We’ve spoken countless times before about the influence a location has on the performance of an investment property. Well, one of the most popular regions for real estate investment is the East Coast. However, just saying you want to invest in East Coast real estate isn’t enough; you need to know which East Coast cities are the absolute best.
We’re going to break down the East Coast real estate market 2019 so you know exactly which locations within this region of the US are the best. What do we mean by the best? We mean high return on investment and favorable market trends.
Finding the Best Cities in the East Coast
The best cities to buy rental property in any region across the US housing market 2019 can be found using our tools. Mashvisor uses traditional and predictive data analytics to measure investment property performance in any city or neighborhood of your choosing. If you’re going to invest in East Coast real estate, do it in the best way- use Mashvisor’s real estate data.
Related: Lower the Risk of Investing in Property with Real Estate Data
We’ve used our investment property calculator to measure the performance of both traditional rentals (long term) and Airbnb rentals (short term) across the East Coast real estate market. Calculating the key return on investment metrics and overall market performance, our tools have provided us with the proper data to make this list.
So here, in no particular order, are the best cities to invest in real estate in 2019 – East Coast real estate edition.
1) Portsmouth, VA
- Median Property Price: $171,104
- Price per Square Foot: $107
- Average Days on Market: 90
- Price to Rent Ratio: 12
- Monthly Traditional Rental Income: $1,166
- Traditional Cash on Cash Return: 3%
- Monthly Airbnb Rental Income: $2,683
- Airbnb Cash on Cash Return: 9%
- Airbnb Occupancy Rate: 63%
It isn’t the biggest city in Virginia, but there’s a reason Portsmouth is on this list. According to our data, there is a strong rental market here; the price to rent ratio indicates that many residents find it more affordable to rent rather than to own a home. Almost half of the Portsmouth population (47.80%) is renters.
This information is clearly reflected in the numbers we see regarding rental property performance (rental income and cash on cash return). The most common housing in Portsmouth is single family homes (61.58%), followed by apartments and high-rise buildings (20.06%). It seems that many people have realized the value of Portsmouth real estate as the market is currently red-hot. Start your search now.
Portsmouth is one of the 8 Best Cities for Airbnb Investment in 2019!
2) Cumberland, MD
- Median Property Price: $134,061
- Price per Square Foot: $68
- Average Days on Market: 167
- Price to Rent Ratio: 11
- Monthly Traditional Rental Income: $1,166
- Traditional Cash on Cash Return: 3%
- Monthly Airbnb Rental Income: $2,683
- Airbnb Cash on Cash Return: 9%
- Airbnb Occupancy Rate: 63%
Cumberland is one of the most affordable real estate markets in Maryland. This is mainly due to the slow appreciation rate of Cumberland real estate, as it has been lagging in comparison to other cities in Maryland.
However, the latest quarter shows that Cumberland home values appreciated by 5.22% (equating to an annual appreciation rate of 22.58%). This makes it the highest appreciating city in the US housing market for the last quarter which could indicate a near-future boost for the Cumberland housing market. Our data clearly indicates strong performance for both rental strategies, so we recommend you start your search now.
3) Springfield, MA
- Median Property Price: $163,145
- Price per Square Foot: $122
- Average Days on Market: 119
- Price to Rent Ratio: 11
- Monthly Traditional Rental Income: $1,229
- Traditional Cash on Cash Return: 2%
- Monthly Airbnb Rental Income: $2,135
- Airbnb Cash on Cash Return: 10%
- Airbnb Occupancy Rate: 48%
You might be seeing a lot of unexpected cities on this list, but this is really where you should be buying an investment property in the East Coast real estate market. Springfield is the third largest community in Massachusetts, with a population of 154,758. 54.39 percent of the city rents, so this is great news for traditional rental property owners.
Short term rentals also perform particularly well in this city; the cash on cash return of 10 percent is the highest on this list. The annual appreciation rate in Springfield is higher than 80 percent of the other cities and towns in Massachusetts.
Do you have a free Mashvisor account? Use our Property Finder to find lucrative investment properties that match your criteria in a matter of minutes!
4) Pittsburgh, PA
- Median Property Price: $240,703
- Price per Square Foot: $98
- Average Days on Market: 102
- Price to Rent Ratio: 17
- Monthly Traditional Rental Income: $1,212
- Traditional Cash on Cash Return: 2%
- Monthly Airbnb Rental Income: $2,281
- Airbnb Cash on Cash Return: 5%
- Airbnb Occupancy Rate: 60%
The fact that most of the housing inventory in Pittsburgh was built before World War II makes it one of the older and more historic cities in the US. This draws attention to the city which doesn’t go unnoticed by the real estate investing industry.
In the last ten years, the Pittsburgh real estate market has witnessed some of the highest appreciation rates in the country. With its real estate appreciating 50.39% over the last ten years, Pittsburgh is definitely the place for long term investments in the East Coast real estate market. Cash flow isn’t a problem either as you can see with the city’s average returns. And because these numbers are just the city level performance, you can definitely find neighborhoods with higher investment potential. Start your search now.
Related: The Pittsburgh Real Estate Market 2019: Should You Invest Here?
5) Ithaca, NY
- Median Property Price: $396,836
- Price per Square Foot: $199
- Average Days on Market: 149
- Price to Rent Ratio: 21
- Monthly Traditional Rental Income: $1,550
- Traditional Cash on Cash Return: 2%
- Monthly Airbnb Rental Income: $3,362
- Airbnb Cash on Cash Return: 5%
- Airbnb Occupancy Rate: 63%
Ithaca is where to invest in real estate in New York. The best thing about owning rental properties here is that the majority of Ithaca’s residents are renters. 80.90% of the dwellings are rentals. Ithaca’s appreciation rates over the past ten years put it in the top 40% nationwide.
Property prices are a bit higher than the rest of the East Coast real estate markets listed above, but that’s to be expected for a city in New York. It’s also a popular city among Airbnb guests; Ithica ranks as the third most popular Airbnb city in the state after New York City and Buffalo. Start your search now.
Related: 7 Best Places to Invest in the New York Real Estate Market 2019
So this is where to invest in East Coast real estate for a great investment opportunity. If you’re interested in more data like this for other cities in the East Coast real estate market (or any other region) you can get access now!
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