Why you should invest in Phoenix real estate market
The Phoenix real estate market is one of the top rental markets for overall real estate prospects. There is a multitude of reasons why real estate investors should invest in Phoenix real estate investment deals. It provides a lot of cash flow, affordable properties for investment in Phoenix, appreciation and much more.
Cash flow
The bread and butter of a rental property are rental income. If you are purchasing any investment property, there are many opportunities to generate rental income. The real estateinvestors can find a Phoenix investment property that generates more in terms of rental income and Return on Investment (ROI).
Appreciation
A Phoenix investment property is like a gift that keeps on giving. A Phoenix real estate investment not only generates rental income in profit, but also appreciates at high rates. The Phoenix housing market has been in the top 20 percent for national appreciation during the last decade. Compared to the Arizona real estate market, the Phoenix real estate market has an appreciation rate that is higher than 50 percent of the state’s cities and towns.
Affordability
While the Phoenix rental market is closer to seller’s marketcompared to a buyer’s market, still it is affordable. On an average, thePhoenix median propertyprice is $393,000, although it is more than the national median of $308,000. It is lower than the median property price in Arizona real estate market.
Profitable traditional investing
Traditional investing is a good strategy in the city. There is a consistent demand for traditional Phoenix investment properties as around 47 percent of residents live in a rental property. Phoenix is experiencing an economic growth. Last year, Phoenix job market increased by 3.3 percent and it is more than the national average growth rate of 2.6 percent. The job market is on a positive trajectory as the 10 year job growth is estimated to be around 48.2 percent which is above the national average of 33.5 percent. The job market growth in the city will continue to be a primary attractant for long term residents and thus it is a long term investment. Phoenix is ranked as one of the best cities to retire and also the one with best public schools.
The Phoenix real estate market is one of the top markets for US real estate. With high profitability, relative affordability and success with traditional rentals, the Phoenix market has what it takes to appeal all types of investors.
