Looking to break into real estate investment or expand your investment property inventory to the Houston area? Now is a great time to do so! According to Zillow, Houston's home values have risen 12.5% in the past year.
Rising home values mean you as an investor are likely to receive a great return on investment or ROI. But where should you start looking for the best Houston properties to invest in?
A property manager is a great asset to have when scouting locations for investment. Keep reading for some of our tips on choosing the right location for your Houston investment property.
What to Look For in a Location
Style, condition, and age of a home are important things to consider when choosing an investment property to become a successful real estate investor. But there is perhaps no aspect of a rental property more important than the location. Here are some specifics to dive into when scouting different neighborhoods in the Houston area.
What are your overall impressions of the neighborhood, and what is the neighborhood's reputation? Prospective tenants are always looking to live in a safe neighborhood, so make sure to note each location's crime rate. Beyond safety, what amenities does the neighborhood have to offer? Ask yourself some of these questions:
- How walkable is the area?
- Is the neighborhood close to public transportation or highways?
- Are there attractions and things to do nearby?
Also, consider the real estate market of each individual neighborhood. If the neighborhood is currently a seller's market, there is a low supply of homes but high demand. That could mean a higher price tag on properties, but more interest when you go to rent them.
No matter your choice of location, make sure to be aware of federal, state, and local laws you'll have to follow as a landlord. Let's dive into a few neighborhoods to consider for Houston real estate investors.
Locations for Houston Investment Property
The River Oaks neighborhood is situated between Uptown and Downtown Houston and is one of the most sought-after neighborhoods in the city. It currently has a balanced real estate market and is a well-known model for community planning. While River Oaks properties may carry a higher price tag, you're likely to make a great return on investment with the popularity of this neighborhood.
EaDo or East Downtown is a great neighborhood for those looking to live in a safe part of the downtown Houston area. The appreciation of properties in EaDo is fast in this currently balanced real estate market, so you'll be making a worthy investment in this neighborhood.
Houston Rental Property Management Experts
Beyond the above options, there are plenty of great neighborhoods in Houston to choose from. But there's much more that goes into Houston investment property management beyond choosing and buying your properties.
From procuring leases to handling tenant issues, Terra Residential Services has the professional experience to handle it all. We pride ourselves on improving cash flow and financial performance for owners while creating a positive experience for tenants. For all of your rental property management needs, contact us today.