What Are The Best Markets To Invest In?

What Are The Best Markets To Invest In?


Hey, what’s up friends? Welcome back. Kris
Krohn here. And we are continuing our journey today with Tyler Bennett. Today,
we’re going to be revealing 2 of the best markets in the entire world.
Certainly the United States. We’re going to be honing in on the number one best
growth market right now and then we’re gonna be talking about one of our
favorite cash flow markets. Check it out. So, check it out. I’m back here with Tyler
Bennett. And in our last video, if you watched it, we talked about the 5
things you have to look for when selecting the best market. Because your
back yard is usually not the best market. If you want to get the highest returns,
if you’re serious about financial freedom, you’ve got to go where the most
ideal circumstances exist. And so, in our video today, we’re just going to be doing
a short synopsis on our number one growth market. And then we’re going to talk
about one of our favorite cash flow markets. And Tyler is the director my
acquisitions team is going to help break it all down for us.
-Good. Thanks Kris. -Yeah. -Orlando. Yeah. So, growth means
there’s opportunity from the standpoint of we want cash flow, right? Cash flow is
important but is there opportunity for the value of the homes to grow in a
particular market more so than another? And so much wealth is created in real
estate off of this factor, right? This growth, the value going up and you sell
and exit. And you make the difference. And the reality is that homes are always
appreciating in value but they’re not equal in all markets. I want to go to the
markets. And Tyler’s team does evaluations on a frequent basis of the
top 324 markets to make sure that we know who
the leaders are. And for the last several years running, the number one growth
market is? -Orlando, Florida. -Orlando, Florida. -Yeah. -You probably know Orlando
from the whole Disneyworld thing. Where are we in relation to Disneyworld dude?
-Yeah. So, we’re right around Disneyworld. Really. We’re within about a 30-mile
radius of Disneyworld is where we really focus. -And why does that market…? First
of all, it’s growing them a lot right now. -A ton. Yeah. You’d probably be surprised
to hear that Orlando has more tourists than New York City,
than Las Vegas. It almost has twice as many tourists per year than Las Vegas.
You know, they get close to just over 70 million a year. And Las
Vegas is 40 million a year. -Wow. And Florida’s really beautiful market for so
many different reasons. But your team, you guys access very expensive reports, pay a
lot of money for people doing all sorts of reporting. -Yeah. -Tell us a little bit
about what the reports are showing this year. -So, I have one of these reports
right here. I’d like to say I memorize all this stuff. But my brains can only
keep so much. -A lot of it. -Yeah. But yes, we have all these
reports and we’re looking at all these little… All these indicators inside of
the market. Last video, we talked about population growth. -Right. -Orlando is
growing like crazy. In fact, they’re almost bringing in 2,000 people a
week in the Orlando and kind of this suburban Orlando market. -And I think
they’re projected at what? I think this report was showing 11%
appreciation. -Yeah. You’re over here right now? -Yeah. -That’s a lot. You can’t put your
money in the SP and do as well as just owning a house in Florida. If you’re
putting money in 401ks and IRAs, they’re coming in at half or third or quarter of
just what’s happening. Just an appreciation not taking cash flow equity
in all the different pieces into it. -And we talked about affordability. So, that’s
a key factor because there’s some other markets that are growing and projected
to appreciate similar to Orlando. -Expensive. -But they’re expensive. And you
can’t cash flow as much. And you look at pricing today in Orlando it’s at 88% of
the peak 2007 price. Where many markets have surpassed that. -Yeah. -And a far
surpassed it. And so Orlando has taken longer to recover which gives us more
opportunity for growth. -And a lot of the homes that we’re buying in there
compared to a cash flow market where it’s a lot less. In this market, to get
into growth property, you might be a 135,000 to 200,000 dollars. -Uh-huh. You’re kind of in that realm or
certainly below that national median. And that area has so many things
economically going on stimulating it. That says, “Wow, but this has a really long
term future play.” -Yeah. And the biggest bonus, right? Again, we can find other
markets in the country that are projecting 30% growth over
the next 3 years. But you can’t get the cash flow along the way. Because of
the rent to price, purchased price ratios just aren’t fair. So, in Orlando you still
get some cash flow along the way which is kind of just a bonus to be in a
market that’s growing like it is. -So, you got great growth, you got great cash flow.
And friends, we’re talking about ROIs on our deals. And some what are some of
other videos, we’ll actually talk about in this series some of the deals that we’re
doing. But it’s very typical to see homes with ROIs for 20% a year, 25% projected ROI. Some of them like rounding on to that 30%. So you
know, those are course just projections but historically speaking, we stay pretty
close to that. So, it’s very, very exciting right now. -Yeah. And I think and you’ll
see in these videos, when we go it that we’re typically more conservative
than what everybody else thinks is going to happen to. -Well you have to be right. Let’s
talk a little about cash flow for a moment. So we got that market, there are a
few markets that we play when it comes to just maximizing that cash flow. One of
the markets that we have a lot of history and from just the last few years
alone is? Memphis. Memphis Tennessee. -Yeah. -And I want to talk cash flow just
for a second. Because cash flow is kind of that when nothing’s on sell, there’s
no clearance racks in real estate right now in the country. There was from 2009
to 2013 right? With the Great Recession. But we’ve had this slow and steady climb.
And so there’s really nothing on self. So, during that timeframe in real estate, we
want to go find the best cash flow markets. -Yes. And let’s just… Let’s just
get in the market and make as much as we can from cash flow. And then when things
go on sell, right? You keep talking about winter coming. When things go on sale, we
can reposition or we can make move. We can go shop the clearance racks.
-Yeah. And I want to help you guys understand what that looks like because
we’ve been through, we’re about to enter into our next cycle or next recession. Do
not let that freak you out. Look that every can turn you on. Let that excite
you, let that get you amped up. Because with 2008 hit, most homes, the
conversation in the home was is this the beginning at the end? How bad is this
going to be? Is this going to be Great Depression kind of crap? The reality was
it was the best time to be in real estate. We only have one growth market
for a reason because we’re waiting for the next growth markets to open up when
that recession hits. In the meantime, there’s always going to be a variety of
cash flow markets where you can diversify and plan and focus on getting
it on cash return that can near more like 8%, 9%, 10%. Again, getting that kind
of cash flow back it is insanely high compared to the other investment options
out there. Because now your investment is growing and making you money but guess
what it’s also doing? Dude, you’re also getting paid which is just rare
unfortunately in the investing world. What people understand. -So, Memphis is
this blue collar market. It’s a kind of medium-sized city, good infrastructure, a
lot of industry and a lot of renters and affordability factor. When you look at
the average wages, the renters are making and you look at what they’re spending,
they’re spending 15 to 25 percent on their housing expense. Which
makes great renters. -Yeah, because you don’t have a problem default. -Yeah.
-Problems. -Yes. You have a dual income family making $25 an hour. Each person
working at FedEx. -Yeah. -And they’re paying $14 dollars a month and rent. It’s super
affordable. And if you look at Memphis and you look at it, you isolate Memphis
to the whole market. And you’d see 2 2,000, right? And then it dipped after
the.com, boom. Went back up in 2007, you see some hard crashes. Memphis is kind of
just this slow and steady. It’s kind of isolated. -It’s dependable. -Yeah. And so
it’s just really predictable. We like Memphis because of the predictability.
And you know, obviously got affordability, unemployment wages, all those different
things. But for a cash flow market, it’s just really predictable. -Well,
it means that you can go in and you can sometimes get houses for under 100,000 but you can buy product between 100,000 and 150,000.
It’s going to be less than what you find in Florida. And that
means that your total cost to get into a property with the 20% down payment is
going to be lower than what you’re going to find in like a Florida market. And some
of our other cash flow markets, the total out-of-pocket is even lower. So, the
exciting thing is in cash flow, it’s all about how can I have a smaller amount of
money working for me and doing something. You still have this 3 to 5
percent growth factor. They’re still happening behind the scenes. You know,
it’s just going to follow more the national average and not kind of be isolated like
Orlando and be above the national average. But so it’s above average cash
flow and about average appreciation. And then the growth is the opposite. So, friend
what we just did is we just shared with you the number one growth market. And we
share with you one of our top and favorite cash flow markets. And what
we’re going to do in the next video, we’re actually… It’s time to actually look at
deals themselves. And actually saying, “Wow, what are all the numbers on the
spreadsheet. And how do I read this thing? What’s important?” Because this is a pro
forma. And it basically says, “This is what performance on this product will likely
look like.” And it’s going to be a super exciting video for you to really say, “Wow,
what a professional investors really look at and evaluate know to be a winner
in the game.” This is information that you want a have. And so stay tuned. For those
of you that are watching and saying, “I’m ready to take action to get my hands on
some of this action right now.” All you got to do is click the link below. And
look into what it would look like to actually partner directly with me, have
access to my team. And go into the market and start buying a product that can
really give you a real retirement for the real financial life that you really
want to in terms of having it all. So friends, we
got that coming your way and check out the link in the description. And the next,
we’re going to be diving in on exact deals and how juicy this gets.

12 thoughts on “What Are The Best Markets To Invest In?

  1. Bro I love your videos man. I hope you know that you are the reason why I’m getting into real estate at the age of 17!

  2. Orlando sucks! You’re in a state known for it’s beautiful ocean views yet it’s in the middle of it. It’s Vegas minus gambling with most of the jobs serving tourists. No real entertainment business all studios are theme parks. South Florida has it all plus it’s growing like crazy.

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