In an article on the best cities to buy rental property, Detroit came in number two, right after Vegas. Not bad! So is this argument/accolade any good? (Unlike yesterday's rather meaningless pat on the back?) We think it holds water. Let's break it down.
· "It's hard to imagine that home prices could get any cheaper in Detroit. "
-Yes, we've bottomed out! It's on the up and up.
· With rents on the rise — up 5% over the past 12 months, these beaten down home prices have created a nice opportunity for investors.
- Midtown and Downtown seem to be leading the increase, but we would not guarantee it will hit every neighborhood anytime soon.
· Renters' incomes have become more stable. The metro area unemployment rate has fallen by 2.4 percentage points over the 12 months ended in April to 8.7%.
- So true! We're far less loser-y than in recent years. Won't you be our landlord?
So this is good news so long as this article does not draw a certain type of lazy-ass absentee landlord. In other good news, the article puts the current median home price at $78,000 but projects a median home price of $93,982 in 2015.
· Best cities to buy rental properties [CNN Money]