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Should You Invest in Phoenix Real Estate in 2018?

The 2018 US housing market is providing real estate investors with locations all over the map for successful real estate investing.

It can be hard for a real estate investor, especially a beginner looking to find an investment property, to know exactly where to start investing in real estate. At least real estate investors can be sure of one thing after reading this post: Phoenix real estate is a good option for property investors for 2018.

When You Think of Phoenix Arizona, You Think of…

The desert, hot sand, and unbearably hot weather. And so did many real estate investors in the past. Phoenix is actually a booming, modern city with real estate investments ready to be seized. The Phoenix real estate market is no longer focused only on retirement homes and condos. Leave this idea behind or else you’ll miss out on some great real estate investing opportunities in Phoenix investment properties!

Related: Best Investment for 2017? Phoenix Real Estate

Phoenix Real Estate Is Predicted to Be…

In high demand for 2018. This is due to two factors that will greatly impact Phoenix real estate: job and population growth. Phoenix real estate will benefit from the city’s growing economy. In 2017, Phoenix real estate investing was given a boost because of the additional 51,000 jobs added during the year. As of October 2017, Phoenix had an unemployment rate of 4.5%, the lowest the city has seen since 2007.

Phoenix has gone through a 140% increase in the number of companies that moved their location to the city, meaning good things for the Phoenix housing market. Phoenix real estate, both residential real estate properties and commercial real estate properties, has seen an increase in renters and buyers because of these trends.

Click here to find Phoenix investment properties, and you too can benefit from the thriving economy of Phoenix!

Phoenix Real Estate Prices Are…

Finally predicted to slow down in growth, after a few years of sharply rising in the Phoenix real estate market. After the housing crisis, Phoenix real estate was hit pretty hard. The Phoenix housing market suffered because of housing speculation and increased inventory of Phoenix real estate. Much of this newly built Phoenix real estate was left vacant and that aided in the housing crisis’ effect on Phoenix. After the crisis, the Phoenix real estate market saw sharp rises. The rise of Phoenix real estate prices has been 9.5% over the past year, but now it’s predicted to rise only by 2.9% (according to Zillow), a much slower growth that real estate investors can still benefit from.

Phoenix Investment Properties Will Be…

Affordable, compared to the national index for housing affordability. According to the Wells Fargo Housing Opportunity Index, the national index is 58.3% for a median income of $68,000. For the Phoenix real estate market, the index is 65.8%. In comparison to other states, Phoenix investment properties will be pretty affordable for real estate investors and homebuyers.

Phoenix Real Estate Inventory Will Be…

In short supply. In the state of Arizona, general real estate construction will see some improvement, however. There is a predicted 15% increase in the construction of single family rental properties for 2018 (about 32,580 new residential real estate properties). This is good news for Phoenix investors of single family rental properties. Contrary to this, the Phoenix housing market will see a decrease in the construction of multifamily homes (about 32%). This means more competition for Phoenix investors of commercial real estate property.

Property investors shouldn’t be discouraged to enter the Phoenix real estate market as there are ways to maneuver a purchase in this kind of housing market:

  • Have financing in place before considering Phoenix rental properties.
  • Get pre-approved for a mortgage.
  • Real estate investors looking to pay with cash should have it ready as well as bank statements providing proof.

In this way, Phoenix investors won’t miss out on real estate investments for residential real estate property or commercial real estate property.

Don’t miss out on any real estate investment opportunities in Phoenix real estate. Click here and find an investment property today.

Airbnb Phoenix Is…

Totally legal! In 2016, the state of Arizona made Airbnb rentals legal in all locations, allowing Phoenix investors the choice between traditional rentals and Airbnb rentals. Phoenix investors can now jump on board and benefit from the rental income that comes with Airbnb Phoenix. Use Mashvisor to find an investment property for Airbnb Phoenix with ease.

Related: Phoenix Real Estate 2017: One of The Top Choices in Real Estate Investing

The Phoenix Investment Property Types You Should Go for Are…

Commercial real estate property is looking good because of the booming economy. This includes office spaces as well as real estate for retail.

Single family homes used as rental properties are also a good option for investing in Phoenix real estate. Real estate investors should even consider turning single family rental properties into dual occupancy rental properties to get more rental income.

Click here to find single family rental properties in the Phoenix housing market.

Multifamily homes and apartments for rent are also looking positive for the 2018 housing market, with some competition for real estate investors due to low inventory.

The Best Neighborhoods in Phoenix for Real Estate Are…

Now that you know Phoenix real estate is looking like a good real estate investment for 2018, where are the best locations for Phoenix investment properties? The five best neighborhoods in Phoenix for real estate investing (according to Trulia) are:

Best Neighborhoods in Phoenix #1: Camelback East

  • Median Sales Price: $309,500
  • Median Rent/Month: $1,750

Best Neighborhoods in Phoenix #2: Paradise Valley

  • Median Sales Price: $295,250
  • Median Rent/Month: $1,725

Best Neighborhoods in Phoenix #3: North Mountain

  • Median Sales Price: $201,000
  • Median Rent/Month: $1,225

Best Neighborhoods in Phoenix #4: South Mountain

  • Median Sales Price: $187,000
  • Median Rent/ Month: $1,250

Best Neighborhoods in Phoenix #5: Deer Valley

  • Median Sales Price: $231,650
  • Median Rent/ Month: $1,395

Click here to find Phoenix investment properties in the best neighborhoods for Phoenix real estate.

If you’re a real estate investor overwhelmed by all of the options in the US housing market for 2018, know that Phoenix real estate is a viable option for your next real estate investment. The economy and job growth will support commercial real estate property as well as residential real estate property investing. Phoenix investors have many options for real estate investing strategies in Phoenix as well, with no harsh restrictions on Airbnb Phoenix. Become a Phoenix investor in 15 minutes using Mashvisor and start making money in real estate.

Related: Where to Look for the Best Real Estate Investments for 2018

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Sylvia Shalhout

Sylvia was the Content Marketing Manager at Mashvisor. As a real estate writer, she has been covering topics for the beginner and advanced real estate investor, helping them make smarter decisions as well as real estate agents looking to take their business to the next level.

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