My cousin, Liz, manages the accounts receivable department at Spectrum Health System. We speak often, and she tells me every time that she wants to quit her job. She loves our River City, just as I do, and she wants to do something with more involvement in the community. So, she recently asked me about my own career in real estate investing in Grand Rapids, MI, thinking she might do the same. I was delighted because it’s a great way to make a difference in the community and her financial literacy makes her a good fit for it. Not only that, several factors have come together to make this the perfect time to invest here—if you know how to find distressed houses for renovating and reselling.
Why Now Is the Time for Real Estate Investing in Grand Rapids, MI
I’ve been investing all across Michigan for a decade now, but Grand Rapids is especially showing more promise than ever. That’s why I was so excited to share with Liz what is taking shape. Things are looking so good that analysts are even predicting home sales prices will rise at the highest rate in the country this year. Here’s the market forces that you, and Liz, should keep an eye on:
- High-end housing is becoming out of reach. The housing market in Grand Rapids is top-heavy with many more options available to high-income homebuyers than to those in the starter-home segment. But, mortgage interest rates have been rising, making more expensive homes out of reach for some. Even moderately-priced homes are hard to afford as prices have been rising steadily while the number of homes on the market has decreased for nearly a decade. In fact, supply in the Grand Rapids housing market is at a 20-year low. Taken together, I believe that my focus on buying, renovating, and selling distressed properties is likely to find a strong seller’s market.
- The city’s economy is healthy and growing. Grand Rapids’ housing market is being powered by a vibrant economy. Unemployment is a full percentage point below the national average, and falling, and the signs of job growth are everywhere. The most obvious evidence of growth is the large-scale construction going on around the city. So much is being built that there was 9.3 percent growth in construction jobs year-on-year as of November 2018. Indeed, the newly opened 42,000-square-foot New Vista building on the edge of Medical Mile is already fully occupied. And, Michigan State University has announced plans to build a Medical Innovation Campus here as well. Nearby, the massive Studio Park entertainment center will open its first phase later this year, with a nine-plex movie theater, concert venue, seven-story hotel, apartment complex, restaurants, and stores. Taken together, these developments will create many new service jobs, and bring money into the city from tourists and conventioneers. The strong economy and job growth create a need for more housing, and provide the money for people to afford it. This is what investors like to see, along with investment properties that will cater to the new homebuyers.
- Universities provide stability—and opportunity—for the housing market. Grand Rapids is a young, well-educated town with 15 institutions of higher education, and this has a positive impact on the housing market too. These colleges provide stable employment for a comparative large staff while drawing students who then need housing. These factors support a strong rental market and even stimulates the sales market. So, even when the Grand Rapids real estate market sees some fluctuations, the education sector provides local stability. That sense of security for investment properties is not something that every locale can deliver.
While the Grand Rapids real estate market holds a lot of promise for 2019, you still need to have a source of good leads on properties. Without a good source of leads, you could put a lot of effort into looking for investment properties without coming close to getting the results you’re hoping for. That’s why I am glad to say that I was able not just to encourage Liz to start investing, but to steer her toward a great way to find leads.
How to Find Real Estate Investment Properties in Grand Rapids, MI
When I first started investing in real estate, finding leads was an exhausting chore. I would drive around looking at empty houses, run around real estate auctions across Michigan, and pay good money for lead lists that led me nowhere. Thank goodness, I found out about HomeVestors’ lead generation strategy. The nationally-known and trusted HomeVestors® “We Buy Ugly Houses®” campaign encompasses all media—billboards, radio, TV, and digital—and I reap the benefits of it. Motivated home sellers come to me now, and I spend my time making investments, not looking for investments.
You, too, can take advantage of the national advertising power of HomeVestors. Call HomeVestors today to find out how.
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