In this edition of The TurboTenant report, we will be focusing on the best places to buy an investment property in Idaho. Four towns made our list: Meridian, Caldwell, Nampa, and Boise. We curated data from studies on the best places to buy an investment property, median list price, and proprietary TurboTenant data. The TurboTenant Data includes stats on the average number of leads a rental property received, as well as the average number of days on the market. These two points will help an investor determine the strength of the rental market, as well as estimating potential vacancy rates.
Idaho is part of the Pacific Northwest and is bordered by Montana, Utah, Nevada, Oregon, Washington, and British Columbia to the south. Significant industries in the state include manufacturing, agriculture, mining, forestry, and tourism. The United States Forest Service holds around 38% of the land, the most of any state. Idaho is known best for its large potato crop, which supplies around one-third of the nationwide yield. It’s also known for its diverse landscape, with parts of the Rocky Mountains stretching across the state, and plains along the Snake River in the south. Idaho is stunningly beautiful, hence its nickname as the “Gem State.”
All towns on the list posted positive gains in population growth and home values. All locations reported 10 days or less on the market and leads topped out at 50 for our number one town, Meridian. Let’s take a look at the best places to buy a rental investment property in Idaho.
#4: Boise, ID
Boise is the capital of Idaho, as well as the largest city, with a population of nearly 230k as of 2018. It is located in the southwest region of the state, on the Boise River. Boise has been named one of the most liveable cities in the country and with attractions such as the Boise River Greenbelt, a trail system spanning more than 30 miles, the Bogus Basin Ski area, home values increasing over 10% year over year, population growth steadily climbing and employment growth coming in at 3.6% growth year over year, it’s no surprise. Properties are not staying on the market long, with an average of 7 days on the market and 15 leads per property.
- Population growth: 2.6%
- Employment growth: 3.6%
- Increase in home values: 11.4%
- Median Listing Price: $350k
- Average Rent: $1,450
- Average Number of Leads per Property: 15
- Number of days on the rental market: 7
#3: Nampa, ID
Nampa is the 3rd most populous city in Idaho with just under 100k residents as of 2018. Nampa is around 20 miles west of Boise and 6 miles west of Meridian. It is the second principal city in the Boise-Nampa metropolitan area. Nampa has authentic small-town charm, as well as a big city feel. Nampa has a thriving downtown, a stocked farmer’s markets, and is close to Idaho Wine Country. It also boasts a 15% year over year home value increase, 5.7% population growth, and a median listing price under 300k. Leads are strong at 24 per property on average, and just a week on the market. With close proximity to Boise and Meridian, it’s an excellent pick for rental investment property.
- Population growth: 5.7%
- Employment growth: 0%
- Increase in home values: 15%
- Median Listing Price: $280k
- Average Rent: $1295
- Average Number of Leads per Property: 24
- Number of days on the rental market: 7
#2: Caldwell, ID
Caldwell has a population of nearly 50k and is part of the Boise metropolitan area. It is on the western edge of the Treasure Valley, where the Payette, Boise, Weiser, Malheur, Owyhee, and Burnt rivers drain into the Snake River. It has all the benefits of a small community with easy access to Idaho’s largest city. Caldwell is home to the College of Idaho and the College of Western Idaho. It’s also home to only 5 days on the market on average-taking the number one spot for that data point, and second for the most leads per property at 25. Home values have seen the biggest increase on our list at 16.3% with population growth coming in at 6.4% year over year.
- Population growth: 6.4%
- Employment growth: 0%
- Increase in home values: 16.3%
- Median Listing Price: $250k
- Average Rent: $1300
- Average Number of Leads per Property: 25
- Number of days on the rental market: 5
#1: Meridian, ID
Our number one pick for the best places to buy a rental investment property in Idaho, is Meridian. It is one of the fastest-growing cities in the U.S. and reached 106k residents as of 2018. It has had a 1000% increase in population since 1990 and is the second-largest in the state. It has a mild climate and sits on a river plain at the base of the Boise Mountains. It takes the top spot for the number of leads per property at 50, with just 10 days on the market on average. Home values have increased 10.2% year over year, and population growth is up 11% year over year.
- Population growth: 11%
- Employment growth: 0%
- Increase in home values: 10.2%
- Median Listing Price: $390k
- Average Rent: $1600
- Average Number of Leads per Property: 50
- Number of days on the rental market: 10
Once you’ve landed the perfect investment property in a good location, TurboTenant can help take your landlording into the digital world by streamlining the rental process with easy and free online rental applications as well as thorough tenant screening so you can find the best renter for your property.
Use our handy map tool to explore top rental markets throughout the U.S.
About the TurboTenant Report
The TurboTenant Report analyzes data from active listings across all 50 states, as well as third party real estate, population and employment growth data. Our goal with the TurboReport is to empower seasoned and novice investors to make wise purchasing decisions when purchasing a rental investment property. For more information or custom data requests, please contact [email protected].
Methodology:
In order to determine the best cities to invest in each state, we curated data from a number of reputable sources as well as using TurboTenant proprietary data. Our main city selections were taken from a study that evaluated four main factors for each city: employment growth, population growth, increase in home values and rental yield. We combined that with TurboTenant data on the average rent price, the number of rental leads per property, as well as the average number of days the rental stays on the market.
We also included an honorable mention where applicable. They are pulled from this study on the best places to invest in every state. These were determined using Zillow’s Buyer-Seller Index and Zillow Home Value Forecast, and AreaVibes’ Livability Score. Other methods for determining honorable mentions include using TurboTenant proprietary data to determine which cities return the best rental investment R.O.I. using data points including days on market, the number of leads per property, and average rent price.
DISCLAIMER: TurboTenant, Inc does not provide legal advice. This material has been prepared for informational purposes only. All users are advised to check all applicable local, state and federal laws and consult legal counsel should questions arise.
Sources:
- TurboTenant Rental Data
- Fastest Growing States Population
- The Best and Worst Cities to Own Investment Property
- Real Estate data provided by Redfin, a national real estate brokerage.