Detroit Ranks Number 1 in US Housing Market in 2010

Known as the "Renaissance City" the regeneration of Detroit is underway with the latest Housing Predictor forecasts ranking the city number one within the housing market in the US with a 21.5% growth forecast for 2010. There remains a shortage of some 30,000 rental homes in the Metro Detroit area and savvy Buy To Let investors are purchasing refurbished family homes in the most sought after locations at prices as little as $46,500 (under £30,000 GBP).

Latest facts and figures

According to the Fiserv Case-Shiller Indexes, Detroit home prices have fallen 60.5% since 2006. The biggest increase is projected in 2014 with a forecast 4 year price increase of 33.1%. The current (August 2010) median price is $51,000, with the median family income at $54,400.

George Moma, a broker with Century 21 Dupont Realtors, says: "The growing prevalence of short sales over foreclosures will help drive up the median price in Detroit. The area is now attracting interest among international investors from the UK, Ireland, Dubai, Moscow, India and France."

Would you like 15-18% pa, net rental yield, after all costs?

Detroit had been a city in crisis for a while, reflected in the drop in house prices on the Detroit property market. Detroit has suffered with the housing crash, the credit crunch and the problems in the car industry. As such, it is essential that Detroit property investors take care to purchase only in specific pockets where Detroit property offers strong, flourishing communities and housing in good shape. Wise Detroit property investors can use these issues for an investment advantage, as the city begins to rise again and Detroit property rises with it.

The Axis strategy for Detroit

The Detroit property investment strategy is designed to optimise robust cash flow and is ideal for property investors seeking immediate reliable income, combined with growth as the city and Detroit property market recovers over time. It offers a 15% - 18% per annum, rental yield, Return On Investment (ROI) and achieves this by purchasing foreclosed Detroit property which is extensively, yet quickly, refurbished and then rented to mostly Section 8 Government approved and supported tenants.

Our US partners have more than 30 years experience in rentals and strong relationships with City Hall which means that they can get property taxes reduced for investors, resulting in above average rental yields due to substantially lower costs. Everything is taken care of on our clients' behalf. This is truly an ‘armchair' investment proposition.

Download the free Axis Property Investment Guide to Detroit.

Buy with Axis in Detroit and you can expect:

• Solid, brick built single family homes
• Carefully selected locations in good neighbourhoods
• Refurbished to a good rental standard, Refurbishment Guarantee
• Waiting list of approved tenants
• Use of secure Government backed rental programs (primarily Section 8)
• Established property management company in place to take care of the property
• Fully managed ‘armchair investment' with end-to-end support
• Real exit strategies if you wish to sell in the future
• Alternatively a warm welcome awaits if you decide to visit

 Detroit 4 Star Guarantee

• 12 months maintenance free warranty
• 5 year home warranty
• Fixed price - no hidden extras
• 90 days to rent guarantee

To learn more about US property investment, please download the Axis USA Investment Guide; and you can check out currently available USA investment opportunities here.

Or if you are ready to invest in the USA and want some advice and assistance, pick up the phone and talk to Greg Glagow, Axis USA Portfolio Manager, on 0333 444 1440 for a no obligation initial discussion.

Live with Abundance

Rod Thomas FCA 

Posted in Property in Detroit

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