Five Long-Term Real Estate Picks

So here are my five picks.

• Austin, Texas (median home price, or MHP, $176,700; future job growth, or FJG, 28.1%)
  As a real estate market, the solid Texas capital city has everything going its way -- steady state-government employment and tech-led private employment bursting at the seams.

  As if that weren't enough, it's also home to the University of Texas, and I'm a big fan of college-town real estate. There's lots to do and lots to attract people for a long time, with few downsides.

• Bend, Ore. (MHP $229,000; FJG 30.8%)

  Way up in the sagebrush plateau east of the Cascades -- but not too far east to enjoy the skiing -- is the booming and somewhat upscale enclave of Bend. There's lots of wealth here, lots more arriving and the job base isn't just tourism anymore. You may end up living in your investment someday when you retire.

• Fayetteville-Springdale-Rogers, Ark. (MHP $168,400; FJG 32.9%)

  Once a sleepy center mainly known for chickens and trucking, this booming area is sometimes just called Northwest Arkansas after its now busy airport.

  Of course, the elephant in the room lies in adjacent Bentonville in the form of Wal-Mart's (WMT Quote) world headquarters. Wal-Mart employs thousands, but the real story is the growing economic base of companies serving Wal-Mart's needs.

• Fort Collins-Loveland, Colo. (MHP $237,000; FJG 22.9%)

  This is another classic college town story (Colorado State University), but with a large and diverse commercial and technology base nearby. Students, professors, well-paid professionals and retirees from other parts of Colorado and elsewhere are drawn to The Fort and its sparkling Front Range vistas.

• Raleigh-Cary, N.C. (MHP $207,700; FJG 20.3%)

  This rapidly growing metro complex also includes the college and commercial centers of Durham and Chapel Hill. The economy has so many strengths it's hard to know where to begin. Sitting in the center is the impressive 7,000-acre Research Triangle Park, one of the world's most concentrated bases of applied and basic research with some 150 companies represented.

  The area is located halfway between the major East Coast markets and Florida and is picking up new residents from both, as the former retreat from crowding and high prices and the latter from hurricanes. The area is a solid bet.

Of course, for you investors, this just begins the quest. I've brought you to the front of the store. The next job is to walk in and start shopping.