We have successfully invested and profitable in Kansas city, MO and looking to invest in Lake city, FL ? Is it a good area to invest in ? What's the growth factors which will drives prices up ( even if it is 1-2 % up per year ) ? How is the crime scene and overall vibe in city ? Any guidance would help me ?
Curious why you would choose Lake City of all places? No offense to anyone in Lake City (and please correct me if I'm wrong), but it's a comparatively rural area, and, other than being at the crossroads of two major interstates, has very little going for it from an economic standpoint in terms of a rental market. There is a community college there, but community college students are more often commuters, and aren't typically a good demographic to target as potential renters.
To be clear, I am no expert on the Columbia County real estate market (I'm a few hours south in Tampa Bay), and maybe you know something I don't. But most out of state investors tend to gravitate towards the more urban areas of Jacksonville, Tampa Bay, and Orlando...or Gainesville if you are targeting the college/university demographic.
@Jeff Copeland you are completely right. Gainesville would honestly be the better option (20-30 minutes away) and dense w/ University of Florida college students. I guess it just depends if college students are the demographic of choice. Best of luck, Kumar!
Jeff and Amber are exactly right. I am an agent here in Gainesville FL and we have students coming in for the University of Florida, residents coming for Shands hospital and just employees in general coming to work at the university or the several hospitals we have in town. Lake City is very rural and like Jeff said their isn’t much going on in ways of growth. There is a lot of mobile home rentals and not much else. If you need any help in gainesville I’ll be glad to help.
Hey @Kumar Ranjan . Happy Wednesday!
As the others have advised, I would recommend a strategy that takes advantage of increasing density levels, driving appreciation and increased rental rates, and thereby ROI. While Lake City is certainly growing, as well as other surrounding areas such as Ocala, at a good rate, Gainesville is seeing such growth and development that it would possibly most behoove you in the area.
If you would like to discuss further - pm me - and we can set a time to talk about how we are winning for our investors in this economy/market.
Could the OP be thinking of Lakeland, FL?
I am from Lake City and have a good number of rentals there. While the rental market is okay, I wouldn't say I'm getting rich and I wouldn't advise anyone from outside the area to attempt to invest here. Not being selfish or protective, it's just not a high profit area and you really have to 'know people' to get things to happen. I've noticed quite a bit of local buy-and-hold investors in the area as well, mostly investing in C- and D-class rentals and below (I would say there is no A-class here). While Lake City has grown, it is still relatively rural and there is no major industry. Like most rural areas, rentals here go for about $1 per sf and really peek at about $1500 per month. Over that amount, the rental demand is thin. Jacksonville, Gainesville, Ocala or Orlando would be more advisable.
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