In recent survey of college towns that are promising for real estate investors, Houston is No. 5.
Move Inc., an online real estate company, recently conducted the national survey, where towns were selected based on a list of leading universities in 2011, which were ranked by U.S. News and World Report. Rice University was ranked 16th.
The median list price for Houston was $174,900 in June 2011, according to Move Inc. This is down from the previous year, and lower than national median list price of $189,900. In June, Houston’s average rental rates for a two-bedroom unit were $1,218, and for a three or more bedroom unit were $1,478. Mortgage payments are about $710 for a median-priced home with a 20 percent down payment at current mortgage rates for a 30-year fixed loan.
“Local markets with universities or colleges can be an attractive option for many local real estate investors,” said Move, Inc., Chief Executive Officer, Steve Berkowitz, in a statement for BizJournals.com. “Housing demand in college towns is generally high and vacancy rates are usually low.”