Hello All - I'd appreciate any insights into the Johnson City, TN rental market.
I have visited the area as its just an hour north from my comfort zone of Western North Carolina but remain on the fence about the area. For those who know it well --- is demand strong for units in the $650 to $750 range (2 beds)? How long does it typically take to fill a vacancy? Is annual rent growth happening? Is there oversupply or undersupply? Any trap doors I should be aware of or issues that would give one pause?
Thanks in advance for your insights.
Well I was going to wait on experienced investors to chime in but since there's a bit of radio silence going on, I'll tell you what little bit I do know.
Disclaimer: I have not yet done my first deal. This is simply info based on REI meetings, word of mouth, and general knowledge of the area.
Johnson city is home to East Tennessee State University (ETSU). So alot, if not most, of the apartments around there are rented by students. Also nearby is the VA Medical center, as well as Johnson City Medical Center. They're all in close proximity so this is probably your money area. Apartments rent for ~$300 per bedroom in this portion of the city. The neighborhoods down the street from the school aren't great but i don't think they're terrible. If I had to guess i'd say about a C class.
I do know that alot of the apartment complexes near the school stay fairly packed and are pretty well within the price range you mentioned. The lower end of that spectrum probably being your sweet spot. Last year, ETSU was overbooked on student housing and was turning people away forcing them to look for housing elsewhere. With the school growing and the surrounding complexes staying full, I would dare say that the place is in dire need of more affordable housing.
There are other parts to Johnson City. There's higher end places to it, but the university area is the only part I have any sort of knowledge on. Hopefully this helps. That's about all i can come up with right off.
Thank for you comments Heath -- I appreciate it.
Johnson City has an REI group. You could probably get better info from someone there. Here's the link to their Meetup page: Johnson City REI
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