex/Morrisville ($1900 rents vs $600k purchase price will just never add up) assuming you're taking on debt to finance it. Many people will bet or speculate on these cities moving forward, based on reasonable assumptions (Apple), but you may be limited on exit strategies if something changes in the world and pricing plateaus. Just understand your numbers and exit strategies - you will likely be losing some money each month while you wait for the appreciation. There are other cities 30-60 minutes outside of this core area that provide better immediate returns, although potentially less appreciation upside (Zebulon, Burlington, Fuquay).