In today’s video, we are going to learn where to invest in Birmingham.
Hey everybody, this is Matthew Whitaker with gkhouses with another episode of Where to Invest in Birmingham, Alabama. We have already touched on the entirety of Birmingham, but today I want to zoom in on three specific areas: Center Point, Roebuck, and Huffman, which are very popular investment destinations.
Where is Centerpoint?
Center Point, Roebuck, and Huffman are up and down Highway 75, which is on the northeast side of Birmingham.
Highway 75 is also called Center Point Parkway. Roebuck bleeds into what I consider kind of Huffman and Center Point.
So as you come along Interstate 59, there is a lot of commercial development and as you push forward it gets into residential areas. It then bleeds into the Clay-Chalkville area.
This is a heavy, heavy, heavy rental area. There is definitely some fix and flip going on. Over the last 10 years, this has been the most popular place in Birmingham to invest just because of the ages of the homes.
The homes were built in the late ’50s, ’60s. If you start looking closer to the city of Birmingham, they grew out. Most of the houses closer to the city were built in the ’50s and when you get more north, closer to Clay and Chalkville, the houses were built more in the ’70s.
So an excellent area for investing in Birmingham.
What kind of house can you expect?
The reason I like houses built in these ares is because they have more modern systems such as heating and air conditioning. They have efficient floor plans with closets, some have more bathrooms, etc.
Generally in older homes you will only find one bathroom sometimes you will find properties with one and a half bathrooms.
The more north you go from Center Point into Clay, there are more modern day two-bathrooms.
Rental rates are pretty interesting here. They have gone up, and have continued to go up over the last 10 years.
This area felt the recession back in ’08, ’09, 2010. A lot of investors came in here and bought homes.
Typically a two-bedroom, which you can find in here, probably rents in the $650 to $750 range.
As you go towards Clay and Chalkville and look at two-bedrooms, you are talking about another $100-$150.
Three bedrooms, one bathroom in here are now starting to rent in the $800 to $900 range. As I have mentioned, when you start looking in Clay, the homes are more modern which means they are a bit bigger and that makes them more expensive. The majority of them are $1,000-$1,100. I have even seen some rent for $1,400.
The city of Center Point has started to create a few challenges for investors. They are cracking down on renovations and wanting to make sure people get building permits.
It’s important to abide by their codes and make sure that you talk to the city of Center Point if you are going to invest there.
Other than that, this is a great area to invest in Birmingham if you are looking for a solid rental property.
There are some fix and flips happening and I think that the majority of them I would say sell now between $120,000 – $200,000.
So I hope that was helpful. If you have any other questions about where to invest in Birmingham, we would love to talk to you. Our Birmingham office is 205-940-6363 extension 3.