According to the latest report from Trulia Worcester, MA still offers real estate investors some of the best value and deals in the country. So just how does Worcester stack up, and what resources can help income property investors maximize the opportunities?
Giant online listing platform and data compiler Trulia’s latest Bubble Watch report pegs Worcester, Massachusetts one of America’s top 10 most undervalued metros. In contrast to Austin, Texas which was considered as almost 20% overvalued as of the 4th quarter 2014, Worcester was evaluated as 15% undervalued in terms of housing prices.
This puts Worcester on par with real estate investment bargains in Detroit, MI and Akron, Dayton, and Cleveland, OH, only being located in the economically superior northeast. This new data should make Worcester truly stand out for both investors throughout New England and global property investors looking to expand portfolios in the US. According to surveys earlier this year around 80% of US millionaires and foreign investors said real estate was their top pick, and would be increasing investment this year.
Worcester’s proximity to Boston also promises continuing improvements to fundamentals. Local house prices and rents will keep growing as inflation and rising living and housing costs drive more further outwards from Boston, and as businesses and workers are able to maintain and improve lifestyle and revenues thanks to better connectivity, and remote working.
Lower barriers to credit and increased pressure on lenders to inject capital into the market is not only making it easier for MA real estate investors to capitalize on current opportunities, but in turn will elevate property values and returns for investors. Lenders like Indianapolis based Rental Home Financing are offering new investment property loans for bulk purchases of single family homes, expanded credit approvals for apartment buildings, and refinance loans to expand rental portfolios, as well as loans for foreign nationals.
Still, it is no secret that realizing the maximum benefit from opportunities like this comes down to property management, especially for out of area, or overseas investors. In fact, many may find it smart to consult a local Worcester, Mass. property management company before closing so they can verify and back up assumptions on rents, rental demand, local occupancy rates, and typical operational costs, etc.
There are a number of factors to look at when selecting a property management service you’re your Worcester income properties, however finding a professional firm and team that shares your values and strategy is really what matters and will dictate performance when all other factors are equal.
In summary; Worcester, MA offers some of the best value property deals for investors in the US today. Capital is plentiful. Yet, to fully maximize returns and rewards find a great match in a local property management company early.