SFH rentals in Kalamazoo vs Grand Rapids vs Fort Wayne

[Gina H.]

Hi there,

I'm a complete newbie to real estate investing looking to buy the first investment property. I wanted to get your thoughts on a couple of the areas I'm currently considering investing in - Kalamazoo MI, Grand Rapids MI, and Fort Wayne IN.  

Overall, I'm looking to purchase a single family home for rent. In addition to getting your overall opinions on the 3 areas, a couple of specific questions I had are:

• Is the area "too hot" right now to the point where the rent yields are too low?
• Is there a specific neighborhood in the area best suited for SFH investment?
• What is the projected growth in the area like?

Are there alternative cities around the area that you'd recommend me researching into?

Thank you in advance.

[Brandon Koster]

Of these options I would go to Kzoo for cashflow and GR for appreciation.  Kzoo and Muskegon can - in a way - be thought of as exurbs of GR.  If GR prices continue to get more unaffordable for many people, they will be willing to commute 45 min for much more affordable housing.