Many professional investors are now starting to dedicate a significant share of their portfolio to real estate in 2019, according to Colliers Global Investor Outlook. The real estate market looks to correct in the early stages of 2019 with strong forecasts thereafter.
Real estate crowdfunding is starting to really pick up steam as many investors look to diversify into specific regions and types of property and the waning desire to actually own physical real estate due to the standard ongoing maintenance and hassles that come with actual real estate. It is believed that by 2025 the crowdfunding industry as a whole is anticipated at more than $300 billion!
Now that new opportunities are opening up in the property market via Real Estate Crowdfunding, it might be time to start thinking about what locations are best in terms of potential profitability. Here is our list of the world’s top 6 real estate investment locations:
As the city continues to grow, prices are low and with plenty of huge investments and infrastructure projects coming to the city, Detroit certainly is a great place to invest in. Plus, mix that with low delinquency and guaranteed rental contracts there are certainly some amazing opportunities to benefit from. According to the Real Wealth Network, the median home price in the area Is $80,000 for 2019, with a median monthly rent of $942.
London topped the World Economic Forum’s “30 Top Cities For Real Estate Investment” for three years running between 2012 and 2014. The city has seen prices fall for the fifth month in a row and is seen as a great opportunity for buyers and investors.
Whilst the average price of a house in London still sits at around £478,853, there is some uncertainty over what will happen to the housing market come to Brexit. It is definitely worth keeping a close eye on property prices and the opportunities that may emerge in the next 18 months.
Routinely coming second in the World Economic Forum’s list of cities for real estate investment, New York remains a powerhouse on the property investment scene.
According to reports from Mashvisor.com, the New York housing market is switching to a buyer’s market. Figures from the report indicate that the number of homes for sale has risen dramatically. It is believed that in 2019, any real estate investor looking to buy an investment property in NYC will have the upper hand.
According to Zillow, the housing market in San Francisco remains as strong as ever with a rating of 10 out of 10 for market health. Realtor.com has the average home price in San Francisco to be at $1,388,000 and Zillow also believes that this may rise even further by 7.4%.
Even rental prices in the area have seen an incredible increase since 2018 – with 3 bed room properties increasing in rental value by 14%!
Paris is another city that frequently appears on the World Economic Forum’s list of global real estate investment cities; the French capital was also named as a key investment target by the participants of the Colliers Global Investor Outlook survey.
There has been a slow and steady increase in prices over the past year and the same can be said as we move from 2018 up to 2019 – we have seen an increase of 1.1% since the beginning of 2018. Second-time buyers (42%) still represent the highest type of purchase with a decline in the share of rental investors (14%).
Of course, Paris is well known as being a world leading tourist attraction and although figures are yet to be released for 2018, visitors to Paris helped to bring in 17 billion dollars in 2014.
More than 25 years after its bubble economy burst in spectacular fashion, Japan is still seen by many as a kind of economic cautionary tale. However, between January 2013 and August 2017 the average price of a new condominium in the Tokyo metropolitan area has risen by more than 35 percent.
With the city due to host the 2020 Olympics, Tokyo is enticing foreign investment and despite some people saying Tokyo has reached its peak, many experts are claiming the best is yet to come.
Miami has one of America’s strongest real estate markets due to the desirability of location and interest from abroad. According to Forbes, house prices in South Florida as a whole are on the up, and will continue to rise over the next few years.
Willow stated in a report published in the latter stages of 2017 that Miami was the fourth most valuable housing market; it has seen a solid 4.7% rise in property prices year on year. In fact, early predictions from Zillow show that the average prices could hit as high as $365k!
February 15, 2019
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Investing in Real Estate in Detroit - December 2020