What’s the difference between should-a, would-a, could-a talkers about investing in real estate and investor doers who actually did invest in residential real estate since the recession? Gains.
Well-timed and well-located residential real estate investments have paid pretty well for investing doers. Looking at average home prices in 2009 in Detroit and San Jose compared to average home prices in these two cities in 2018 pretty much tells the story.
Detroit – Average home price in 2009 = $47,000
Average home price in 2018 = $137,900
San Jose – Average home price in 2009 = $395,000
Average home price in 2018 = $1,150,000
Take a look 20 places that have garnered returns from +110% all the way up to +190% since 2009.
Detroit-Warren-Dearborn – +193%
San Jose-Santa Clara-Sunnyvale – 191%
Cape Coral-Ft. Myers – +173%
Flint, MI – +169%
Reno, NV – +165%
San Francisco-Oakland-Hayward – +158%
Miami-Ft. Lauderdale-West Palm Beach – +142%
Stockton-Lodi, CA – +140%
Las Vegas-Henderson-Paradise – +140%
Orlando-Kissimmee-Sanford – +136%
Modesto, CA – +126%
Porta Gorda, FL – +126%
Phoenix-Mesa-Scottsdale – +124%
Palm Beach-Melborne-Tuscaloosa – +122%
Denver-Avon-Lakewood – +120%
Riverside-Ontario-San Bernardino, CA – +119%
Tampa-St. Petersburg-Clearwater – +115%
Sacramento-Roseville-Arcata – +114%
Lakeland-Winter Haven, FL – +112%
Port St. Luca, FL – +111%
Such returns are about more than luck and timing, right? Factor in research to the mix plus a willingness to give real estate investing a shot.
As with everything, up-and-down cycles change real estate landscapes and opportunities all the time. Plus, there are many ways to structure a deal and a partnership, even in regards to real estate investment doers.
