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Real estate investing has always been among the most profitable avenues for decent returns. Whether you are looking for a short or long-term investment, real estate, through rentals and sales, can offer significant returns.
In the US, home prices are expected to rise by an average of 5.4%, making it a seller’s market. However, this pace is still less than half of what it was in 2022. For individuals already holding real estate properties, these are exciting prospects.
The housing market depicts similar trends in the state of Texas as well. Being the second most populous state, Texas has a sizeable chunk of young people working on progressing their careers. This factor plays well for the real estate market because it means that demand exists.
It is similar in Dallas, the state’s third-largest city and the entire country’s fourth-largest metropolitan area.
The Dallas Real Estate Market
The Dallas Housing Market Report, updated as of January 2023, revealed that the sales figures of single-family homes in the city fell by 27% over the previous year.
This is a considerable decrease, but at the same time, average selling prices rose by more than 7% over the same period. Moreover, the monthly inventory for these homes also grew during 2022, going from 0.7 months to 2.2 months.
Monthly or months of inventory is the period needed for all active listings in an area to sell, given that no new homes come into the market. This factor highlights an abundance of single-family homes.
Although the market is leaning towards more benefits for sellers, this is no reason to hold out on an opportunity to invest in the market.
The demand exists for rentals and purchases and now is the ideal time to invest in projects like the Skyline Farmers Market Apartments that promise a healthy ROI.
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Reasons to Invest in the Dallas Real Estate Market
Investing in the Dallas real estate market is considerably more profitable than in other places in the country. This is because, according to platforms like Bankrate, the median sale price in Texas is still $25000 cheaper than anywhere else in the US.
Additionally, this is just one of the reasons why Texas in general, and Dallas, in particular, is a great investment avenue for individuals looking to enter this market.
Here are some other reasons:
1. Safety and Low Crime
Few places in the world can boast of being 100% crime free. Even though Dallas can’t do that, it still comes pretty close in terms of the low crime rates in the city.
It is one of the safest cities not just in Texas but across the United States as well. Of course, the higher safety standards of any locality attract families that want to raise their children in a protected environment.
In this regard, Dallas is a good place for you to invest in and then rent the place to a prospective family that wants to live in the neighborhood.
2. Affordable Cost of Living
Dallas is one of the most developed cities in Texas, and it offers the prospect of being part of a strong economy and an amazing living standard.
It is a common statement that living in the city is extremely expensive, but the statistics show that the cost of living is only 1% higher than the average across the country. And with the developments, opportunities, and facilities this city offers, these prices are reasonable.
Furthermore, Texas has no individual income taxes, making it even more lucrative for individuals. It ultimately means your investment in this real estate market will yield a healthy return.
3. The Place is a Hub for Innovation and Technological Advancements
A significant chunk of the population in Dallas comprises aspiring youngsters looking for high-quality education and then progressing in their careers.
Naturally, these pupils, born and brought up in the modern age, showcase a tendency to embrace and grow future trends. It includes entrepreneurship and tech-based developments.
As a result, businesses in the city are growing, innovative developments in terms of technology are being made, emerging industries are finding their way to the state, and lucrative job opportunities are increasing.
As an investor, you can make a decent return on your investments in Dallas through short-term rentals as well, which, thanks to this trend, will remain in demand for the foreseeable future.
4. Growing Population and Increasing Job Opportunities
Continuing from the point discussed above, Dallas is also a great market for real estate investment because the population is growing, and the new entrants are staying longer.
During the year 2022, the population of this city grew by 1.4%. Over the next six years, this trend is expected to continue, with the population expanding by a considerable 18%.
At the same time, the job market has also grown, with upwards of 100,000 jobs added over the past few years.
Careers like software engineers, healthcare professionals, sales professionals, and chefs are in demand all over Dallas. Also, the demand for modern, high-tech professions is also on the rise.
5. Amazing Roi Through Short-term Rentals
The short-term rental market has been a game changer for the real estate market, giving rise to huge companies like Airbnb. Making a real estate investment in Dallas can become profitable within a short span of time, thanks to the growing demand for short-term rentals in the city.
This has been an ongoing prospect, with Dallas being revealed as the greatest locality for people who have invested in Airbnb properties.
Conclusion
The city of Dallas is a progressive hub where real estate investments are promising. Individuals continue to come to the city for career progression and to give their families a better quality of life.
For investors, this is a great opportunity because the market is ripe for purchases and short- and long-term rentals. All of these avenues can effectively help you make your money back and even more if you play your cards well.
