Hey everyone… I’m looking to invest in a second home as an investment property. I’m thinking about putting down 20% and I’m fine with slightly higher interest. I need help finding 5-10 cities that have good rental markets right now or in the next couple of years, where a 3BD/2BA rental would cover the monthly PITI costs. Ideally, I want to see decent home price growth over the next 7-10 years. Any ideas?
Check out areas with strong job growth, good schools, and increasing population. Cities like Raleigh NC, Austin TX, and Nashville TN usually have solid fundamentals. Just remember, real estate is super local—what works in one neighborhood might not in another. Definitely find a local agent who knows investment properties in your target market. They can show you actual rent vs PITI numbers.
I’ve been thinking about Indianapolis, Atlanta, and Milwaukee, but honestly, the 3BD rental prices don’t usually cover PITI there.
Kai said:
I’ve been thinking about Indianapolis, Atlanta, and Milwaukee, but honestly, the 3BD rental prices don’t usually cover PITI there.
What do you mean by PITI? I see that term a lot but not sure what it covers.
@Devon
PITI is just Principal, Interest, Taxes, and Insurance. It’s what your monthly mortgage payment usually includes.
Yeah, I’ve heard Nashville is really taking off. But make sure to research the neighborhoods, because some areas are way pricier than others.
Cale said:
Yeah, I’ve heard Nashville is really taking off. But make sure to research the neighborhoods, because some areas are way pricier than others.
For sure… I’ll have to dive into that!
If you’re looking for emerging markets, keep an eye on places like Greenville SC and Boise ID. They’re becoming super popular and might have good ROI!
Totally agree with looking at job growth! Check out the Midwest too. Cities like Columbus OH have some good deals and growth potential.