Motown, automobiles, and the Great Lakes: Michigan is renowned for its iconic contributions to culture and business. You might not know that Michigan’s real estate scene is a hot spot for investment, too. With its natural beauty, growing job market, and affordable living, Michigan is calling the attention of investors, including internationals interested in cash flow opportunities.
From Detroit to Grand Rapids, Michigan’s cities offer a great mix of economic stability and surprisingly affordable property prices. Whether you’re looking to buy your next rental or start building your portfolio, Michigan is worth a look.
Famous throughout history for its booming automotive industry, Detroit has begun diversifying over the last decade. New industries are popping up and a younger, more vibrant crowd moving in, Detroit is buzzing with potential.
The city has invested significantly in attracting new residents– this major revitalization effort is already paying off. Detroit is experiencing population growth for the first time in 60 years.
And let’s not forget the real estate deals – in Detroit, it’s easy to find real estate well below the national average of $420,400. More people means more demand for housing, and more opportunities for investors to cash in on.
Ann Arbor, home to the University of Michigan, is consistently ranked as one of Michigan’s top places to live for students and professionals alike. Known for its educated, high-income population, the city attracts residents with its strong tech and healthcare sectors, as well as its vibrant cultural scene.
With 55% of households renting – mainly students and young professionals – Ann Arbor’s rental market is stable and ready for investors looking for steady returns. If you’re looking to expand your portfolio, this city is definitely worth considering!
Grand Rapids was known as the furniture capital of the world from the 1870s to 1930s. Since then, it’s become known for much more. Grand Rapids is now a bustling city known for its diverse industries, like healthcare, tech, and finance.
Grand Rapids also offers a low cost of living that still matches up with solid income levels, making it a magnet for young professionals. With new infrastructure and entertainment venues popping up, Grand Rapids is drawing even more residents, which means rental demand is on the rise.
Lansing is Michigan’s state capital. This city combines governmental stability with a rapidly growing healthcare and education sector. Home to Michigan State University, which has over 50,000 students, Lansing benefits from a constant influx of people who are often looking for rental housing.
The diversity of industries combined with student housing options keeps rental demand steady and contributes to a stable investment environment for foreign investors. Best of all, property values are relatively affordable here, making it easier for foreign investors to enter the market without a substantial initial investment.
Kalamazoo may be a small city of about 70,000 people, but it has big investment potential, especially for those eyeing student housing. Home to Western Michigan University, the city boasts affordable property prices and high rental demand from students, making it a strong contender for real estate investors.
Add to that ongoing community development projects that are helping the city grow, and you’ve got a promising market with solid long-term value. For investors looking to capitalize on Michigan’s rental market, Kalamazoo is a potential gem.
Michigan’s real estate market has plenty to offer foreign investors, from urban energy in Detroit to college-town appeal in Ann Arbor, Lansing, and Kalamazoo.
These cities provide a variety of opportunities suited to different investment strategies with a balance of affordability, rental demand, and economic growth. Michigan has the potential to be a rewarding choice for investors looking for low priced properties compared to other parts of the U.S. and strong rent-to-price ratios.
If you’re interested in taking the next step, Waltz can help. Waltz is more than just a mortgage provider, we simplify the entire property purchase process, with digitized paperwork, U.S.-based bank accounts, and competitive financing.
All figures are accurate as of November 2024 and may change over time.* Sources for all city-related statistics:
Home price data: Zillow Housing Market
Rental price data: Zillow Rental Market Trends
Property tax data: Smart Asset Property Tax Calculator
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