Home Rentals Good for Investors

Investors in the Rio Rancho and Albuquerque rental market enjoy excellent single family rental climate. ATTOM Data Solutions, Parent company to RealtyTrack and the largest data aggregator for the real estate community,produced its Q3 2016 Single Family Rental Market Report, and found despite declining rents in some markets, investors are still keen on buying investment properties. The gross rental yield in most west coastal cities is in the 3 percent range, in The Albuquerque/Rio Rancho area it is in the 8.5 percent range and the average rent for a three-bedroom home there is $1,352.

Metro investors like those numbers, and ATTOM estimates 5.6 percent of all home purchases in the Metro Area between January and July of this year were made by investors. Shockingly, that’s a 144 percent increase compared to the same time last year, the report read. Using rental data from the U.S. Department of Housing and Urban Development and home price data, ATTOM found the returns investors can get in many markets are declining. (Returns is the monthly rent, annualized, divided by median home price.) Below is a recap for Bernalillo county. For an interactive map of other areas in the country go to http://www.attomdata.com/

County: Bernalillo
Metro: Albuquerque
State: New Mexico
2016 3-Bedroom Monthly Rental Amount:…………………….. $1,352
Change in Millennial Pct of Population 2013 to 2014:…………….1%
Investment Property Vacancy Rate:……………………………….2.6%
Jan-July 2016 Annual Gross Rental Yield:…………………………8.2%
Jan-July 2016 Single Family Median Sales Price:………………..$199,032
Millennial (20-34) Pct of Population in 2014:……,,……………..24.7%
Overall Pct Non-Owner Occupied (Investment Properties):…………..21.2%
Pct Institutional Investor Purchases Jan-July 2016:…………….. 3.4%
YoY Pct Change in Average Wages:…………………………………. 0%
YoY Pct Change Institutional Investor Purchases:……………………62%

ATTOM Data Solutions is the curator of ATTOM, a multi-sourced national property data warehouse that contains tax, deed, mortgage, foreclosure, environmental risk, natural hazard, health hazard, neighborhood characteristics and property characteristic data for 150 million U.S. properties, delivering actionable bulk file license data to clients and powering consumer websites owned by ATTOM Data Solutions: RealtyTrac.com; Homefacts.com; and HomeDisclosure.com. ATTOM data is cited by thousands of media outlets each month, including frequent mentions on CBS Evening News, The Today Show, CNBC, CNN, FOX News, PBS NewsHour and in The New York Times, Wall Street Journal, Washington Post, and USA TODAY.