Redeploy Equity to Appreciating Markets with Growth Potential

According to Economy.com, there are a number of cities where home prices are expected to rise including Dallas, TX and Cleveland, OH. Although not an exhaustive list, other areas for opportunity include some of the locations below:

  • Mobile, AL: Forbes has stated Mobile is the next “Boomtown of the South” and Moody’s predicts Mobile will have the highest economic growth rate of all cities over the next 5 years.
  • Marion, AR: Located outside Memphis, this city has an unemployment rate 2% below the national average.
  • Indianapolis, IN: Wages are 10% above the national average and the cost of living is 8% below. Money magazine ranks it 14th out of the largest 100 markets for appreciation in 2008.
  • Greensboro, NC: Named 2nd year in a row by Site Selection magazine as the best city in the country for its size in attracting new and expanding businesses.
  • Raleigh, NC: Listed by Forbes as one of the 10 Best Places for House Bargains.
  • Charlotte, NC: Appreciated over 1% in the past 12 months and has solid economic fundamentals.
  • Columbus, OH: Rated by Money magazine as one of the top 10 large cities and one of the lowest risk housing markets; 2nd fastest growing city in the Midwest.
  • Tulsa, OK: Ranked by Forbes as 7th for income growth and 6th for job growth.
  • Salt Lake City, UT: Ranked by Forbes as the Best City for Jobs in 2008.

The Good News In Foreclosures

The increase in foreclosures is evidence of increasing demand for rental property. While its not possible to perfectly time the market, the potential to bump up rents now and in the future to improve cash flow and increase investment returns in the long-term may be a better reason to sell in this market now.