Hot Spots for Single-Family Rental
RealtyTrac named 16 U.S. counties as high-risk, high-yield hot spots for single-family rental
investing in its Q3 2014 Residential Property Rental Report released
on Thursday. The report, analyzed median sales prices for residential
properties and average fair market rents for three bedroom properties in 586 U.S. counties with a combined population of 218 million people — 71 percent of the total U.S. population. Rental returns were calculated using annual gross rental yields:
the average fair market rent of three-bedroom homes in each county,
annualized, and divided by the median sales price of residential
properties in the third quarter. The
average fair market rent divided by the median sales price of
residential properties for Q3 comprised the annual gross rental yield,
which was used to calculate rental returns, See the Hot Spots.
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