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With the rise in remote working, people now can work from almost anywhere. While initial expectations for the real estate market were uncertain at the onset of the pandemic, it has not slowed the interest in residential properties. We have seen the rise of places dubbed “Zoom town,” vacation destinations that are seeing a booming housing market. However, these places are not the only places where the real estate market is flourishing. People are leaving places in which home prices have already reached historic peaks, like Manhattan, Los Angeles, and San Francisco, in favor of smaller, growing cities with affordable housing. This creates a unique opportunity for investors; cities like Memphis are great places to invest in the real estate market.
Memphis is attractive to people looking to relocate, boasting a young, growing population. With the median age sitting at 36 years old, Memphis is a great place for millennials and younger adults to move to and settle down. When compared to other generations, millennials have the lowest homeownership rates, with the pandemic only serving to solidify their doubt in owning a home. 18% of millennials intend to rent forever, so investments in real estate in cities like Memphis pose a unique opportunity to capitalize on the rental market. Plus, the average rent in Memphis is $900 per month, far lower than many cities around the country and is an attractive factor to people moving into the city. Additionally, Memphis has a healthy job market and a median income of $55,000 making it attractive to people relocating for work.
For investors with the time and resources to handle the complete lifecycle of an investment property, investing on their own is a viable option. This option works for people who know their local market, have undertaken renovation projects before, and can effectively manage the property. However, many challenges can often place constraints on the process. For example, an investor may not live in or near the city they wish to invest in or have enough time to manage renovations, find tenants, or manage the rental property. This is where turnkey investment properties eliminate these issues and streamline the process for the investor.
A turnkey investment property requires very little time and effort to rent it out. Turnkey investment groups like Memphis Cashflow have already renovated properties before they are listed on the market. Sometimes, these properties may even already come with a tenant, eliminating the need to find one. They also provide property management services, so that they take care of any issues at the property, rather than the investor.
Additionally, a turnkey investment group understands the local market in a way a non-local investor may not. As experts, the turnkey group is better suited to help the investor find, select, and purchase the right investment property for them. This knowledge is built through years of experience and makes them the right partner for turnkey property investments.
While investing in real estate is not a guarantee for success, successful investments can be quite lucrative for the investor. Investments in real estate properties lead to cash flow income from rent paid by tenants. When the rental property is occupied, investors will receive a steady source of income each month, only needing to pay the property management fees after the property has been paid off. Additionally, their property may appreciate in value, which will allow you to get more for your investment should you decide you want to sell down the line.
If you’re looking to invest in rental properties, now is the time, especially in Memphis. New constructions going up are far less than in other cities, making the market ideal for buying and selling homes. On average, homes on the market are listed for less than two months before finding a buyer, with sales being made in as little as 24-48 hours during the pandemic. Investors cannot wait to make their investment, otherwise, they may miss out on their ideal property.
With a turnkey investment property, investors can start getting a return on their investment much quicker than if they were investing on their own. Since properties can come with tenants already residing, investors can start making money right away without the complex challenges of finding a reliable tenant. Alternatively, vacant properties are ready to rent, which means that with the help of a property management service, a tenant can start moving in as soon as possible.
Memphis Cashflow specializes in turnkey investment properties in the Memphis area and works with investors across the US. Eliminating the complexities of investing in real estate, Memphis Cashflow handles all aspects of turnkey property investments from start to finish.