The real estate investment market in Arizona was once focused solely on metro areas such as Phoenix and Tucson but with the state’s regulations becoming more and more friendly towards home-sharing and short term rentals, nearly every corner has opportunities for lucrative rental properties.
Arizona is quickly growing in population, outpacing most of the U.S. and for good reason. The diverse selection of properties and locales provides options for every lifestyle and taste. As your local Arizona home lending specialists, we’ve put together some of the best locations in the state for rental properties.
Tempe
Home to one of the top colleges in the country, Tempe is truly a perfect snapshot of college town living. Small businesses dot downtown with chances to support the local economy and see what the state is all about. Arizona State University brings an amazing energy to the area and creates exciting nightlife and sporting events that bring the community together in celebration. As a college town, short-term rentals are extremely lucrative for students wanting to live off-campus.
Median sale price comes in at a comfortable $318,000 with that number expected to quickly jump up as schools and local attractions open back up.
Tucson
Getting away from the busy hustle and bustle of city life, Tucson leans into the raw natural beauty of the state. Boasting some of the best school systems and new business opportunities, families and entrepreneurs alike are flocking to the area in droves. This dichotomy of potential renters means a more diverse investment property portfolio as many new business owners will need short-term options while getting started while families will opt for more traditional rental agreements.
Median sale prices in Tucson are currently $199,800 which makes it a great option to get started in investment properties with prices only going up from here.
Phoenix
Ever the crown jewel of Arizona, Phoenix has seen spectacular growth in population, economy and job opportunities. The state’s rental-friendly laws paired with the popularity of Phoenix’s diverse nightlife and culture make it a prime location for rental properties, both traditional and short-term. The city has something for everyone and with more families looking to get out of the house this winter, Airbnb returns are comfortably going above and beyond traditional rentals.
Median single-family home sale price is $390,000.
Scottsdale
Scottsdale has been a strong contender for investment properties over the years as rent prices are some of the highest in the state. Its popularity for tourism and seasonal snowbirds even let it get through the 2008 real estate market crash with nothing more than a scratch compared to other areas of the U.S. Amazing school systems see families staying in the area for good. With higher rent prices comes higher sale prices but the return you can expect is well worth it, especially with how low current mortgage costs are.
Median sale prices are a higher than Phoenix at $421,000 but with higher ROI to match.
Get Your Slice of Arizona Real Estate Today
The Potempa Team has decades of combined experience in Arizona mortgages and home lending. We understand what each area has to offer and can match you with the perfect loan options that fit your investment goals and budget. As the snowbirds start flocking to the area this winter, it’s the perfect time to dive in and reap the rewards of Arizona real estate investment.
