What Investors Can Expect from the Chicago Spring 2019 Real Estate Market
If you’re considering buying an investment property in the Chicago area this year, then it’s time to do your homework. Fortunately, we’ve got you covered, as we take a closer look at the local market trends that you need to know about to make an informed decision.
Here’s why you’re going to want to invest in real estate in 2019:
- Rental Demand is High – Chicago is such a hot market right now because over half of the population consists of renters. Lots of renters in the market means that rental income for properties is far greater than what you’d find anywhere else in the country. Those within the industry are seeing home sales slow due to tight supply. For investors, this means that more people moving to and around the area are willing to rent at higher rates.
- Chicago’s Job Market is Strong – Chicago’s labor pool is the largest in the nation. And, it’s only getting stronger. There’s been a steady increase in jobs across Chicagoland which means that more people than ever before are in need of housing and looking to rent. More businesses are moving into the area, and with that they’re attracting and relocating professionals who are looking for quick transition rental homes.
- Home Prices are Reasonable – As the number of people and households looking to rent instead of buy increases, the sale of home prices is coming down. So, when you start looking for your investment property, you can scoop one up for a reasonable price with no worries of how quickly you can recoup your investment.
- Luxury Rentals are in Demand – People from all walks of life and socio-economic statuses are renting these days. In addition to increased rent in solid blue-collar areas, we’re also seeing more demand for luxury rentals. In fact, the number of renters in the upper-middle class to upper-income category has doubled over the past decade making luxury rentals an extremely profitable investment.
- Renovated Homes are Available – There’s been a surge of available homes that have already been rehabbed. These properties are ideal for investors who want to buy a property to rent out but don’t have the extra time or cash to update on their own.
- Single Family Markets are Appreciating – Due to shifts in the employment market and economic uncertainty, those looking for single-family homes aren’t able to afford to buy one at the moment. This means that they’re looking to rent instead.
- Tax Plans Make People Reluctant to Buy – With the new tax plan in place, there’s uncertainty about property taxes, and so more people are holding off on purchasing a home. But, for investment property owners, this is good news, as it drives more to consider renting over owning.
When it comes to investing in the Chicago housing market, now is the time to do so. This city is practically bursting with potential renters at every level. So, if you’re looking for a strong return on your investment that will only increase with time, Chicago is the place you want to be!