Thinking of investing in real estate? Live in or love to visit the Memphis area?
Now is the time to make a move, acquire a vacation home or purchase a property in the city as an investment. Memphis, Tennessee is a great place to live, work, or play. Property values there will likely continue to rise, but not at the unsustainable rate of some cities, where local residents become priced out of their hometowns due to lagging incomes, causing property values to unexpectedly decrease.
Memphis offers many positive points that will serve to keep demand for homes in the city stable over the long term.
A Good Time for Both Home Buyers and Investors
The average home price in metropolitan Memphis rose from $168,000 to $178,000 over the past year. The percentage of rise came to about 9% over that period, according to Federal Housing Finance Agency data. The national average percentage of rise was 5.1% Memphis has a history of maintaining a relatively steady, reasonable rate of growth. Steadily rising rates offer opportunity for both new homeowners and investors.
New homeowners won’t become priced out of the market; homeowners and investors alike can build equity or reap profits. NuWire Investor offers a post covering five points that make Memphis real estate a great investment.
Make a Move Before Prices Rise
If you are contemplating a move to or investment property purchase in Memphis, the sooner you start exploring options, the greater the chance you’ll get your dream house for a reasonable price, and see its value rise down the road. So if you’re thinking of moving, start looking. Phone a real estate agent who specializes in investment property, if that’s your goal. Check out properties thoroughly. When you find a property that suits your investment needs, or, are certain it’s where you want to spend your life, or at least your vacation time over the next few years, make a deal as soon as possible.
Invest Now for Steady Profit Gain
Rising property values in a particular city is obviously a good sign for those wishing to purchase real estate as an investment there.
But the city with the very top-level of appreciation value isn’t always the best choice. If rates are skyrocketing, growth may not be sustainable. Better to opt for a city with a more reasonable rate of growth. Memphis was the city with the lowest five year appreciation value of the top ten MSA’s (metropolitan statistical areas). A sweet spot for investment potential.
Why Memphis Property Promises to Remain Popular
Memphis’ climate is rated among the best. It offers warm to moderate weather, most of the year; a hint of winter, with an average 3″ snowfall total, for those who appreciate the cycle of the seasons, and 218 sunny days, compared to the U.S. average of 205.
Whatever your passions, you’ll find ways to partake of them in Memphis. The city features parks, a zoo, city tours, Beale Street’s music, museums, and food, great shopping opportunities for sporting goods, clothing, furniture, handmade crafts (Memphis has been voted a “Maker City by Etsy”) . Of course, there’s Graceland, and for children and the young at heart – the charming tradition of The Peabody Ducks.
Economic Opportunities and Overall Lifestyle
Memphis is a city focused on tomorrow. A major venture capital firm calls Memphis home. Good paying jobs are available, many in the field of technology. Memphis features affordable housing, a public transit system, diversity, and innovation. It’s a modern municipality with a small town vibe and a great work-life balance.
At Reedy and Company we are specialists in the field of Memphis property management and purchase. We strive to balance the needs of tenants with the interests of owners. Contact us with your investment and property management questions.