In the current housing market, it can be difficult to buy a home. High demand is driving up costs and there seems to be no end in sight. Especially in popular cities, first-time homeowners are having a difficult time competing in the market.
Real-estate investors are finding high prices make it difficult to turn a profit. For those looking to invest in real estate without bursting the bank, here are 5 underrated US cities for real estate investments.
1. Buckeye, Arizona
Buckeye homes for sale is a small suburb of Phoenix located just to the west of the city. With a population of around 91,000, Buckeye has seen significant growth. In 2017 and 2018, it was considered the United States’ fasted growing city.
As a result, home prices have seen a steady rise as demand continues to increase. The current average home price is around $330,000 making it highly affordable and excellent for real estate investors. Those who buy Buckeye homes for sale have a short and easy commute to downtown Phoenix using freeways and highways.
There are a number of buses that run from Buckeye to downtown Phoenix and other suburbs. The city offers access to many of the same fun activities as Phoenix but is safer and more family-oriented. In 2022, the number of violent crimes in Buckeye is only 1.58 per 1,000 people.
Education is another benefit of Buckeye, as a community college is located within the city. There are many activities to do within the suburb, including over 20 miles of hiking and biking trails at Skyline Regional Park. Additionally, the city of Buckeye has plans to add an artificial lake in the future.
2. Eagle, Idaho
Located just 10 miles to the northwest of Boise, Eagle is a small town in Idaho that is beautiful and family-oriented. With a population of only 28,303 in 2018, the city of Eagle has been rapidly growing in the last few years.
Many families are young, creating a safe community with violent crime rates of only 1.09 per 1,000 residents. The average home price in Eagle is $484,400 which is just above the average of Idaho and the United States.
These prices have been steadily rising over the last few years and are expected to continue their increase as a result of increasing demand. Eagle also has an excellent job market, where residents may work within the city limits for any number of large corporations or may seek employment in neighboring Boise.
Located close to the Boise River, Eagle has no end to outdoor activities. For those who enjoy wildlife, the neighboring mountains offer a variety of animal and plant species to explore.
Residents of Eagle can also spend time outdoors fishing, white water rafting, hunting, and kayaking. Eagle also features a number of art galleries, coffee shops, and high-end retail shops.
3. Frisco, Texas
Conveniently located within a half-hour of Dallas, Frisco is a popular place for real estate investors who want to escape the high prices of the city. It is home to over 200,000 residents, giving its homeowners easy access to stores and nightlife while having a smaller town feel.
The average price for a home in Frisco is $509,200. While this sits slightly higher than the average in Texas and the United States, the city offers generous economic opportunities and is extremely safe.
This year, there have been about 10 property crimes and less than 1 violent crime per 1,000 residents. Additionally, Texas does not have state income taxes, so aside from property taxes and sales, there are minimal costs for investors.
Frisco has grown rapidly since the early 1990s and is one of the fastest-growing cities in Texas. It features an excellent job market, top schools, and an easy commute to larger cities like Dallas and Fort Worth.
Within the city is the headquarters for the Dallas Cowboys. It is also home to the Dallas Stars and FC Dallas, generating plenty of tourism from the surrounding states and cities.
4. Alpharetta, Georgia
Located in Northern Georgia, Alpharetta is a small suburb of Atlanta that features many of the same southern charms as the bigger city. Alpharetta is known for its warm climate which allows residents to access the surrounding landscape year around.
It also features plenty of shopping with smaller boutiques and a large mall, dozens of restaurants, and the Ameris Bank Amphitheatre that hosts many high-profile artists. Alpharetta had a small but growing population of 65,818 in 2020.
As a result of its growing population, its housing market makes for an excellent investment. Its average home price in 2022 is $569,000, which is significantly above the US and Georgia average home prices. The benefits of living in this superb include an easy commute to downtown Atlanta for work and nightlife.
Residents can access downtown Atlanta via US 19 in about 20 minutes. The average commute in Alpharetta in 2022 was just under 28 minutes one way.
5. Fort Collins, Colorado
Fort Collins is another small town where the housing market continues to rise due to growth and popularity. In 2006, Fort Collins was named the best place to live in the western United States for small cities.
The current population is 169,810. This is nearly double the population in 2010. As a result, Fort Collins is an excellent location for real estate investing. Fort Collins has many benefits, including its close proximity to Denver, growing job market, and plenty of fun things to do.
For those who love the outdoors, Lory State Park is located just to the west of the city and features hiking, fishing, horseback riding, and birdwatching. Fort Collins also has multiple museums, plenty of delicious restaurants, and beautiful gardens.
The average commuter from Fort Collins spends around 19.6 minutes in their care each way, which is about 7 minutes less than the national average. The average price of a home is significantly higher than the national average at $550,000 in 2022.
Although this price is high, it continues to grow rapidly as demand grows.
Conclusion
For first-time homeowners and real estate investors, the current market can be difficult to make a profit. However, there are many places in the United States that are largely underrated. Their convenient location, average home prices, and local entertainment make them excellent opportunities for real estate investing.
Those looking to invest in real estate should consider these cities for secure investments.
