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’ve already touched on the entirety of Birmingham, but today I wanna zoom in on three specific areas: Center Point, Roebuck, and Huffman, which are very popular investment destinations.
Where is Centerpoint?
Here is my map of Birmingham. Center Point, Roebuck, and Huffman are up and down Highway 75, which is on the northeast side of Birmingham.
And you’ll see Highway 75 right here, that is also called Center Point Parkway. So I’m gonna zoom in on that. Went in a little too far.
All right, so let’s take a look right in here. This right here is kind of the area of Roebuck. 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 right here and as you push forward up through here, all of this is residential and it kind of bleeds into the Clay-Chalkville area.
What you will see is this is a heavy, heavy, heavy rental area. There’s definitely some fix and flip going on, but predominantly over the last 10 years, this has been the most popular place in Birmingham to invest just because of the age of the home.
The homes are built in the late ’50s, ’60s. As you start here, like most cities, they grew out, most of the houses in here are built in the ’50s and it bleeds up here through the ’60s, and some of Clay and Chalkville is probably built in the ’70s.
So an excellent area for investing.
What kind of house can you expect?
The reason I like houses built here is they have more modern systems like heating and air conditioning. They have efficient floor plans with closets.
There are a lot of houses, particularly once you get up the parkway, some that have more bathrooms.
So generally you’re talking about one-bathroom homes here, ironically, a lot of one and a half bathroom homes here.
And you get up into here, more modern day two-bathrooms up near as you kind of from Center Point into Clay.
Rental rates are pretty interesting here. They’ve gone up, 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.
And rental rates, you’re talking about typically a two-bedroom, which you can find in here, probably rents in the $650 to $750 range.
As you get up here, if you can find a two-bedroom, you know, you’re talking about another 100, 150 bucks.
Three bedrooms, one bathroom in here are now starting to rent in the $800 to $900 range. As you get up into here, you’re talking about more like $1,000 $1,100. I’ve even seen some as high as $1,300, $1,400.
The city of Center Point has started to create a few challenges for investors. They’re cracking down on renovations, wanting to make sure people get building permits.
So I think it’s important to abide by their codes, make sure that you talk to the city of Center Point if you’re going to invest there. There are some fix and flips that go on in here.
I think that the majority of them I would say sell now between the 120s and maybe as much as $200,000, $220,000. Again, just a great house built in the ’50s, ’60s, and ’70s.
And the other thing I would say is that we started using the air conditioning back in the ’60s and ’70s, so you’re talking about the efficient floor plans which help out.
So I hope that was helpful. If you have any other questions we’d love to talk to you. Our Birmingham office is 205-940-6363 extension 3.
And we would love to talk to you about your investment plans and see if that’s something we can help out with. I am Matthew Whitaker with gkhouses.