Are you considering investing in real estate in 2022?
Real estate is a profitable market that earns its investors at least tens of thousands of dollars every year. You can do it as a full-time job. Or, if you prefer to keep your main job, you can also invest in it as a side hustle.
Even better, you’ll get to take a real role in making your area a better place for people to live.
But your success depends on the locations of your properties. Below, we’ll discuss which is the best state to invest in real estate. Keep reading to learn more about why certain states stand out more than others!
Tennessee poses an exciting for investors to make the most of low property costs. The average home in Tennessee costs only $164,500. This is significantly lower than the national average, making the cost of living more accessible to a wide range of people.
But that doesn’t mean you won’t get any return on your investment. In fact, many investors in Tennessee will buy property for a less expensive price and fix it up. That way, they can charge more for it when they put it on the rental market.
Tennessee is a magnet for all types of people, as is reflected in its 8.9% population growth. People who enjoy living in the cities take advantage of areas such as Nashville and Memphis. Those who prefer hiking trails and more scenic areas often settle in the eastern portions, such as Knoxville.
The population growth could cause property values in the state to increase. This is why Tennessee is the best state to invest in real estate. You can buy now for less money and make a larger profit later on!
Idaho’s pristine, protected wilderness has long made the state a favorite destination of many adventurous hikers. Now, it’s also become a major magnet for real estate investors.
Like Tennessee, Idaho has a low cost of living. In fact, it’s 2% below the national average. Yet, real estate appreciation has gone up by 28.49% for the past two years.
Demand for Idaho’s real estate is high. The cost of living in Idaho is significantly lower than in other, surrounding states, such as California. As such, Californians who want to live in the western portion of the country while evading the high costs of living in California have moved into Idaho.
The high demand, combined with the value appreciation and the low cost of housing, makes Idaho the perfect investment opportunity. Plus, your properties will likely be easy to market. Much of the state is taken up by the gorgeous Rocky Mountains. So, you should be able to take beautiful pictures that entice people to rent your property!
If you’re looking to invest in the southwest, you should consider Arizona. The state’s real estate appreciation has gone up by 20.43% over the past two years. The cost of living also sits at around the national average, so you won’t have to factor many high housing costs into your budget.
The state is fantastic for people who want to get into both rental and vacation real estate. Arizona’s population grew by an astonishing 11.9% over the past 10 years. Many of Arizona’s cities are growing, fueled by younger millennials and retirees.
The region also attracts millions of visitors every year. The Grand Canyon alone sees an average of 5 million visitors. Many of these people also take trips to Sedona, Tucson, and Phoenix. As such, vacation rentals are also a wise business venture for real estate investors.
Arizona is also a state that has a wide variety of topographies. From canyons to mountains and red rock faces, you’ll have plenty of attractions to use to market your properties.
The state also draws people who are curious about architecture, thanks to the Frank Lloyd Wright home in Scottsdale. So, if you want to rent out an architecturally pleasing home, Arizona is the place to do it!
Living in Utah has become an attractive proposition for many young families over the past few years. About 29% of the people moving to Utah are non-white, too, diversifying the demographics of potential renters.
Major urban areas, such as Salt Lake City, allow for people to gain access to exciting business ventures and jobs. The beautiful natural parks and wildlife also attract those who want to lead an outdoor life. Like the other states mentioned in this article, there’s something in Utah for a wide range of people.
The state has about an average national cost of living. However, the median income remains higher than in most other states. This is promising for investors. After all, you’ll be able to get a home for a decent price and attract tenants who are able to pay more for it.
You’ll make more money if you purchase property in one of the major cities or near the national parks.
Maine has long been the haunt of famed writers and those who like quiet, idyllic lifestyles.
But Maine has also made an unlikely name for itself in the real estate world. Its average income is lower than the national average, but so is its cost of living. The mortgage rate sits at 2.9%, which is pretty low and increases the demand for property.
So, if you love the Atlantic northeast and want to consider property investment, Maine is a great place to start looking.
The Best State to Invest in Real Estate
Are you ready to take advantage of having property in the best state to invest in real estate?
Here at Memphis Investment Properties, we’ve seen firsthand why Memphis is the best city to invest in real estate. Our clients run successful real estate businesses that attract new tenants on a consistent basis.
We also back up the properties we provide you with. If you don’t find a tenant in 90 days, we’ll start paying your mortgage until you do! That way, you can take advantage of the best place to invest in real estate without too much risk.
Want to learn more about our properties? Contact us today to get in touch!