Real Estate investors looking for cash flow and financial freedom are flocking to Georgia to build rental property portfolios. The Peach State is a current favorite of real estate investors due to many factors. These include a strong and stable economy, low vacancy rates and steady demand for rental housing due to a fast-growing population! Easy Street Capital is proud to be a leading provider of rental loans for real estate investors in Georgia!
Types of Rental Loans for Georgia Real Estate Investors
When it comes to real estate investing in Georgia there are many markets and types of rental loans to choose from. For investors that like to get their hands dirty, rehabbing run-down properties, hard money renovation loans are a perfect choice! These loans allow you to buy a property quickly and finance your rehab costs as well! Once you are done, you can either “flip” the property for a quick profit or pursue the BRRRR Strategy by renting it out and then refinancing into a long-term, low-rate DSCR loan!
Long-term DSCR loans present exceptional investment prospects for individuals looking to invest in turnkey rental properties. These properties are ready for immediate occupancy, eliminating the need for any renovations. Typically, turnkey properties are fully furnished single-family homes suitable for short or medium-term rentals. They offer a lucrative opportunity to generate cash flow and potentially benefit from price appreciation.
DSCR Loans are typically offered at fixed interest rates for thirty years, which provides long-term stability to investors. Given the steady increase in rental income and property appreciation over time, this fixed interest rate is beneficial in keeping the cost of debt constant while the cash flow increases over time. This makes it an attractive investment strategy for those seeking long-term financial stability.
Where To Invest In Real Estate In Georgia
Georgia is a great market for real estate investment properties because of its many options. The state offers great potential for each type of real estate investor and strategy. Atlanta the largest city with a diverse economy and thriving market. Savannah is a popular tourist destination with a strong short term rental market. Athens is home to the flagship university, University of Georgia. Augusta is the second largest city with a population of 204,612. Tybee Island is known for its beautiful beaches and attracts tourists year-round. Georgia can be great for investors utilizing rental loans to secure investment properties!
Atlanta
Atlanta is home to a diverse range of industries, including finance, technology, and entertainment. The city has a strong job market with low unemployment rates compared to the national average. According to the 2024 World Population Review, Atlanta has a population of 512,047 and is growing at rate of 1.28% annually.
Atlanta is also a popular tourist destination, offering a diverse range of attractions and activities. The city is known for its vibrant cultural scene, world-class museums, and iconic landmarks. Visitors to Atlanta can explore attractions such as the Martin Luther King Jr. National Historic Site, the Georgia Aquarium, and the Atlanta Botanical Garden. The city is also famous for its thriving food scene, offering a variety of cuisines and dining experiences. Additionally, Atlanta attracts group trips and events, including weddings, conferences, and team-building retreats.
According to the Atlanta Area Convention & Visitors Bureau, the area attracts over 57 million visitors annually, and the tourism industry generates approximately $16 billion in economic impact each year. This makes Atlanta attractive for real estate investors interested in short-term rentals and vacation homes. According to AirDNA, a leading data analytics firm for short-term rental investors, Atlanta’s rental market has seen a remarkable 10% surge in annual revenue as of January 2024! This upward trend presents a profitable opportunity for investors, especially when leveraging financing options like DSCR Loans with low down payments. With the potential for exceptional cash-on-cash returns, Atlanta stands out as a promising market compared to others.
Savannah
Savannah is a historic city known for its captivating charm and rich cultural heritage. It is home to the Savannah College of Art and Design, which attracts a diverse population of students and artists. The city serves as a cultural hub, offering a vibrant arts scene, numerous museums, and galleries showcasing local and international talent. With a population of over 148,000 residents, Savannah is one of Georgia’s largest cities and is a beloved destination on the East Coast.
Savannah presents an excellent opportunity for real estate investors specializing in student housing. With the presence of institutions like the Savannah College of Art and Design, the city has a sizable student population that creates a steady demand for rental properties. Investors who target well-positioned properties and cater to reliable students can expect to achieve higher returns compared to traditional long-term rentals.
In addition to student housing, Savannah is a sought-after destination for short-term rental investors. The city hosts a variety of events year-round, including the Savannah Music Festival and the Savannah Film Festival. Savannah’s charming historic district, picturesque landscapes, and vibrant cultural scene attract tourists from around the world. Moreover, the city’s proximity to Tybee Island, a popular beach destination, enhances its appeal as a vacation spot. These events and attractions create a strong demand for short-term rentals, offering investors an opportunity to maximize rental income and capitalize on Savannah’s thriving tourism industry.
Athens
Athens is a lively city located in the heart of the state, with a population of over 125,000 residents. The city boasts a diverse economy, with sectors such as education, healthcare, and technology contributing to its growth. Athens earns its reputation for its vibrant cultural scene, boasting attractions such as the Georgia Museum of Art and the Classic Center. The downtown area of Athens bustles with a lively atmosphere, featuring an array of shops, boutiques, and dining establishments that draw in both locals and tourists alike.
Athens is the home of the University of Georgia, a prestigious institution with a student enrollment of over 40,000. There is a lively arts and music scene, with numerous live music venues, art galleries, and cultural festivals. Athens has a lively downtown area with a diverse selection of restaurants, shops, and entertainment options.
Investors in Athens can take advantage of niche strategies such as student housing. The large population of students creates a year-round need for short term rental properties. Investors can also take advantage of the city’s fast-growing rents. Real estate investors in Athens can take advantage of the city’s fast-growing rents. According to the Zillow Observed Rent Index February 2024, the average market rent in Athens is $1,650 per month. Additionally, the population of Athens grew by 11.75% in two years, from 115,000 to 128,5000!
Real estate investors in Athens, Georgia can also benefit from both long-term and short-term rental demand. The city hosts various events and festivals throughout the year, such as the AthFest Music and Arts Festival and the Twilight Criterium bike race, attracting visitors and creating a potential for short-term rental income. The University of Georgia’s thrilling athletic events, such as football and baseball, draw in enthusiastic fans and visitors from near and far. Athens’ proximity to Atlanta and its vibrant cultural scene makes it an attractive destination for both residents and tourists. Furthermore, the University of Georgia brings a steady demand for long-term rentals, providing investors with a diverse range of rental opportunities in the local market.
Augusta
Augusta is a captivating city known for its rich history, picturesque landscapes, and thriving arts scene. The city offers a range of attractions, including theaters, galleries, and museums, that cater to art enthusiasts and history buffs. Augusta’s downtown area is filled with shops, restaurants, and entertainment, creating a great atmosphere for residents and visitors. Additionally, the city is surrounded by natural beauty, with nearby parks and outdoor spaces providing opportunities for recreation and relaxation. Real estate investors in Augusta can also benefit from both long-term and short-term rental demand.
The city hosts various events and festivals throughout the year, such as the AthFest Music and Arts Festival and the Twilight Criterium bike race, attracting visitors and creating a potential for short-term rental income. Augustas’ proximity to Atlanta and its vibrant cultural scene makes it an attractive destination for both residents and tourists.
The unique combination of culture and natural beauty in Augusta makes it an appealing destination for short-term rental investors. Visitors from nearby cities, such as Atlanta and Columbia, flock to Augusta for weekend getaways and extended vacations, drawn by its charming appeal and abundant recreational opportunities. Rental rates remain stable throughout the year, with peak seasons during events like the Masters Tournament and the Westobou Festival. These events attract additional visitors and provide potential rental income opportunities. Augusta’s charming downtown area, picturesque landscapes, and proximity to the Savannah River enhance it as a desirable location for short-term rentals.
According to AirDNA, Augusta has a rating of 100/100 on “investability,” making it one of the best places to invest in vacation rental properties! Per AirDNA, typical investors can expect monthly revenue of $4,100. This is an enticing amount when compared to the low median sale price of a home of $194,962 as of January 2024!
Tybee Island
Tybee Island is an attractive coastal destination located near Savannah with a population of approximately 3,000 residents. As a popular vacation spot, Tybee Island presents a promising secondary market for real estate investment. The island attracts a steady stream of tourists throughout the year, for its beaches, outdoor activities, and beach town atmosphere. Additionally, Tybee Island offers various opportunities for dining, shopping, and entertainment, creating a vibrant local economy. With its unique coastal appeal and proximity to Savannah, Tybee Island provides investors with the potential for profitable short-term rental investments and a thriving vacation rental market.
Tybee Island is an attractive market for investment properties with less competition compared to other well-known coastal cities in the region. With its rich history and notable attractions like the Tybee Island Light Station and Museum, the island offers unique investment opportunities. Real estate on Tybee Island is relatively affordable, making it an excellent choice for real estate investors. The island’s thriving tourism industry and beautiful coastal setting contribute to its appeal, providing potential for profitable short-term rental investments and long-term growth.
In January 2024, Tybee Island experienced a remarkable surge in its real estate market, with the median sale price of homes soaring to $671,750, marking an astounding 23.3% increase from the previous year. This rise underscores the immense potential for investors seeking profitable opportunities in this coveted coastal destination. Investing in a property on Tybee Island promises more than just financial gains; it offers a gateway to substantial monthly profits that can reach an impressive $9,800, according to AirDNA. With its scenic vistas, vibrant community, and thriving tourism, Tybee Island presents an unparalleled investment landscape for those looking to capitalize on its real estate market.
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Ready to invest in real estate in Georgia? Easy Street Capital is Georgia’s best provider of rental loans for both hard money rehabs and long-term rental properties.
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