Investing in real estate is one of the most effective ways to grow your wealth. Real estate is a safe investment that allows you to generate passive income and expand your earnings. Residential real estate reliably appreciates in value over time, making it an excellent venue for building wealth. As a rental property investor, we know you’re always looking for the hottest markets and the best locations.
For investors looking for the best bang for their buck, Memphis and Little Rock are the places to buy. Both cities have excellent business opportunities, an affordable cost of living, high rental rates, demand for housing, friendly landlord laws and a lot of character.
These factors add up to high returns on investment. With so many reasons to invest in Memphis and Little Rock, you will love our markets, and our team at Turnkey Properties is here to tell you why.
Strong Rental Market
Across the nation, rental prices are rising at a higher rate than in previous years. According to the National Public Radio, rental prices have surged to 20%, increasing the median monthly rental cost to $2000 countrywide. Memphis and Little Rock have followed the same trend, and rental property owners are happy investors as a result. When rental prices go up, buy-and-hold investors win.
In Memphis and Little Rock, rental rates have remained steady for some time. A combination of short housing supply and high housing prices means many Memphis and Little Rock residents are looking to rent rather than buy a home.
This outlook does not appear to be changing anytime soon. As property values continue to appreciate over time, our investors enjoy a passive income that increases with the years, which is an excellent hedge against inflation. With a strong rental market, our cities provide a wealth of opportunities for property investors, resulting in a strong cash flow.
Because our home prices are lower than most markets and with high rental demand, Memphis and Little Rock are great locations for either beginner or expert investors to make their mark and grow their wealth.
Best Bang for Your Buck
Memphis’s & Little Rock’s rent-to-price ratios are excellent for investors looking to buy in these areas compared to other cities or states. With competitive rent-to-buy ratios, you can expect higher returns on investment. Low housing prices also make it possible for investors to build real estate portfolios quickly, increasing your passive income by a higher degree than in other cities.
Thriving Business Hubs
Home to industry giants like FedEx, International Paper, and AutoZone, Memphis boasts a thriving business economy that provides thousands of jobs to the local community. Employment is in a growth stage, increasing by 1% in the past year according to Roofstock.
Logistics operations are the cornerstone of the Memphis economy. Located at the crossroads of two national interstate highways, this city attracts travelers from all areas of the country. The city’s gross domestic product clocks in at $77 billion, amounting to a 30% growth over the past decade. These factors make Memphis a prime destination for job growth and stability.
Similarly, Little Rock’s thriving business community makes this city a great place to invest. With trending job growth thanks to employers like the state government, the Little Rock Air Force Base, the University of Arkansas at Little Rock, and a plethora of major hospitals, it’s no surprise that there is room for opportunity in the area. Kiplinger Magazine even named this capital city one of the “best places to live”.
Landlord-Friendly Laws
Creating passive income should be a relatively passive experience, and that’s why, for rental property investors, it’s essential to find a destination with a landlord-friendly legal system. Tennessee & Arkansas laws favor landlords, making it easier for them to manage properties without strain.
Some benefits include:
- Allowing the landlord to provide a quit notice for residents who have violated the lease or rental agreements twice within six months
- Eviction appeals require one year of paid rent to get a court date
- Rent can’t be withheld over disagreements with property managers
- Quick eviction process
Of course, we avoid the need to use these landlord-friendly laws through effective property management. At Turnkey Properties, our low eviction rate speaks to our team’s skills.
Population
As the 42nd largest city in the nation, Memphis’s current population is approximately 633,000. The city is in Shelby County, Tennessee’s most populous county.
Despite slow population growth, the 1.3 million county residents make the city a prime location for real estate investors due to the large number of these residents looking to rent rather than buy.
Little Rock is the capital of Arkansas and has seen a 4.7% increase in population yearly for the past decade. With a population of nearly one million in the metropolitan area, Little Rock is a thriving city located just two hours from the city of Memphis.
Turnkey Properties: Your Choice for Investing
The most important reason you should invest in Memphis or Little Rock is how easy our team makes your property management. We provide clients with fully-renovated single and multi-family properties in Little Rock and Memphis, help place tenants, and help manage rentals.
If you’re looking for an opportunity to invest in Little Rock or Memphis, you’ve come to the right place. Turnkey Properties is a locally-owned team of licensed real estate agents, licensed property managers, and experienced real estate investors managing 2,000 homes across two cities. We do what we say and do the right thing for our clients 100% of the time, which is rare in real estate.
With 40 years of experience under our belts, we’re ready to help you make the next move in your real estate career. Contact Turnkey Properties today to find out how we can help make your investment dreams a reality.