DATA IN ACTION
The Best Counties for Buying Single Family Rentals
Counties in Baltimore, Macon, Montgomery, Detroit, Atlanta post highest rental returns Counties with the highest potential annual gross rental yields for 2018 were Baltimore City, Maryland (28.6 percent); Bibb County, Georgia in the Macon metro area (21.8 percent); Montgomery County, Alabama, in the Montgomery metro area (21.7 percent); Wayne County, Michigan in the Detroit metro area (21.7 percent); and Clayton County, Georgia in the Atlanta metro area (20.3 percent). “With continued job growth in Cleveland and Atlanta, Divvy is seeing a significant year-over-year increase in the percent of highly-qualified single-family renters, who are often less than two years
ATTOM Data Solutions analyzed 449 U.S. counties for potential single family rental returns in 2018 to help real estate investors identify the best places for buying single family rentals this year. Rental data was from the U.S. Department of Housing and Urban Development, and home price data was from publicly recorded sales deed data collected and licensed by ATTOM Data Solutions. The average annual gross rental yield (annualized gross rent income divided by median purchase price of single family homes) among the 449 counties was 8.9 percent for 2018, down from an average of 9.2 percent in 2017.
away from mortgage qualification,” said Tiffany Li, co-founder of Divvy Homes, a tech startup that provides lease options with an equity-building component. “This population is seeking SFRs in neighborhoods that are largely owner-occupied and with family-friendly amenities and good schools. We’ve continued to see strong and growing demand through the Midwest and Southeast for lease options and other unconventional rental options that allow highly-qualified renters to move towards homeownership.” Along with Wayne County, Michigan, the highest potential annual gross rental yields among counties with a population of at least 1 million were Cuyahoga
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APRIL 2018 | ATTOM DATA SOLUTIONS
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