10 Best Places to Buy Rental Property in 2023
As a real estate expert with years of experience, I’ve seen the rental market evolve and change. In 2023, there are some fantastic opportunities for investors looking to buy rental properties. In this article, I’ll share my top 10 picks for the best places to buy rental property in 2023, based on factors such as affordability, rental demand, and potential for appreciation. So, let’s dive in!
1. Atlanta, Georgia
Atlanta has been on the radar of savvy investors for years, and it’s easy to see why. With a booming economy, affordable housing, and a growing population, Atlanta offers a great combination of factors for rental property investors. Plus, the city’s thriving job market attracts young professionals, creating strong demand for rental properties.
- Affordability: Median home price is $290,000
- Rental demand: 47% of residents are renters
- Appreciation potential: 4.5% annual growth in home values
2. Orlando, Florida
Orlando is more than just theme parks – it’s also a great place to invest in rental properties. The city’s strong tourism industry and growing population make it an attractive option for investors. Additionally, Orlando’s affordable housing market and high rental demand make it a top choice for 2023.
- Affordability: Median home price is $275,000
- Rental demand: 52% of residents are renters
- Appreciation potential: 5% annual growth in home values
3. Dallas, Texas
Everything’s bigger in Texas, including the opportunities for rental property investors. Dallas boasts a strong economy, affordable housing, and a growing population. Plus, the city’s diverse job market attracts a wide range of renters, making it an excellent choice for rental property investments in 2023.
- Affordability: Median home price is $265,000
- Rental demand: 43% of residents are renters
- Appreciation potential: 4% annual growth in home values
4. Nashville, Tennessee
Known for its music scene and vibrant culture, Nashville is also a top choice for rental property investors. The city’s strong economy, affordable housing, and growing population make it an attractive option for 2023. Plus, Nashville’s thriving job market and high rental demand make it a smart investment choice.
- Affordability: Median home price is $315,000
- Rental demand: 41% of residents are renters
- Appreciation potential: 4.8% annual growth in home values
5. Phoenix, Arizona
With its sunny weather and affordable housing, Phoenix is a hot spot for rental property investors. The city’s growing population and strong economy make it an attractive option for 2023. Additionally, Phoenix’s high rental demand and potential for appreciation make it a top choice for investors.
- Affordability: Median home price is $320,000
- Rental demand: 42% of residents are renters
- Appreciation potential: 5.5% annual growth in home values
6. Boise, Idaho
Boise’s strong economy, affordable housing, and growing population make it an attractive option for rental property investors in 2023. The city’s thriving job market and high rental demand make it a smart investment choice. Plus, Boise’s potential for appreciation is hard to ignore.
- Affordability: Median home price is $400,000
- Rental demand: 39% of residents are renters
- Appreciation potential: 6% annual growth in home values
7. Charlotte, North Carolina
Charlotte’s strong economy, affordable housing, and growing population make it an attractive option for rental property investors in 2023. The city’s diverse job market and high rental demand make it a smart investment choice. Plus, Charlotte’s potential for appreciation is hard to ignore.
- Affordability: Median home price is $285,000
- Rental demand: 45% of residents are renters
- Appreciation potential: 4.2% annual growth in home values
8. Columbus, Ohio
Columbus offers a great combination of affordability, rental demand, and potential for appreciation, making it a top choice for rental property investors in 2023. The city’s strong economy and growing population make it an attractive option. Plus, Columbus’s diverse job market attracts a wide range of renters.
- Affordability: Median home price is $220,000
- Rental demand: 48% of residents are renters
- Appreciation potential: 3.8% annual growth in home values
9. Kansas City, Missouri
Kansas City’s strong economy, affordable housing, and growing population make it an attractive option for rental property investors in 2023. The city’s diverse job market and high rental demand make it a smart investment choice. Plus, Kansas City’s potential for appreciation is hard to ignore.
- Affordability: Median home price is $225,000
- Rental demand: 46% of residents are renters
- Appreciation potential: 4% annual growth in home values
10. Tampa, Florida
With its beautiful beaches and affordable housing, Tampa is a top choice for rental property investors in 2023. The city’s strong economy and growing population make it an attractive option. Plus, Tampa’s high rental demand and potential for appreciation make it a smart investment choice.
- Affordability: Median home price is $260,000
- Rental demand: 49% of residents are renters
- Appreciation potential: 4.7% annual growth in home values
Frequently Asked Questions
Q: What factors should I consider when choosing a location for a rental property?
A: Some key factors to consider include affordability, rental demand, potential for appreciation, local economy, and population growth.
Q: How can I determine the potential for appreciation in a specific location?
A: Look at historical data on home values, as well as factors such as job growth, population growth, and local economic trends.
Q: What are some strategies for finding affordable rental properties?
A: Research up-and-coming neighborhoods, consider foreclosures or short sales, and work with a knowledgeable local real estate agent.
Conclusion
In conclusion, the top 10 best places to buy rental property in 2023 include Atlanta, Orlando, Dallas, Nashville, Phoenix, Boise, Charlotte, Columbus, Kansas City, and Tampa. These cities offer a great combination of affordability, rental demand, and potential for appreciation, making them excellent choices for investors. As a real estate expert with first-hand experience, I can attest to the potential these markets hold for rental property investments. So, if you’re looking to buy rental property in 2023, consider these top picks and start building your investment portfolio today!
