HARD MONEY, 3340 Players Club Pkwy, Memphis, TN 38125, USA
Did you know that Memphis is the most populous city in Tennessee? People flock to Memphis for various reasons which is why investors should keep this area on their radar.
If you are looking to expand your investment portfolio, look into Memphis real estate. Keep reading to learn why Memphis is the place to invest!
1. Job Growth and Development
One reason to invest in Memphis real estate is that the area is seeing job growth and development.
Currently, a lot of big businesses and companies are moving to Memphis for quick production and distribution. Since Memphis is in a central location, businesses are able to save on shipping costs.
Memphis is home to large company headquarters, such as:
- International Paper
Additionally, new Amazon distribution centers have popped up in the area along with many others that they currently hold.
The government has attracted these companies by offering incentives to help increase employment opportunities. Jobs are readily available with these companies and more!
The government has ensured that people can find jobs in Memphis when they need them most. With this type of investment in the residents of Memphis, it’s no wonder that more people are moving there and investing there.
2. High Affordability Tax
In Memphis, renting a home is typically more expensive than buying one overall. However, the financial posture of tenants prevents a lot of them from purchasing a property. In this case, they have no choice but to look into the rental market.
Since homes are more affordable, investors can buy them and benefit from immediate rental income by making rent higher than the mortgage payment.
You can rent out your Memphis investment property in different ways to generate passive income. For example, listing your property on Airbnb can help you generate a consistent cash flow.
This means you not only can rent out to long-term residents but short-term residents as well. Many people visit the Home of the blues and Birthplace of Rock ‘n’ Roll!
Now is a great time to invest in Memphis when the houses are affordable compared to other housing markets across the country and in the state of Tennessee.
3. Real Estate Will Increase in Value
If we take what we’ve learned from recent history, we can assume that Memphis real estate will go up in value. This seems more likely when you take inflation into consideration.
Although the worst of inflation is behind us this year, prices are still drastically higher than normal. In the past, inflation has lasted for years at a time.
To preserve your wealth during times like this, you need to buy things that have value. Cash becomes less valuable over time but land will always have value. Even when the market is going up and down, land will always be land.
As other investment types struggle, investing in real estate can increase your overall wealth.
4. Real Estate Investments Have Lower Risks
Investing in property in Memphis sounds scary, but the truth is that real estate holds inherent value. Compared to other investment vehicles, real estate comes with lower risks.
When you invest in the stock market, it’s possible that the company loses value and can decrease all the way to zero. The strategy of holding stocks sometimes fails when businesses go bankrupt.
In contrast, real estate prices can fluctuate but always go up in the long run. This is especially true in big historical cities like Memphis, TN.
If you are looking for safe investments, Memphis is the area to look deeply into. As inflation continues, the demand for quality real estate will drive up so start looking for great properties before they are hard to find.
You can join a buyer’s list to stay up to date on newly renovated rental properties.
Real estate investments can also diversify your portfolio. Investing in cryptocurrency and the stock market might be easier, but it’s also riskier.
Portfolio diversification is important. You don’t want all of your investment eggs in one basket.
The best strategy is to invest some of your money in real estate, some in the stock market, and maybe dabble in cryptocurrency.
Because Memphis real estate has strong growth potential, it’s a safer investment option to choose from.
5. Low Vacancy Rates
Any real estate investor knows to never invest in an area with a high vacancy rate. Luckily, the COVID-19 pandemic has decreased the vacancy rate around the country.
Out of 40,446 residents in Memphis, the homeowner vacancy rate is 0.8%, on par with the national average.
There are over 19,000 rental units in Memphis and the vacancy rate for rentals is below 10%, also on par with the average across the United States.
Before you invest in a rental property, it’s important to get a property valuation. This will help you determine if the property can make you money in the future by looking into vacancy rates, among other factors.
Home buyers like We Buy Houses can help you sell your house fast if your property is going through a drought you don’t want to wait out.
Memphis Real Estate: Should You Invest?
Whether you are a beginner or a seasoned investor, Memphis is the place to be! When you invest in Memphis real estate, you benefit from job growth, high affordability, and low vacancy rates.
Real estate value will increase over time and never go down to zero, which makes it a low-risk investment.
Are you ready to get started? Contact us today to learn about the Memphis properties we have to offer.
Hard Money Lending Highlights
- Fix & Flip, New Construction, Rental & Commercial Bridge loans available.
- ≤70% Loan to Value based off of the After Repair Value
- No Limitations on Rehab Budget in Relation to Purchase
- Minimum FICO 650
- 12 Month Term
- Loan Must Close in LLC or Corporate Entity
- Quick Closings
- Rates from 7.49% to 10.99% – Interest Only
- Origination Fee 2-3 Points
- All Asset Classes Considered
- Loan Amounts Up To $100,000 – $3,000,000