This is the first post in a series focusing on investing in Dayton, Ohio real estate in 2021-2022. I am writing on this topic as, in my personal opinion, our area offers opportunity for investors that does not currently exist in some other areas. I will be using this series to discuss my own personal experience with investing in our area. I will also be discussing what I see as current market trends as well as my personal approach to real estate investing. Many consider Dayton to be an up and coming area in the Ohio region. Rents are rising and the opportunity to turn a profit on an investment property may rise with them.
In this series, I will be covering:
- My experience in Dayton real estate investing (2021 Update)
- How ecommerce is driving Dayton real estate growth
- Information for real estate investors regarding Dayton’s job market & tech talent
- The current state of Dayton multifamily investing
- Future investment opportunity for Dayton real estate
- My approach to real estate investing
To provide an overview of what you can expect from this series, let’s take a high level look at investing this year and into 2022. First, I am drawing from my own personal experience investing in this area. Since I last wrote on this topic, I have been able to invest and increase my holdings. The homes that I have purchased as investments continue to experience increases in rental prices. As an example, when I last wrote on my Dayton real estate investments I mentioned that my first investment property had started out with rent at the $675 price point and then rose to $715 per month. Today, in 2021, that same unit rents for $925 per month. I also own four other single family rental homes which have seen considerable rent increases.
I believe that this growth and rental price elevation is being driven by the competitive advantage stemming from our area’s geography. As I wrote in my article on Dayton’s competitive advantage for real estate investing, approximately 60% of the U.S. population resides within 500 miles of southwest Ohio. This, added with the major highways that converge in our area, has resulted in ecommerce companies opening distribution centers and other logistical operations. Companies such as Amazon, Chewy, and Crocs have all begun to expand in the area and more are following suit, such as Carvana. Layering this expansion in ecommerce, our city has been dubbed a top emerging market for technology talent. Other reports are focusing on the area as one of the best places for one to find a job. All of this logically offers population growth to the area and drives up the demand for rental properties.
Considering how the region’s real estate market stacks up against this fast-paced economic growth, there is currently a shortage of multifamily homes for sale. Accordingly, both the prices for those properties and rents for the units are rising. Because of this rapid growth, it is my personal opinion those who are looking to invest in multifamily properties in the Dayton area will see the area continuing to grow.
When you are able to purchase a property for investment while also turning a profit on rent, you are in a lucrative position as an investor. That is why my approach to investing focuses on cash flow and the ability to “buy money when it’s on sale”. This has led to an increase in home values for the rental properties which I own, and I will discuss this approach in this series, so stay tuned.
Finally, if you are considering investing or are a seasoned investor looking to expand your portfolio in the Dayton area, contact me today to speak with a real estate agent. My aim is to provide quality service and I look forward to speaking with you. I also service the areas of Beavercreek, Centerville, Clayton, Englewood, Oakwood, Fairborn, Harrison Township, Huger Heights, Kettering, Miami Township, Miamisburg, Riverside, Springboro, Trotwood, Vandalia, Washington Township, West Carrollton and Xenia.
Note & Disclaimer: Nothing in this article, or on this website, should be construed as investment or financial advice. The opinions shared on this website are the personal, and not professional, opinion of the author and are not associated with Keller Williams Advisors. Any investment decisions should be made after consulting with a certified financial/investment professional.