Louisville, Ky. – Louisville is one of the top 10 cities in the country for rental property investment, according to All Property Management, a national property management service.
Derby City ranked seventh nationally and second in the Southeastern states region, behind Raleigh, N.C.
To calculate the statistics found in the recently released Q1 2015 Rental Ranking Report, All Property Management crunched data, including the most recent government housing and jobs data, for 75 metros across the United States. Particularly, the company looks at capitalization, home value appreciation, job growth rates, changes in rental prices, the median number of days properties have been on the market, and home vacancy to determine which cities will give investors the highest return on rental investments.
Louisville’s low vacancy rate, job growth rate, and rental price increases figured prominently in the national and regional ranking.
According to the report, Louisville’s extremely low vacancy rate of 3.80 percent is the seventh-lowest vacancy rate in the country and is about half the national average; Louisville’s job growth in the year ending in Q1 2015 was 3.86 percent, the eighth-highest job growth rate in the U.S. during that time frame; and Louisville’s moderately high cap rate of 8.35 percent and annual median rental price increased to 3.92 percent.
“With a revitalized downtown area, more than 20 colleges and universities providing youthful energy to the city, a thriving arts scene and parks galore,” the report says, “there’s a lot to love about Louisville.”