2019 US Housing Market Predictions: 9 Best Places to Invest in Real Estate

It’s officially 2019 and it’s time to start investing in real estate if you want to make this year a profitable one. Our US housing market predictions 2019 reveal 9 cities that are the best places to invest in real estate.

9 Best Places to Invest in Real Estate in 2019

The following cities were selected as they have the highest cash on cash return in the US real estate market. The housing market data for each city is provided by Mashvisor’s investment property calculator.

#1 Camden, New Jersey

  • Median Property Price: $103,073
  • Traditional Rental Income: $1,331
  • Traditional Cash on Cash Return: 6%
  • Traditional Cap Rate: 6%

The first of our best places to invest in real estate 2019 is the Camden housing market. Camden has been coming around for the past few years. It has reduced its crime rate and the economy is set to take off this year thanks to big companies like Subaru, American Water, and Holtec choosing Camden as the home for their headquarters. With this move came an investment of over $2.3 billion in the city.

This location is a bit of a hidden investment opportunity. The median property price is really affordable compared to the national average of $289,000. Not only that, but the city has not hit a hot seller’s market yet. This is evident in the very high days on market (DOM)- 286 according to Mashvisor’s data. All of this in combination with the high return on investment (ROI) and emerging economy, I’d say act fast and start looking for a rental property in the Camden real estate market if you want to make money this year.

With 6% as the average ROI of rental properties in the Camden real estate market, here are what the stats of a few investment properties for sale look like in the city:

2019 US Housing Market Predictions: 10 Best Places to Invest in Real Estate

You can start looking for Camden investment properties such as these using Mashvisor’s Property Finder Tool. Click here to get started.

#2 Key West, Florida

  • Median Property Price: $973,004
  • Traditional Rental Income: $5,765
  • Traditional Cash on Cash Return: 5%
  • Traditional Cap Rate: 5%
  • Airbnb Rental Income: $8,710
  • Airbnb Cash on Cash Return: 7%
  • Airbnb Cap Rate: 7%
  • Airbnb Occupancy Rate: 71%

Even though it can’t brag about being an affordable real estate market, the Key West housing market is still a top choice for investing in rental properties this year. Even with property prices as high as they are, Zillow’s housing market predictions 2019 show that they are still appreciating. The expected real estate appreciation is 3.4%. While not too high, it’s still notable for a market where prices are already expensive.

Despite the high cost of investment property, Key West rentals bring a good ROI. And some of the top-performing properties in the market are a few hundred thousand dollars below the median:

2019 US Housing Market Predictions: 10 Best Places to Invest in Real Estate

The Key West real estate market also makes this list thanks to the fact that Airbnb is legal in the city. Just be sure to check local Airbnb Key West regulations and zoning ordinances to be sure you don’t run into any issues.

Related: 8 Best Cities for Airbnb Investment in 2019

#3 Lancaster, South Carolina

  • Median Property Price: $182,799
  • Traditional Rental Income: $1,189
  • Traditional Cash on Cash Return: 4%
  • Traditional Cap Rate: 4%

The Lancaster real estate market is another hidden gem according to housing market predictions 2019. House prices are affordable and you can find even cheaper investment property for sale. Even with this fact, real estate value is on the rise. Zillow’s housing market forecast 2019 shows that property value will appreciate a whopping 9.7%.

The market is still a buyer’s market with a high DOM of 184. This means it’s unlikely you will find competition over houses for sale in Lancaster. You’d think that implies that a rental property won’t bring in a good ROI. However, with the high 10-year job growth rate of 40.5% exceeding the national rate, it’s no wonder property is appreciating and you can find homes for sale like these:

2019 US Housing Market Predictions: 10 Best Places to Invest in Real Estate

Start looking for a lucrative investment property now.

#4 Wynnewood, Pennsylvania

  • Median Property Price: $228,072
  • Traditional Rental Income: $1,727
  • Traditional Cash on Cash Return: 4%
  • Traditional Cap Rate: 4%

While the Philadelphia real estate market is a hotspot for investors, housing market predictions 2019 place Wynnewood as the best place to invest in Pennsylvania for high returns. Wynnewood homes for sale are affordable and can bring a very good ROI for real estate investors:

2019 US Housing Market Predictions: 10 Best Places to Invest in Real Estate

Buying a rental property in the Wynnewood real estate market will not only bring you positive cash flow but also appreciation. Real estate market trends show that property will appreciate a healthy 4% in 2019.

#5 Trenton, New Jersey

  • Median Property Price: $137,516
  • Traditional Rental Income: $1,430
  • Traditional Cash on Cash Return: 4%
  • Traditional Cap Rate: 4%

Another New Jersey city made it onto the list of the best places to invest in real estate 2019 and that’s Trenton. While Camden offers cheaper real estate with higher returns on investment, the Trenton real estate market is still a prime choice. With more than 60% of the population choosing to rent property rather than buy (according to Neighborhood Scout), demand for rental property is high. Realtor.com shows that prices are on the rise as well, 16% year-over-year.

The city is in a full swing seller’s market. However, because the DOM is still high (141 days), you can still find a profitable bargain in this market.

2019 US Housing Market Predictions: 10 Best Places to Invest in Real Estate

While things haven’t always looked very positive for the city of Trenton in general, local officials are working to make the city a better place for its residents. Job growth has seen a recent boost of 3.2% and is forecast to grow 39% over the next 10 years.

Related: The Best Places to Buy Investment Property in New Jersey State

#6 Bartlett, Tennessee

  • Median Property Price: $212,315
  • Traditional Rental Income: $1,447
  • Traditional Cash on Cash Return: 3.5%
  • Traditional Cap Rate: 3.5%

Housing market predictions 2019 show that the Bartlett market is set to slow down in appreciation. After rising 10% over the last year, value is forecast to rise about 3% this year. While the market is a seller’s market, it’s not a hot one. House prices have not hit unattainable peaks and there’s still room to find a profitable rental property in this Tennessee city.

2019 US Housing Market Predictions: 10 Best Places to Invest in Real Estate

The Bartlett housing market has actually been consistently ranked as a great place to live thanks to its safety and the diverse economy of the region. It’s truly an emerging real estate market where you can still find affordable properties that will make money. That’s why it’s among the best places to invest in real estate 2019 according to our market forecast.

#7 Jackson, Mississippi

  • Median Property Price: $240,701
  • Traditional Rental Income: $1,377
  • Traditional Cash on Cash Return: 3.5%
  • Traditional Cap Rate: 3.5%
  • Airbnb Rental Income: $2,282
  • Airbnb Cash on Cash Return: 5%
  • Airbnb Occupancy Rate: 53%

Jackson is another one of our best places to invest in real estate where Airbnb investments are profitable! Mississippi has a taxation system in place for Airbnb rentals so keep this in mind when planning any budget. Be sure to check with local Airbnb Jackson regulations and zoning ordinances to make sure running an Airbnb rental property as an investor is fully legal in the neighborhood of your choice.

As for the Jackson real estate market as a whole, it’s not exactly a hot market according to housing market predictions 2019. However, what it is, is a stable and affordable market for real estate investors. Not only are house prices budget-friendly but Mississippi is a low-tax state.

Need a few more reasons to invest in Jackson real estate? Well, the city is located in a landlord-friendly state for one. For example, you don’t need a rental license to be a landlord and the eviction process favors rental property owners over their tenants. This makes the whole process of buying and owning a rental property much easier on a real estate investor.

As Jackson is the capital of Mississippi, major universities are located in the housing market- Jackson State University, Belhaven University, and Millsaps College. College towns can make for the best places to invest in real estate!

Learn More: College Towns: The Best Places to Buy a Rental Property

All of these benefits are in addition to the great return on investment Jackson investment properties can bring when rented out:

2019 US Housing Market Predictions: 10 Best Places to Invest in Real Estate

#8 Santa Fe, New Mexico

  • Median Property Price: $591,509
  • Traditional Rental Income: $2,868
  • Traditional Cash on Cash Return: 3.5%
  • Traditional Cap Rate: 3.5%
  • Airbnb Rental Income: $2,525
  • Airbnb Cash on Cash Return: 2%
  • Airbnb Cap Rate: 2%
  • Airbnb Occupancy Rate: 58%

Santa Fe short term rentals are a good option according to housing market predictions 2019. While the average return on investment for Airbnb Santa Fe isn’t very high, here are what the top-performing vacation home rentals look like:

2019 US Housing Market Predictions: 10 Best Places to Invest in Real Estate

So, with the right Airbnb investment property in Santa Fe, this rental strategy can bring high returns. Luckily, the Airbnb regulations are moderate for this housing market. Just be sure to check them thoroughly to make sure you operate within the law.

The overall Santa Fe housing market forecast 2019 is positive. Realtor.com reports that prices have increased 2% year-over-year while Zillow reports that value increased in the past year by 14.5%. While real estate market trends for this year show a slight drop of 1.2%, it’s likely due to a balancing out of the 2018 hot market rather than a cause for concern. In fact, the market is not a seller’s market, it’s more of a healthy neutral as of now with a DOM of 148.

Even with things cooling down in the Santa Fe real estate market, a good return on investment won’t be hard to come by with rental property in this city:

2019 US Housing Market Predictions: 10 Best Places to Invest in Real Estate

#9 Cedar Rapids, Iowa

  • Median Property Price: $147,958
  • Traditional Rental Income: $1,180
  • Traditional Cash on Cash Return: 3%
  • Traditional Cap Rate: 3%

The final installment in our list for the best places to invest in real estate is Cedar Rapids. This is another affordable market and housing market predictions 2019 show a rise in value of about 3%. While the summer of 2018 saw a hot seller’s market for affordable Cedar Rapids investment properties in the $200-100,000 range, the market cooled down to a buyer’s market towards the end of the year. So this is another of our top real estate markets where you should act fast before homebuyers return to the market in the spring and you lose all negotiating power on cheaper rental properties for sale!

Start your search off right with high ROI investment properties in the Cedar Rapids housing market:

2019 US Housing Market Predictions: 10 Best Places to Invest in Real Estate

US Housing Market Predictions 2019 Say…

Emerging real estate markets are the best place to buy an investment property this year! While there are plenty of hot housing markets out there to try and compete in like Dallas or Orlando, these top 10 best cities for real estate will bring you high returns both in the form of cash flow and future property appreciation.

If you want to take full advantage of these housing market predictions 2019, do so with a 14-day free trial with Mashvisor. Sign Up Now and start using the best real estate investment tools to find profitable properties before the competition!

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