New Out of State Investor Picking a Market - Columbus, OH or Little Rock, AR

[Melina Robinson]

Hi BP Community!

I'm a newbie investor based in Utah, and I'm looking out of state for my first rental property. I'm aiming for long term buy and hold single family homes or small multifamily. I have about $50-70k all in to put into my first property. I'm working on market analysis currently, and two markets that stick out to me are Columbus, OH and Little Rock, AR. Both have relatively approachable home values below the national median with solid rent to price ratios, and good employment prospects with many large companies based or building in the area. I'm shooting for a balance of decent cashflow (nothing life changing) and steady appreciation. 

Would anyone investing in these areas mind sharing some pros and cons from your experience? With Little Rock, I've read that home insurance rates have increased in recent years and several companies have pulled out, so I'm definitely wary of that situation.

Thanks!

Melina

[Remington Lyman]

Quote from @Melina Robinson:

Hi BP Community!

I'm a newbie investor based in Utah, and I'm looking out of state for my first rental property. I'm aiming for long term buy and hold single family homes or small multifamily. I have about $50-70k all in to put into my first property. I'm working on market analysis currently, and two markets that stick out to me are Columbus, OH and Little Rock, AR. Both have relatively approachable home values below the national median with solid rent to price ratios, and good employment prospects with many large companies based or building in the area. I'm shooting for a balance of decent cashflow (nothing life changing) and steady appreciation. 

Would anyone investing in these areas mind sharing some pros and cons from your experience? With Little Rock, I've read that home insurance rates have increased in recent years and several companies have pulled out, so I'm definitely wary of that situation.

Thanks!

Melina

 I am in Columbus, Ohio. I have no clue about Little Rock.

Insurance has gone up everywhere. I hope that state-specific insurance companies start to emerge. I am tired of all the natural disasters that are not in Ohio, raising my insurance premiums and making my policies worse