Finding property investments high income locations is much more straightforward when you can access accurate data and investment tools.
To invest—or not to invest? That is the question.
Table of Contents
- How to Find High-Income Property Investments in Any US Location
- 5 High-Income Locations for Long Term Rental Property Investments
- 5 High-Income Locations for Short Term Rental Property Investments
As 2023 slowly unravels its latest trends, real estate investors are starting to “snoop around” and look at different real estate markets. They are trying to pin down the perfect location and come up with a strategy that will ensure enviable profits.
It’s not a one-man job, that’s for sure. Property investment high income locations are like looking for a needle in a haystack. But when you finally come across one that suits your requirements, it almost feels like you just hit the jackpot.
The great news for investors is:
Mashvisor’s Market Finder is here to help you find your ideal location in the nick of time. Our investment tool helps you get a “bird’s eye view” of different real estate markets and assess their potential.
So, if you’re hoping to gain better insight into some of the most profitable long term and short term investment property locations that guarantee high income, continue reading.
How to Find High-Income Property Investments in Any US Location
What makes an investment property a potential hotspot for real estate investors?
With the real estate market growing and expanding constantly, it can be hard to keep track of all the trends that come and go. Investment properties tend to demonstrate the same qualities, and if a particular property catches your attention, you should analyze it in more detail.
Here are the top three tips to help you land the next high-income investment property in any US location:
1. Set Clear Goals
Before conducting property research, setting clear investment goals for yourself is absolutely crucial to your strategy. From the beginning, real estate investors should come up with a clear, unhinged vision they will follow and work towards.
Whether investing in long term rentals, such as single family homes in North Carolina, investors should have a clear picture of their anticipated achievements (both financial and professional).
Bonus Tip
It’s extremely important to be realistic with your finances. Your current situation can affect your investment strategy tremendously. So, it’s vital that you go over your savings and check whether your next investment can bear the financial burden.
2. Skip Fixer-Uppers
The ultimate goal of real estate investing is to maximize your profits and expand your portfolio. Well, it can become questionable if you get stuck on fixer-upper projects that seem profitable at first glance.
Although additional work will certainly upgrade the property and make it more attractive for potential tenants, you could lose much of your profits and even your own money on constant repairs and renovations.
Don’t jump to conclusions and idealize the investment property just because other factors are favorable at the moment. Consider everything that might affect your strategy, finances, and future profits, and then make a decision.
Related: 5 Red Flags Investors Should Look for in Fix-and-Flip Properties
3. Use Online Tools
Researching multiple real estate markets, handling a ton of information coming your way, and making calculations that shape your investment strategy can become time-consuming. Also, you can find it quite overwhelming at some point.
Luckily, with the right investment tools, all of the above tasks can be done within minutes. You don’t need to worry about ending up with inaccurate and outdated information regarding your property.
For instance, Mashvisor’s Market Finder is the perfect tool for real estate investors searching for their next high-income real estate property in any US location. It allows investors to hover over the entire US housing market, see how certain markets perform, and analyze neighborhoods in more detail.
With Market Finder, you can use its heatmap feature to identify top-performing markets, bottom-performing markets, and everything else in between. With your newfound insights, you are able to make informed property investment decisions.
Find out more about how Mashvisor’s Market Finder tool can help you in your real estate investing journey by signing up for a 7-day free trial.
You can use Mashvisor’s Market Finder tool to get a bird’s eye view of the US housing market, see how certain markets perform, and analyze neighborhoods in more detail.
5 High-Income Locations for Long Term Rental Property Investments
If your investment strategy’s leaning towards long term rentals, you should conduct your real estate market research accordingly.
On that note, Mashvisor’s March 2023 location report can help you narrow down your search for the next high-income investment property hotspot.
According to our most recent report, here are the five most prosperous long term investment locations, arranged in descending order in terms of cash on cash return:
1. Sarasota, FL
- Median Property Price: $866,347
- Average Price per Square Foot: $464
- Days on Market: 100
- Number of Long Term Rental Listings: 1,146
- Monthly Long Term Rental Income: $3,227
- Long Term Rental Cash on Cash Return: 3.05%
- Long Term Rental Cap Rate: 3.08%
- Price to Rent Ratio: 22
- Walk Score: 51
The sunny state of Florida—and, more specifically, Sarasota—ranks as our number one long term investment location that ensures a high rental income. The place is mostly known for its rich culture and beautiful beaches and is best suited for growing families and retirees.
2. Winter Park, FL
- Median Property Price: $858,436
- Average Price per Square Foot: $406
- Days on Market: 124
- Number of Long Term Rental Listings: 176
- Monthly Long Term Rental Income: $2,964
- Long Term Rental Cash on Cash Return: 3.30%
- Long Term Rental Cap Rate: 3.35%
- Price to Rent Ratio: 24
- Walk Score: 25
Another Florida long term investment location that guarantees a high rental income is Winter Park. It’s arguably among the best places to reside in Florida.
Winter Park offers its residents a suburban feel, and it’s a quiet community. One of the city’s major perks is that it offers a lot of educational opportunities. There are many colleges in the area, with students representing a major percentage of the population.
3. Savannah, GA
- Median Property Price: $506,726
- Average Price per Square Foot: $320
- Days on Market: 74
- Number of Long Term Rental Listings: 373
- Monthly Long Term Rental Income: $2,117
- Long Term Rental Cash on Cash Return: 3.69%
- Long Term Rental Cap Rate: 3.75%
- Price to Rent Ratio: 20
- Walk Score: 72
Savannah in Georgia is third on our list of long term real estate property investment locations. If you’re looking for long term rentals that can generate high income, the coastal city should be on your list of cities to consider.
Savannah is, simply put, a quiet, relaxing location that offers residents the joys of the Southern lifestyle.
Related: Invest in Long-Term Rental Properties: A Secure Investment Option
4. Beaufort, SC
- Median Property Price: $589,225
- Average Price per Square Foot: $301
- Days on Market: 131
- Number of Long Term Rental Listings: 104
- Monthly Long Term Rental Income: $2,061
- Long Term Rental Cash on Cash Return: 3.01%
- Long Term Rental Cap Rate: 3.05%
- Price to Rent Ratio: 24
- Walk Score: 30
Fourth on the list of long term rentals is situated in South Carolina. We’re talking about the beautiful place of Beaufort—a lively city with vibrant people and unique culture. It is particularly known for the concerts, fishing, and other activities organized all year long.
5. Colorado Springs, CO
- Median Property Price: $515,569
- Average Price per Square Foot: $245
- Days on Market: 67
- Number of Long Term Rental Listings: 531
- Monthly Long Term Rental Income: $1,957
- Long Term Rental Cash on Cash Return: 3.02%
- Long Term Rental Cap Rate: 3.06%
- Price to Rent Ratio: 22
- Walk Score: 30
Colorado Springs is considered one of the most popular locations for long term investments. Even if it implies a cross-country move, many people still choose to come here.
Colorado is praised for its beautiful year-round weather, natural beauty, and plenty of things to do.
Land your next successful long term property investment with a little help from Mashvisor. Sign up and start your search immediately.
5 High-Income Locations for Short Term Rental Property Investments
If long term properties are not your cup of tea, so to speak, you can always choose the other route and focus on short term rental investments instead. There are numerous profitable short term investment properties that will ensure high income.
Below, we listed the top five based on our March 2023 location report, ranked from those with the highest to the lowest cash on cash return values:
1. Rileyville, VA
- Median Property Price: $332,031
- Average Price per Square Foot: $192
- Days on Market: 15
- Number of Short Term Rental Listings: 155
- Monthly Short Term Rental Income: $3,733
- Short Term Rental Cash on Cash Return: 7.57%
- Short Term Rental Cap Rate: 7.69%
- Short Term Rental Daily Rate: $236
- Short Term Rental Occupancy Rate: 56%
- Walk Score:10
If you’re looking to invest in a location that’s disconnected from everyday urban life, Rileyville is a perfect choice. The nature spot, situated in Virginia, will be a fantastic weekend getaway for those who truly enjoy kayaking, fishing, canoeing, and similar outdoor activities.
2. Columbia Heights, MN
- Median Property Price: $294,482
- Average Price per Square Foot: $142
- Days on Market: 22
- Number of Short Term Rental Listings: 314
- Monthly Short Term Rental Income: $3,724
- Short Term Rental Cash on Cash Return: 8.06%
- Short Term Rental Cap Rate: 8.21%
- Short Term Rental Daily Rate: $158
- Short Term Rental Occupancy Rate: 58%
- Walk Score: 82
Columbia Heights holds a reputation for being one of the best districts in the country. Here, most residents rent their homes—which makes it a perfect location for your next investment project. It offers simple pleasures, like interesting coffee shops, restaurants, and bars.
3. Bridgeton, MO
- Median Property Price: $264,711
- Average Price per Square Foot: $136
- Days on Market: 23
- Number of Short Term Rental Listings: 120
- Monthly Short Term Rental Income: $3,291
- Short Term Rental Cash on Cash Return: 7.69%
- Short Term Rental Cap Rate: 7.83%
- Short Term Rental Daily Rate: $154
- Short Term Rental Occupancy Rate: 58%
- Walk Score: 3
Third on our list is Bridgeton, one of the liveliest places in Missouri. The town is known for attracting all sorts of tourists. It features plenty of historic landmarks, local attractions, and tourist shops. There are lots of fun things to do while on a short vacation in Bridgeton.
Related: How to Access Airbnb Occupancy Rate Data in 2023
4. Broadview, IL
- Median Property Price: $251,790
- Average Price per Square Foot: $208
- Days on Market: 83
- Number of Short Term Rental Listings: 307
- Monthly Short Term Rental Income: $3,189
- Short Term Rental Cash on Cash Return: 7.04%
- Short Term Rental Cap Rate: 7.18%
- Short Term Rental Daily Rate: $164
- Short Term Rental Occupancy Rate: 59%
- Walk Score: 77
Broadview is a village in Illinois that offers a lot to tourists. For one, it boasts a unique and rich Mexican cuisine for spicy-food lovers. Plus, it is generally a pretty friendly neighborhood. For those looking for a getaway to a smaller area, Broadview should be their go-to place.
5. Sansom Park, TX
- Median Property Price: $249,929
- Average Price per Square Foot: $172
- Days on Market: N/A
- Number of Short Term Rental Listings: 304
- Monthly Short Term Rental Income: $2,992
- Short Term Rental Cash on Cash Return: 7.09%
- Short Term Rental Cap Rate: 7.24%
- Short Term Rental Daily Rate: $164
- Short Term Rental Occupancy Rate: 50%
- Walk Score: 37
Last on our list of the most successful short term rentals is Sansom Park, located in Texas. It is a highly populated area and offers everything that tourists need—good food, movie theaters, gyms, and other forms of entertainment for more adventurous types.
The most interesting fact about the area is that it dates back all the way to the 1800s—which means that it boasts a rich history, as well.
Look up promising short term rental investment properties, and narrow down your choices with Mashvisor’s highly-ranked investment tools. Start your search today!
Wrapping Up
We just successfully covered the substantial topic of property investment in high income locations and how to reach such an investment jackpot.
Now, let’s just briefly go over the most important facts we mentioned above.
Some helpful tips for finding the best investment property include setting clear investment goals, avoiding fixer-uppers, and using online tools to handle information more precisely. Combined, they can significantly influence your next property purchase.
The most important decision, though, is not only up to you, as an investor, but to the state of the real estate market at the moment, as well.
In order to make a successful investment and generate passive income, you should take the time to develop a strategy that will factor in the latest real estate market trends.
Mashvisor’s tools are specifically designed to give real estate investors a helping hand in this regard. The Market Finder tool supports investors in viewing the real estate market from a wide angle and pinning down the best choice—be it long term or short term rentals.
Our goal is to assist real estate investors in finding and managing their properties in the most efficient way.
Sign up for Mashvisor’s 7-day free trial now, and start your research.