Atlanta vs. New England: Which Metro Has a Better Investment Housing Market?

— HomeUnion compared both markets to find Atlanta is the best metro for real estate investors.  —
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IRVINE, Calif., Jan. 31, 2016 – HomeUnion, an online real estate investment management firm, has completed an in-depth analysis of the single-family rental (SFR) investment markets of Atlanta and Boston to see which one will perform best in 2017. HomeUnion analyzed the supply and demand drivers (employment growth, rents, vacancies, etc.) fueling each market, according to Steve Hovland, director of research for HomeUnion. “We also factored in cap rates and median SFR prices. High cap rates and lower entry costs were given preference in this study.”

Based on these criteria, Atlanta beats New England’s investment housing market. “Atlanta’s SFR market is firing on all cylinders, with employment growth that will surpass national levels, increasing rents and occupancy. Cap rates are relatively high and pricing remains attractive for investment assets in the Atlanta metro. Out-of-reach median home prices make Boston a harder investment play for most buyers, alternatively, but vacancies are incredibly tight, making Boston a better long-term appreciation market.”

How Atlanta Stacks Up Against New England

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Atlanta Boston
Employment growth will outpace the nation, jumping up 2.8%. Employment growth will increase 2.1% year-over-year in 2017.
Rents are expected to increase 3.5% by the end of 2017 to $1,328 per month. Rents are expected to rise 2.9% by year’s end ti $2,536 per month.
Vacancy will plummet 120 basis points to 5.1% Vacancy will tighten 70 basis points to a scant 2.1%
Cap rates ticked up 20 basis points to 7.6% while median SFR prices remained low at $115,000 in 2016. Cap rates rose 40 basis points to 5.4%, while median SFR prices ended the year at $295,000.


www.homeunion.com

About HomeUnion
HomeUnion is an online real estate investment management firm. Based in Irvine, Calif., it provides all the services needed for individuals to invest remotely in single-family rental (SFR) properties. The company uses a combination of research and data-driven proprietary analytics to incorporate over 110 million homes and 200,000 neighborhoods into their database, and then delivers its solutions to an on-the-ground infrastructure that currently serves 18 locations. HomeUnion’s role spans the lifecycle of the investment transaction: identifying sound investments, handling all aspects of acquisition, maximizing income, protecting asset value, and selling the asset when the time comes.

 

Media Contact:
Stacey Corso
Communications Manager, HomeUnion
stacey.corso@homeunion.com
415.672.6460

 

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