After William read my piece on being a landlord for the first time, he emailed to ask whether buying, repairing, and selling homes here in NOLA might be the best investment strategy for him. He emphasized that he wasn’t a young whippersnapper anymore and so was looking for a way to make a living as an investor that wouldn’t be as much of a long-term hassle as holding a rental. Of course, I responded with a resounding yes.
New Orleans investment property is my specialty. But, it still takes a lot of hard work to succeed even when you know where to find the best deals. I told him I couldn’t supply the required elbow grease, but I could give him some pointers on where he should look to get started. And, if it wasn’t too much trouble to venture into Treme, I’d do it over a cup of coffee from Backatown, too.
Where to Buy Investment Property in New Orleans
These days, I talk to a lot of people—both online and off—who’ve decided to buy investment property in New Orleans after they retire or as a strategy to build wealth now so that retirement can be more comfortable. And, I encourage both options. While the real estate market experiences its own ups and downs, these shifts aren’t nearly as dramatic as the stock market. Plus, when you buy, rehab, and sell homes like I do, where the market will be in ten years is not really your concern. Whether you can make a profit on your current investment after the repairs are finished in a handful of months, on the other hand, is. So, no matter when you start your career, buying, renovating, and selling real estate is a good investment for retirement. And, NOLA is a great city to invest in.
I’ll tell you why I like The Big Easy so much, too. If ever there was a great American comeback story, New Orleans is it. All but forgotten after Hurricane Katrina, then beat down a bit more by the Great Recession, NOLA came back swinging. Once the levees were repaired and revitalization efforts were underway, more jobs returned to the city. Before long, we’d regained most of the population we lost. And, that’s contributed to an increased demand for housing—so much so, in fact, that median list prices have also been on the upswing. If you can meet this demand by successfully buying, rehabbing, and selling homes at the right price, your investment returns could get a nice potential boost as well.
Of course, there are few better places to realize some of the best returns than in up-and-coming NOLA hotspots. And, here’s where I expect your best bets to be in 2019:
An extension of the revitalized Uptown area, the neighborhood of Freret has undergone its own renaissance in recent years. Public schools are performing above average, the number of family-friendly amenities has increased, and trendy shops, restaurants, and bars are popping up everywhere. But, because crime was once high in the area, Freret’s official move into up-and-coming status has been a relatively slow one.
With crime rates finally dropping, however, Freret’s popularity is rising—especially among first-time home buyers looking for NOLA neighborhoods that are still affordable. And, the rise in median home sales prices is starting to reflect this upward shift in demand. My prediction is that it won’t be long before Freret’s transition is complete. So, it’s best to get in on the ground floor now while you can still participate in this neighborhood’s rapid growth. That way, you can potentially grow your bank account balance, too.
Just a ferry ride across the Mississippi from the French Quarter, Old Aurora is out to make a name for itself as being the place to own a New Orleans home. And, with good schools, affordable housing, and a thriving nightlife, this urban community with a strong suburban feel is most likely to succeed. The crime rate in Old Aurora is lower-than-average for NOLA, which is a bonus. In fact, this factor alone can broaden the appeal of a transitioning neighborhood so that all types of potential buyers, from retired couples to young, single professionals, want to get in.
And, if the growing number of owner-occupied homes as well as the rising prices of median home sales are any indication, new residents do want to make Old Aurora their home. The key to getting the most bang for your buck and selling your investment property quickly in this neighborhood, however, rests in part with your ability to renovate with your buying demographic in mind. But, you’ve also got to buy and sell at the right price, too.
The suburb of Gentilly Terrace has its own comeback story and, like many New Orleans neighborhoods, its one you want to be a part of. One of the communities hit hardest by Hurricane Katrina in 2005, it’s since been cleaned up and on its way to being built up. New construction is becoming the norm as are old homes that have been updated with new amenities.
And, Gentilly Terrace is just off the beaten path enough that nights are quieter and the streets are safer than where all-night tourist parties reign. That’s helping to attract families to the area who want everything that comes with a cool suburban neighborhood without having to pay hot prices for a home. As the popularity of Gentilly Terrace grows and further pushes median home sales prices up, your potential for seeing good returns will rise, too—if you invest before it gets too hot to handle.
These three up-and-coming neighborhoods make great spots for finding some of the best deals on New Orleans investment properties. But, there are plenty of other opportunities for buying houses to renovate and sell around town, too—like my current haunt, Treme. That’s why it’s critical to have a marketing strategy in place that finds every potential deal, no matter where it’s located, when you start building your real estate investment business. Remember, in the end, it’s really all about the numbers. And, when you give as much focus to drumming up the best leads as you do to finding the ideal location, you’ll be able to invest smartly from the beginning.
Invest in NOLA Smartly With the Right Marketing Strategy
It was years ago that I started buying, renovating, and selling New Orleans investment property and, like I told William, I wasn’t exactly a young whippersnapper, either. For that reason, I was in a big hurry to get started. At this point in any other story I’d say that haste makes waste. But, because I chose to become an independently owned and operated HomeVestors® franchisee right out of the gate, I was able to start making smart investment decisions fast.
And, it was HomeVestors®’ “We Buy Ugly Houses®” marketing campaign that helped me do it. You’ve seen the ads on billboards or heard them on the radio, right? Well, so have financially-strained NOLA homeowners who need to sell their houses quickly. When they reach out for help, it’s local HomeVestors® franchisees, like me, they contact. That’s one heck of an easy way to generate qualified leads. It’s also a great strategy for making good choices about where to invest.
Be smart about how you find your qualified leads. Call HomeVestors about becoming an up-and-coming NOLA franchisee today!
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