5 Top Cities for Real Estate Investors in 2012
BOSTON (MainStreet) -- Real estate investors might want to take a page from Dorothy and Toto's playbook in the The Wizard of Oz and set their sights on getting to Kansas.
That's because the Sunflower State hosts three of the top five cities on HousingPredictor.com's Best Investor Markets for 2012 study -- all thanks to high produce prices making the area's economy as sweet as its corn.
"Kansas is forecast to do very well because of higher crop prices," HousingPredictor.com's Mike Colpitts says. "The state has not done so well historically in terms of real estate values, [but] it is projected to do much better than most other places now because of better employment levels and a lower cost of living."Kansas is a rare bright spot this year in a generally dull housing sector. Colpitts says investors should shy away from most U.S. locales during 2012 because much of the nation's housing market remains shaky. "Prices are down [and] still dropping in most areas of the country," he says. "Only some markets will be good to invest in, and they are limited. Things are still too risky in most places." To figure out which cities make sense for real estate investment this year, HousingPredictor.com recently analyzed some 230 locales for nearly 20 different factors, from market "velocity" to business growth and development. Metro areas that top the rundown don't necessarily have the largest expected 2012 price gains among U.S. cities. Rather, Colpitts says they offer a combination of good projected price increases and "a large enough supply of renters or vacationers [to] make them good investments." Here's a look at the top five markets on HousingPredictor.com's study, listed in order of projected average price gains for 2012.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV