Despite its many benefits, investing in real estate doesn’t come without risks. That’s why thorough research is required. You must make sure that the area you’re investing in has a stable local economy, high quality of life, plenty of amenities, and a competitive rental market.
Investing in the Houston real estate market can be an extremely lucrative venture. The experts at Real Property Management Prestige are here to help you make a smart investment! In this guide, we’ll go over the major reasons you should buy an investment property in Houston, Texas.
Why Invest in Houston, TX, Rental Properties
Houston, TX, offers for high-ROI investments. That’s why so many investors are buying investment properties in the area. If you’re still on the fence about investing in this city’s real estate market, keep reading to discover the top reasons why Houston is so popular among investors:
Strong Local Economy
One factor that makes Houston a good area to invest in is its strong, stable economy. The biggest industries in this city include the energy, healthcare, aerospace, manufacturing, and technology sectors. Moreover, due to its ideal location and its well-established infrastructure, Houston is a major hub for international trade.
The city’s stable local economy makes for a growing job market. With hundreds of newcomers moving to Houston in search of job opportunities, there is a growing demand for rental accommodations in the area. Moreover, the city’s strong economy and consistent job growth have a positive impact on real estate values, leading to favorable returns on investments as property values tend to appreciate over time.
Tourism is Booming
Houston is one of the most popular cities in Texas, receiving thousands of visitors throughout the year. Some of the major tourist hotspots in the Houston area include Space Center Houston, Houston Museum of Natural Science, Minute Made Park, the Houston Zoo, Hermann Park, The Museum of Fine Arts, Discovery Green, and Cockrell Butterfly Center.
Tourism greatly contributes to Houston’s local economy. Moreover, it opens the door to many investing opportunities. Houston is a great area to invest in short-term or vacation rental properties.
Population Growth
Houston is the most populous city in the state of Texas. It’s also one of the most diverse metropolitan areas in the entire country. Thanks to its stable local economy and job market, the city has grown consistently in recent years and is expected to continue expanding. From an investment standpoint, population metrics are crucial. A growing population is a reliable predictor of high rental demand.
Landlord-Friendly Laws
Texas is a landlord-friendly state. Local landlord-tenant laws tend to favor landlords when it comes to security deposit disputes and evicting unsuitable tenants. Moreover, Texas landlords aren’t required to obtain a license to rent out their homes.
More importantly, the state of Texas doesn’t have any limits to rent increases or rent control ordinances in place. Texas landlords face less pressure than other investors in other states. This means that you can have more control over your investment when purchasing a rental property in Houston, TX.
Hot Real Estate Market
The real estate market in Houston is still growing, which means that there’s still plenty of room for new investors. Plus, there are many areas to invest in.
Moreover, property values have significantly appreciated in recent years. According to Real Wealth, on average, home prices in Houston have risen over the past decade and are expected to rise even more in upcoming years as the city continues to grow. This means that you’ll get a stable return on your investment as time goes on.
Good Local Education
The city of Houston houses many school districts. The variety and quality of public education is a major selling point, making many moves to Houston every year. The growing demand for housing near good schools creates steady demand in specific neighborhoods. By purchasing a rental property in such areas, you can earn a reliable and consistent rental income and grow your long-term wealth.
In addition to this, Houston has four state universities, including The University of Houston. This city is also home to private institutions such as Rice University and the University of St. Thomas. Students, faculty, and staff are always looking for rental accommodations near campus, meaning that you can make a competitive rental income by renting out properties near these universities.
High Quality of Life
Quality amenities are key to making sure an area attracts renters all year round. Luckily, Houston has many amenities and attractions that help attract more people and raise the residents’ quality of life.
This city has plenty of natural areas, including Hermann Park, Memorial Park, and Eleanor Tinsley Park. Houston is also home to numerous shopping centers, restaurants, and entertainment options. With so many things to do, Houston renters often look for long-term rental accommodations, meaning a steady rental income for landlords.
The Bottom Line: Why Buy Houston Real Estate Investments
Houston is a popular city among real estate investors. After all, with its high quality of life, stable local economy, good education, and competitive real estate market, investors have ample possibilities of getting a good ROI and earning a stable rental income. Moreover, the state’s landlord-friendly laws ensure that their investments are always protected.
Are you ready to invest in the Houston real estate market? Contact Real Property Management Prestige today! With over 30 years of experience, our team can help you smoothen out the process for you and avoid common pitfalls. With us by your side, you can rest assured that you’ll get a great return on your investment!