Investor · Oakland, CA · Member since 2020 · 9 posts · 9 votes
I've been looking into investing in single family homes in the Atlanta suburbs (buy & hold) -- I was wondering what city shows more promise for appreciation and rent growth: Cartersville or Douglasville? On paper it looks like Cartersville is a little bit better but I'm wondering if the shorter commute from Douglasville to Atlanta and the eventual development of the west side of the city will ultimately change the calculus 5-10 years from now. Any and all opinions welcome!
Hello @beckylai The Douglasville vs Cartersville debate is interesting. A couple of points to help:
1. Average rent prices in Douglasville are around $1,371 (closer potential to get 1% rule) while Cartersville is around $1,219.
2. 26% of the homes in Catersville are 2000 built (higher Cap Ex expenses) or newer while Douglasville 43% are 2000 built (lower Cap Ex expenses) or newer.
3. Median home price is $213,093 (higher appreciation/ lower Cash on Cash Returns) in Cartersville while median home price in Douglasville is $194,385 (higher cash on cash returns/ slightly lower appreciation)
Douglasville is closer to the city which is experiencing population growth which means population will push out to suburbs like Douglasville. Their are many factories/industrial business in Douglasville which diversifies the tenant class. Amazon has a large facility that was just built 2 years ago in Douglasville. Both areas are solid for rental but I believe Douglasville has higher upside with growth closer to the city and thriving working class population.
6 of the homes I manage (soon to be 7) are all from the same builder (different neighborhoods) out that way. They make pretty awesome 3 and 4 BR houses that make great rentals. Neighborhood has amenities and the HOA is rental friendly.
Hello @beckylai The Douglasville vs Cartersville debate is interesting. A couple of points to help:
1. Average rent prices in Douglasville are around $1,371 (closer potential to get 1% rule) while Cartersville is around $1,219.
2. 26% of the homes in Catersville are 2000 built (higher Cap Ex expenses) or newer while Douglasville 43% are 2000 built (lower Cap Ex expenses) or newer.
3. Median home price is $213,093 (higher appreciation/ lower Cash on Cash Returns) in Cartersville while median home price in Douglasville is $194,385 (higher cash on cash returns/ slightly lower appreciation)
Douglasville is closer to the city which is experiencing population growth which means population will push out to suburbs like Douglasville. Their are many factories/industrial business in Douglasville which diversifies the tenant class. Amazon has a large facility that was just built 2 years ago in Douglasville. Both areas are solid for rental but I believe Douglasville has higher upside with growth closer to the city and thriving working class population.
@Quentin Davie solid data man, awesome! I'm following a specific builder, been getting great rents out of new builds for a couple of years, but your data is excellent!
Hi Becky! I've been living in the Metro Atlanta Area for 15 years and managing properties in both Cartersville and Douglasville for the last 9 years. IMO the growth seems to be going North faster than West. Between Atlanta and Cartersville, you actually see a lot of new construction going on already, and not as much between Atlanta and Douglasville. I think over time, both areas will be about the same but for now, we are seeing more growth North of the city and South of the city. I would be happy to run some rental comps for you to compare rates on any properties that you may be looking at. This might help you make a decision. DM me if I can help! Good Luck
I own properties in Douglasville, they are always in demand and have appreciated decently. Since you are out of state investor, go where you get good return. Atlanta is booming and it's only going to get better.