Promising places to buy rental properties
Should you buy a rental home in Minneapolis-St. Paul? In a survey of online real estate listings in the fourth quarter of 2013, Bankrate found that the median asking price for a three-bedroom house in metro Minneapolis-St. Paul was $184,900, with a median rent of $1,710. Based on those numbers, an investor could recoup 11.1 percent of the investment in the first year, excluding taxes, insurance, renovations and other costs. See a map of potential investment profitability in 15 metro areas.
Median asking price for 3-bedroom house: $184,900
Median rent for 3-bedroom house: $1,710
Gross yield: 11.1 percent