Demand and prices surge in Cleveland for turnkey investments
Cleveland Ohio is located on the southern shore of Lake Erie, about 60 miles west of the Pennsylvania border. Downtown Cleveland has experienced a renaissance over the past 5-10 years with an estimated 25 Billion in development completed or planned since 2010. Occupancy rates are at an astonishing 98% and home sales are up 12% year after year making this market a dream for the overseas or domestic investor. Great house prices and fantastic cash on cash returns with a huge potential for growth given the huge investment getting pumped into the city via companies like Amazon, Ford and individual investment from the likes of Dan Gilbert who helped rebuild Detroit.
The big question now is how long can prices availability and returns like this last ?
Unfortunately for potential or current investors looking at investing in Cleveland it looks like the clock is ticking. Prices are on the rise and the supply of these types of turnkey homes is down and finding good tenanted or renovated properties in good neighbourhoods is getting tougher.
As a company Global Investments Incorporated have been selling in Cleveland for the past 3 years and have sold over 1000 houses in the city. Good Single Family tenanted properties have been sold in and around the 35-45k mark and for a good Duplex an investor would look to pay around the 50-55k mark.
Due to huge Demand and a lack of supply the prices are slowly creeping up.
“ We have been expecting this for some time now. Very similar to what happened in Detroit 3-4 years ago. Cleveland is still an incredible opportunity for both the overseas and the domestic buyer but any client looking at getting involved needs to look at higher prices for these types of houses. The prices cant stay the same with such demand, lack of supply and huge investment into the city. These price increases were inevitable. I still think as a company we have another 12 months in the city before prices get too high. I think for a good, well located single family home any client should be looking at spending around $45k to $55k and for a well located Duplex they will need to look at between $60k and $80k. “ Mike Moodie CEO Global Investments Incorporated
Although prices are on the rise Cleveland Ohio still offers an incredible opportunity for any cash buyer to get well priced tenanted houses with great cash on cash returns and good appreciation over the coming 5-10 years.
If you would like more information on our Cleveland Ohio Investments or have any general questions on the US market place and what opportunities are available please contact any of the team at Global at firstname.lastname@example.org