Are you looking to invest in Hampton Roads real estate?
Investing in real estate provides a great opportunity for wealth through passive income and long-term value appreciation. Yet, finding a suitable property has proven to be a challenge for many investors.
Real estate markets tend to have varying characteristics. These usually determine the level of market activity and subsequently the earnings from a property investment. It is therefore vital to conduct proper research and identify markets that will provide the best return on investment.
Hampton Roads has proven to be one of the markets enjoying plenty of activity in recent years. This area is known for its wonderful locations, thriving industries, strong educational background and a diverse population. Hampton Roads has great potential for lucrative returns in real estate investment.
In this article, we discuss some of the reasons to consider investing in Hampton Roads real estate and why it promises a high return on investment.
Why Invest in Hampton Roads Rental Properties
1. The Location
When it comes to real estate investment, the location plays a crucial role in determining the market value.
Hampton Roads provides value to its investors due to factors such as:
- Diverse beaches and attractions. Hampton Roads has a number of beaches that attract many visitors looking for short and long-term rentals. This includes the shorelines of Chesapeake Bay and the Atlantic Ocean. The area is also a major attraction due to the variety of state parks, wildlife refuge sites and its historical significance.
- Access to military bases. There are several military bases in the greater Hamptons Road area including the NS Norfolk, which is the world’s largest naval base. This means rental property investors have access to a large number of renters who may choose to live off-post.
- Access to multiple cities. Hampton Roads is made up of seven cities that include Norfolk, Virginia Beach, Hampton, Chesapeake, Newport News, Portsmouth and Suffolk. All of these cities have something unique to offer and contribute to the diversity of the greater Hampton Roads area.
2. High Property Demand
The demand for rental properties in Hampton Roads is remarkably high, with investors receiving great returns for both short and long-term rentals.
Some of the factors that contribute to this demand include:
- Housing demand from the military personnel. As previously mentioned, Hampton Roads is host to a number of military bases with a large number of staff members that require housing. This translates to a large pool of prospective tenants and consistent demand for rental properties.
- The large student population. The greater Hampton Roads area is home to several institutions of higher education that attract students from across the country. This adds to the demand for housing for students who prefer living off-campus.
- The available job opportunities. The thriving industries in Hampton Roads have provided employment to the local residents and attracted more people into the area. Notable employers in the area include the shipyards in Norfolk and Newport News, the local public school system, and Amazon.
- The tourist attractions. This area has a vibrant tourism industry that is mainly credited to the beautiful beaches and temperate climate. There is also an abundance of local entertainment including events such as “Live! On Atlantic” and “Something in the Water”.
- The diverse communities. Hampton Roads enjoys great generational and cultural diversity, being home to people from varying backgrounds. Most people move into this area for higher education, employment, and business. Families that settle in the area mostly look for a quiet place to call home, whereas others move for the mild weather and the strong sense of community.
3. The Strong Education System
Hampton Roads has a reputation for a strong local education that includes public schools, private schools and several higher education institutions. The reputable education system in this area attracts a number of families, adding to the demand for property. This makes Hampton Roads a great destination for property investors.
The higher education institutions include public universities, private universities, satellite campuses, technical institutions, and two-year colleges.
Some of these institutions include the College of William and Mary, Eastern Virginia Medical School, and Norfolk State University.
The large student population provides a great opportunity for rental property investment.
4. The Investment Opportunities
The opportunities for real estate investment in Hampton Roads are endless for the different types of rental properties.
These include:
- Long-term rentals. Properties rented on a long-term lease are quite popular in Hampton Roads. This includes single-family homes, condos and duplexes which provide substantial returns to property investors.
- Vacation rentals. These are short-term rental properties that provide accommodation for a minimum of three nights per stay between April and September, and on a month-to-month basis in the winter season. The houses are fully-furnished and a popular choice for visitors who want to enjoy the scenic shorelines and temperate climate.
- Multi-family properties. With the increase in population in the area, multi-family rentals have become a lucrative property investment. Such properties help to satisfy the housing demand and provide reliable passive income to investors.
- Fully-furnished rental properties. These properties have a rapidly growing market, especially among people who are on a short-term visit for business or personal reasons. Such properties provide a great alternative for people who want to avoid renting a hotel too long.
The Bottom Line: Why Buy Real Estate in Hampton Roads
Hampton Roads offers numerous opportunities and a high quality of life for its residents. It also attracts a number of visitors and new residents each year. The demand for real estate has been growing consistently thanks to its high-value locations, the growing population, strong educational background, and attractive investment opportunities.
If this is your first time as a property investor, you may want to consider hiring a real estate professional. Getting professional assistance can help you avoid the common mistakes made by new investors. Real estate professionals also have access to resources that can make your property investment journey smoother.
Contact Keyrenter Hampton Roads for all your real estate needs.