High rental income is not equal to high return on investment. If you are looking into investment properties you want a property that has a high rental rate in relation to the purchase price and other costs of ownership. For example $3000/month is a high rental income. But if the home cost you $800,000 and property taxes are $1000 a month that might not be the return you are looking for. Likewise a home that rents for $2000/month and was purchased for $180,000 with taxes $200/month would be a better return on investment compared to the first home, which had a higher rent.
This may seem like common sense but I wouldn't be able to give you an educated answer to your question without learning a little bit more about what your investment goals are. I would be happy to help you though, feel free to contact me though my profile, email, or any number below. Thanks and good luck.
In Philadelphia you'd be looking at places like Northern Liberties, Fishtown, Old City, Society Hill, Rittenhouse, Washington Square West and many others but they are the areas that pop into my head right away. Fishtown and South Philly have seen about an 18% spike in sales compared to this time last year, so they are popular areas right now, and I would imagine rentals will be hot there too.
Don't forget about South Jersey. The suburbs also get great rentals and attract families who typically stay in the home longer, making it more profitable to you.
I am licensed in both NJ and PA. Let me know what you are trying to accomplish and I can give you information about those areas and comparable sales and rental info.
I would be happy to discuss investment opportunities in Philadelphia with you. I work with several investors from various parts of the county who have been very happy for the returns in Philly.
Once I know more about your goals, I can present you with additional details and examples.
I look forward to hearing from you.
Jennifer L. Geddes, MBA
Tri-County Realty- Philadelphia
1715 South Street
Philadelphia, PA 19146
Mobile: (484) 995-2155
Office: (215) 545-8700