Which Region Has the Best Return on Rental Investment?

first_imgSubscribe The Week Ahead: Nearing the Forbearance Exit 2 days ago  Print This Post The Best Markets For Residential Property Investors 2 days ago in Daily Dose, Featured, Journal, Market Studies, News With rising home prices and insufficient inventory hampering homebuyers in markets across the country, investment opportunities within the rental space are abundant. But which metros are the best places to invest? HouseCanary’s Canary Rental Index (CRI) for Q1 2018 shines a light on where the rental market is booming—and where it’s not.Soaring home prices and limited inventory seems like a surefire combo to spur the rental market, with some would-be homebuyers having to rent while they save up for a larger down payment or just keep hunting to find the right home for them. However, HouseCanary’s Canary Rental Index points out that this assumption doesn’t always play out that way, as not all markets are created equal.Nationwide, the effective gross yield (EGY) for rental investments is 7.7 percent, according to the Q1 2018 CRI. According to HouseCanary, the effective gross yield calculations “include rental expenses (like the price of the home and state and local tax levies), then determines what kind of return on investment a rental investor can expect given the local fair-market rental value of homes.”ROI varies significantly even within individual markets and doesn’t always correspond solely with increasing home prices. Using the Denver-Aurora-Lakewood, Colorado, metropolitan-statistical area (MSA) as an example, the HouseCanary CRI found that, while Colorado as a whole has shown an 8 percent growth increase in home prices year-over-year, the Denver neighborhoods of Franktown, Castle Rock, and Westminster were sitting around 5.1 percent price growth. The 80218 ZIP code on the north side of the city came in at 11.8 percent growth year-over-year.However, HouseCanary found that the EGY for rental investors for the 80218 ZIP code was only 5.8 percent. The 80219 ZIP code, “which encompasses the Barnum, Westwood, Mar Lee, and Harvey Park neighborhoods,” shows a rental EGY that aligns with the national average at 7.7 percent. Moreover, the highest rental EGY within the Denver MSA is actually found in the Eastern plains, almost an hour outside of the city proper—that’s where rental investors can average an EGY of 11.3 percent.“Recovery from the housing crisis has happened at a different pace for each state and even each metro area within each state,” HouseCanary’s CRI report states. “Prices are growing more quickly in some places than in others, and in MSAs where recovery has been most robust (and even in surrounding metros), price growth is probably not the best metric to use for rental investors seeking a new property to buy and hold. Although the EGY for the country as a whole was 7.7 percent in Q1 2018, the variance in the Mountain West shows the danger of relying on an average—there are metros with much better (and much worse) EGY and gross yield than the 7.7 percent national average.”So, which metros are showing the strongest rental EGY? Of the 50 metros listed in the Q1 CRI report, Kansas City, Missouri-Kansas showed a 14.1 percent yield, a 2.5 percent quarter-over-quarter increase. Pittsburgh, Pennsylvania, is right behind Kansas City with a 14.0 percent yield and a 1.7 percent quarter-over-quarter increase. Other MSAs demonstrating a yield above 10 percent include Memphis, Tennessee-Mississippi-Arkansas (13.3 percent); Birmingham-Hoover, Alabama (12.3 percent); Buffalo-Cheektowaga-Niagara Falls, New York (11.9 percent); Cleveland-Elyria, Ohio (11 percent); Indianapolis-Carmel-Anderson, Indiana (10.9 percent); St. Louis, Missouri-Illinois (10.7 percent); Rochester, New York (10.7 percent); and Oklahoma City, Oklahoma (10.1 percent).On the other end of the spectrum, the San Jose-Sunnyvale-Santa Clara, California, MSA showed the lowest yield of those markets reported on in the Q1 CRI. Yield within San Jose-Sunnyvale-Santa Clara was only 2.8 percent, down 0.7 percent quarter-over-quarter.You can download the full HouseCanary Q1 Canary Rental Index by clicking here. Canary Rental Index HouseCanary Q1 2018 rental investments Single Family Rental 2018-05-10 David Wharton Demand Propels Home Prices Upward 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago About Author: David Wharton Related Articles Data Provider Black Knight to Acquire Top of Mind 2 days ago Previous: Finding the Right Balance in Servicing Technology Next: Energy Efficiency vs. Home Affordability Tagged with: Canary Rental Index HouseCanary Q1 2018 rental investments Single Family Rentalcenter_img Sign up for DS News Daily Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Home / Daily Dose / Which Region Has the Best Return on Rental Investment? Demand Propels Home Prices Upward 2 days ago The Best Markets For Residential Property Investors 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Share Save Data Provider Black Knight to Acquire Top of Mind 2 days ago David Wharton, Managing Editor at the Five Star Institute, is a graduate of the University of Texas at Arlington, where he received his B.A. in English and minored in Journalism. Wharton has over 16 years’ experience in journalism and previously worked at Thomson Reuters, a multinational mass media and information firm, as Associate Content Editor, focusing on producing media content related to tax and accounting principles and government rules and regulations for accounting professionals. Wharton has an extensive and diversified portfolio of freelance material, with published contributions in both online and print media publications. Wharton and his family currently reside in Arlington, Texas. He can be reached at [email protected] May 10, 2018 3,899 Views Which Region Has the Best Return on Rental Investment?last_img read more

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Dead & Company Recaps Tour Success, Sets Attendance Record for Wrigley Field

first_imgDead & Company wrapped up their biggest tour yet last weekend with two sold-out shows at Wrigley Field in Chicago, IL. Grateful Dead members Bob Weir, Bill Kreutzmann, Mickey Hart, veteran Jeff Chimenti, and firmly-welcomed newcomers John Mayer and Oteil Burbridge set the all-time record for most paid tickets for a single concert at the ballpark, drawing more than 80,000 fans across both shows.Dead & Co Closes Summer Tour With Sunshine Daydream Fireworks Spectacle At Wrigley [Videos]The 2017 tour, which lasted from the end of may through the first of July, drew in nearly 500,000 fans and consisted of 20 concerts, 10 of which were sold out shows, in 15 cities, including two-night stands at the Hollywood Bowl in Los Angeles, Shoreline Amphitheatre in San Francisco, Folsom Field in Boulder, Colo., Fenway Park in Boston, and Wrigley Field–according to a new press release.The Participation Row social action village, which also joined the band at every stop on the tour, featured a rotating cast of 14 different non-profit organizations with direct ties to Dead & Company. $176,930 was raised on behalf of these organizations, via auctions for signed D’Angelico guitars commemorating the tour.Conclusively, more than 20,000 different positive actions were taken by fans on Participation Row throughout the tour. Each fan who took three or more actions was given a limited-edition Dead & Company pin (from Clean Energy Advisors, sponsor of Participation Row).By the Numbers: some of the actions included:– 4,705 Dead & Company fans registered to vote or signed up for local election alerts with HeadCount (co-organizer of Participation Row)– Over 500 fans sent postcards to members of Congress calling for protection of National Parks, with the National Parks Conservation Association– 2,430 gallons of waste was diverted from landfills through a backstage recycling program managed by REVERB (also a co-organizer of the Row)– 2,800 fans made a donation to REVERB for a Nalgene water bottle, reducing single-use plasticDead & Company also shared this artwork on Facebook yesterday, featuring all 104 songs that filled the air.It’s safe to say this was Dead & Company’s best tour yet, and we’re keeping our fingers and toes crossed for more show announcements soon.NOTE: Live For Live Music is not responsible for the sharing of the “New Tour Dates” article from 2015, and we apologize for any inconvenienced feelings the Internet has caused as a result of that.Enjoy the full gallery from the first night of Wrigley Field, courtesy of Keith Griner of Phierce Photo. Photo: Keith Griner Photo: Keith Grinercenter_img Load remaining imageslast_img read more

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Dempsey grabs hat-trick as U.S. hammer Honduras 6-0

first_img(REUTERS)-Clint Dempsey scored a hat-trick as the United States hammered Honduras 6-0 in California on Friday to get their 2018 World Cup qualifying campaign back on track.The United States, who replaced coach Juergen Klinsmann with Bruce Arena in November after losing their last two qualifiers, opened the scoring through Sebastian Lletget after five minutes when he was on hand to tap home after Christian Pulisic’s shot squirmed past the goalkeeper.Honduras came back into the game but the home side doubled their lead after 27 minutes when U.S. captain Michael Bradley was afforded time and space to fire home a low drive from 25 yards out.Dempsey marked his return to the team after a year out with a heart complaint by making it 3-0 five minutes later when he volleyed home a deft pass from Pulisic, who made it 4-0 seconds after half-time when he shot into the bottom corner.Pulisic turned provider again three minutes later with a perfectly weighted pass that Dempsey steered round the keeper before firing into the empty net.Dempsey got his hat-trick and his side’s sixth goal in the 54th minute when he curled a spectacular free kick into the far corner of the net from 25 yards out.The result takes the United States onto three points, equal with Trinidad and Tobago and Honduras, and off the bottom of the group on goal difference.Mexico lead the table with seven points, one ahead of Costa Rica and three more than Panama.The top three teams in the group qualify automatically for Russia while the fourth-placed side goes into a playoff with a team from the Asian conference.last_img read more

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