It can be tough to pick a worthy location for a real estate investment with the competition of other cities in the US. These five underrated cities offer affordable properties and are less than five hours by car from major real estate markets.
In addition, these locations boast amenities that make them stand out from bigger cities, including world-class museums and state-of-the-art universities. If you’re looking for an exciting opportunity to take advantage of a low cost of living, we have 5 US cities that fit the bill.
Real estate values have increased steadily over the last few years in each of these undervalued places.
1. Alpharetta, GA
Alpharetta is the second-largest city in the North Georgia area, with around 120,000 people. Situated near Atlanta, Alpharetta is home to two world-class employers: IBM and Bollinger Motors. Alpharetta benefits from proximity to major markets, including Atlanta, Chicago, and Washington DC.
Almost all homes are within 15 minutes of an airport, and the average commute time is 27 minutes. There has been a 14% increase in average property value since 2013, and for homebuyers, there are plenty of low-interest loans available with the help of the SEC Bank.
The median sales price for homes was just under $222,000 in 2013. Alpharetta has several parks and the city’s largest mall. It is also home to the North American headquarters for Mercedes Benz. Other Atlanta, Georgia, cities offer closer proximity to major markets but not houses as affordable as Alpharetta.
2. Buckeye, AZ
Buckeye, a city in Arizona, has around 43,000 people and is located about 20 minutes away from Phoenix. With the recent announcement that Amazon is looking to build a second headquarters in one of 10 metropolitan areas throughout the country.
Buckeye could be an attractive option for retirees and millennials. Buckeye home for sale values have increased by 9% in the last year, and when you consider Buckeye’s property taxes and mortgage rates, it’s easy to see why so many people want to invest here.
The average price per square foot in Arizona is quite low when compared to other areas. In 2013, the median home sale price was just under $160,000. The city has seen an influx of new residents with top employers, including Wal-Mart, Honeywell, and State Farm Insurance.
You can drive to Phoenix, Dallas, or Tucson in less than 2 hours. The city is home to the Heard Museum, which features more than 35,000 works of Native American art.
There is also Heard Museum, which offers an array of exhibitions throughout the year and cultural activities and events. In addition, the cultural center hosts a variety of workshops and courses.
3. Eagle, ID
Eagle is located 2 hours from Boise, 3 hours from Salt Lake City, and 4.5 hours from Spokane-area job centers. The median sales price for a home sold in 2013 was $121,000, so this area isn’t too far away for a possible investment.
For its size of just over 21 square miles, Eagle has jumped in value by 23% over the last year. The population is relatively stable, with almost 50% of residents living in the city limits. The median household income is over $50,000, and the average home size is 2,322 square feet.
The median commuting time to work is just under 17 minutes. There has been a 14% increase in home values in the last ten years. There are several parks in Eagle, and the city has an annual Festival of Lights. It is a great place to invest because of its low cost of living and stable population.
4. Frisco, TX
Frisco is another affordable option for people looking to purchase a home in the Dallas-Fort Worth area. With about 117,000 people, the median household income is almost $98,000. Frisco has seen continuous growth over the last several years.
There have been almost 8% increases in home sales and property values in the last five years alone. Frisco has several highways and is located near Dallas-Fort Worth International Airport. The average commute to work is about 27 minutes.
There are three major sports arenas nearby, making it easy to watch NFL football, Major League Baseball, or NBA basketball if you’re a sports fan. Frisco is home to the Texas Rangers, AT&T Stadium, the National Football League’s Dallas Cowboys, and other sporting events.
5. Fort Collins, CO
Fort Collins is another great option for considering investing in a home. Residents here benefit from a low cost of living and proximity to major markets, including Denver and Wyoming.
In the last five years, property values increased by over 15%. Fort Collins is the place to be for people looking for great weather and personal freedoms. It is yet another place to take advantage of low-interest rates on mortgages. The median sales price for homes sold is $240,000.
The population of Fort Collins is largely comprised of young professionals and families, with the median household income being over $94,000. Fort Collins is home to the Colorado State University campus.
Over 60 schools are located close to Fort Collins and the average commute time to work is around 29 minutes. There are over 30 parks throughout the city, and there is the thriving nightlife in Fort Collins. The city is home to Colorado State University’s Colorado Agricultural Museum.
Several wineries and breweries are nearby, making it easy to visit during the off-season.
The best places to invest in real estate include cities with a low cost of living and strong growth in property values. These places are great for long-term investments, especially if you intend to retire there. The city’s closer to major markets, the better the returns will be.
Suppose you’re looking for a place to raise a family and live out your retirement years. In that case, it’s best to consider states like Arizona, Georgia, and Texas, where housing is more affordable than in other parts of the country.
Wherever you decide to invest your money, make sure there is enough room for potential appreciation — even in the best real estate markets, there is always some risk involved.
There may be differences between the values of different cities and homes because of local MLS sales data. Values are as accurate as possible.