Albuquerque, NM: Rental Property ROI Analysis
|75 US City Avg.
While the city of Albuquerque has recently made itself a household name as the backdrop for the well-known television show Breaking Bad, it is also a city of great diversity, history, and culture. Boasting virtually year-round sunshine and gorgeous mountain vistas, world-class shopping and dining, and a plethora of recreational pursuits, Albuquerque continues to draw new residents year after year. In fact, OutsideOnline.com recently ranked the city among the top ten best big cities for active families.
This quarter, after the release of All Property Management Q2 2014 Rental Ranking Report, Albuquerque can also boast being the 2nd BEST city for investment in rental real estate in the Southwest. This is up five spots regionally from last quarter, while the city jumped a whopping 21 spots to 27th in the nation in the same time period.
What data is this based on?
To calculate the All Property Management Rental Ranking Report, we explore a number of different sources, including current government housing and jobs data, as well as housing appreciation forecasts for 75 cities across the United States. We look at specific factors such as home vacancy rates, capitalization rates, home value appreciation rates, annual job growth, change in rental rates, and average days a property stays on the market to determine which U.S. cities are poised to give investors the highest return on their rental investment.
Albuquerque, New Mexico finds itself in the middle of the pack among the 75 Metropolitan Statistical Areas that All Property Management evaluates for the Rental Ranking Report in the categories of home value appreciation and capitalization rates, yet in the bottom for job growth. On the other hand, a low vacancy rate of 5.9 percent and increasing rental rates of 2.67 percent in the last year indicate that rental properties are filling up quickly as rental rates are going up. Another positive sign for the Albuquerque real estate market as a whole is that properties are only sitting on the market for 64 days prior to being sold. This statistic is typically looked at to gauge market activity.
What does a high-ranking mean?
Is owning a rental property in Albuquerque profitable?
Quite simply, there has never been a better time to consider rental property investment in Albuquerque and the surrounding areas.
An active real estate market, low vacancy rates and increasing rental rates suggest that there is demand for additional rental units in the Albuquerque market, and that profit can be made by renting out your property.
Thinking about renting out your Albuquerque property? Seek the assistance of a local, qualified property manager and automate your rental profit.
Get free quotes emailed to you from 5 competing Albuquerque property management companies to compare rates and calculate the ROI. Or call 1-877-780-4510 to speak with a representative.
Our team at All Property Management specializes in connecting property owners with property agents in communities across the country. Expert property managers can assist with setting rental rates, advertising your property, screening and managing tenants, collecting rent, managing vendor relationships, and ensuring you are complying with local, state, and federal housing regulations, thus taking the hassle and worry out of managing your property. We look forward to working with you and welcome the opportunity to help you with all your property management needs.