Best Cash Flowing Real Estate Markets 2022

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What's up guys, it's James here and in today's video, we're gonna be talking about the best cash flowing real estate markets in 2022. So these are specifically going to be the real estate investing markets for short term rental that produce insane cash flow, we're not looking at what ones are planning on appreciating anything speculative, we're really just focusing on cashflow. And so if you are interested in learning how to invest in short term rental properties that cashflow like crazy, and will help you to build long term wealth, I highly recommend you check out the link in the description down below for our free training. Put together a free training pretty recently here that goes in depth on exactly what our three main pillars are for investing successfully in short term rental properties, Airbnb vacation rentals, whatever you want to call them. At the end of checking out that training, you will also have the opportunity to number one, get your hands on a free property analysis spreadsheet, that is the exact same tool that we use for analyzing all our deals. And number two, you'll also be able to set up a one on one strategy session with my business and investing partner Riley, to have him help you to plan out how to actually reach your goals investing in short term rental properties. So I highly recommend checking that out, all that stuff is completely free. So make sure that you click the link in the description to sign up for that training, get yourself in there and check it out. Now, that being said, let's go ahead and jump in. And let's start talking about the highest cash flowing real estate markets in 2022. And again, this is specifically for short term rentals. Because short term rentals outperform any other form of investing that I've ever come across. As far as real estate is concerned, whether that's long term rental investing, storage lockers, whatever it might be, I just haven't seen any other form of real estate investing that can outperform short term rentals when it comes to generating strong cash flow. The reason for this is that you can purchase a property for the same amount of money that you'd purchase any other property at. Because you know, it's just a property you are the one that's transitioning into a short term rental. And then you can then transition to a short term rental where people are willing to pay a lot more per night as a short term rental than they would as a long term rental or another use for the property. So the cashflow really strong. But what markets in particular cashflow the best in 2022. What I've found to be the case is that in 2022, right now what we're seeing is, again, I've talked about this in other videos, we're seeing a lot of domestic travel still happening. So if you look at large markets, meaning, you know, countries areas with large internal populations, large domestic populations there, those countries tend to be doing really well just because if you look at, for example, the United States, they've got millions upon millions upon millions of people. And so not having international travel coming in is not that detrimental for the right markets within America, you look at a much smaller country with a much smaller domestic population, it's just more challenging for them, because they're so reliant on international tourism to stimulate their tourism sector to get bookings for your short term rental properties. So I like to look at countries with large domestic populations. And specifically, the closer that you can be to the more densely populated urban areas, the better. There are actually some more densely populated urban centers, like for example, Nashville, Tennessee, that are performing exceptionally well in 2022. Now the drive for those is that they're basically just things to do in those areas from a recreational standpoint. So you're not really going to want to be focusing on business travel type markets, you're not going to be wanting to focus on areas that have a lot of draw from international travelers typically. So if you think about a Toronto market, like where I spend some of my time throughout the year, Toronto has a lot of business travel coming to it typically, but obviously with everything going on right now, that is not the case. And there is a decent amount of tourism draw to the area, but it's mostly from international travelers. There's not a lot of people within Canada that want to come into Toronto, I mean, there are but there's just it's just not a huge driver, the demand there does not match with the supply. There's lots of properties in Toronto, but without the international travel, it's just not a great destination. Nashville. Tennessee, on the other hand, has a lot of recreational activities, Las Vegas, Nevada, again, has a lot of recreational activities. So these types of markets that attract people domestically, can be really strong as long as they're not super restricted with everything going on in the world. So for that reason, those types of kind of recreational urban centers do really well. But then the other areas that do really well are more recreational, smaller areas, more rural areas outside of major urban centers. So if you think about Toronto, again, Toronto itself is not a huge draw outside of the international tourism. It's just not enough demand there to match up with the supply and make investing in the Toronto market a really strong move right now from a short term rental perspective. However, investing just outside of Toronto a couple hours in some of the Great Lake areas that are outside Toronto, where people from Toronto like the flock to to get away to cottage doulos
staycation have a bit of a getaway weekend, those markets tend to do really, really well. Another really strong market this year is going to be Hawaii, I'm seeing a lot of growth in the Hawaii markets again, because there's so much to do over in Hawaii. And obviously, Hawaii breaks down to a lot of different markets in and of itself. But there are a number of them in the top list of best places to invest right now and 2022 for short term rentals, because so many people who are in America and can't travel internationally or don't want to travel internationally are flocking over to their little domestic paradise of Hawaii. So those markets are all going to cashflow really well. But the ones that are gonna cashflow the best are gonna be the ones where there's that discrepancy between the purchase price and the amount of demand they're going to have. So Hawaii, for example, is a good example a place where I don't suspect it would cashflow insanely well compared to other markets that are available in the United States. Just because Hawaii real estate is so expensive, because it's so limited so far away everything else. Hawaii real estate is just traditionally very, very expensive. Now, I'm not saying it's not worth it, Hawaii is absolutely gorgeous. But is it going to lead to great cash flow, not necessarily strong cash flow? Sure, but it's not going to be the best from what I'm looking at. There may be some pockets in Hawaii that you can invest in. But kind of on more under the radar markets that don't really have a lot of demand for people live there or using for things other than short term rental, those tend to do the best. So what I like to look for is areas where there's not a huge amount of demand and competition for other buyers in the market. Meaning I don't want to have a lot of people buying properties for long term rentals in that area, I don't want to have a ton of people that are buying properties to live in that area, I want to have a place where really no one wants that real estate, but that it uniquely performs very, very well as a short term rental. So that's where some of these secondary markets, you know, Nashville is another example of a place where there's a lot of demand, there's a lot of people moving to Nashville, a lot of businesses coming up there. So there's a lot more competition for both long term rental investors and just property owners people that want to buy a family home there. So it's not going to yield strong cash flow because the prices are higher. If you look at some of these more secondary markets that are more rural, where long term investing does doesn't really make that much sense. And there's you know, not a ton of population growth there. So you're not seeing a huge amount of of demand for family homes. And if you do look down at competition there, those secondary markets tend to do really, really well, because they have this unique advantage of being pretty cheap to purchase the properties there. And they cashflow really strong because they just uniquely performed really well our short term rental properties. So for that reason, I'm very bullish and investing myself personally in one of those secondary markets inside of Canada, the US is another really strong one, really anywhere where there's a large domestic population, a country with large domestic population is going to be a good bet. And I would use that same philosophy of trying to find a major urban center and see if there are secondary markets kind of outside of that core within driving distance are typically two to three hours away, where people like to get away and vacation, too. Depending on where you live, it might be worth thinking, hey, where would I go for a staycation if I didn't want to hop on a flight and I didn't want to drive, you know, eight hours away somewhere, where would I go. So just kind of give that some food for thought may or may not yield something, but really try to think like a local in that major urban center and figure out where they're going to be getting away to. So I hope this video has been valuable to you. Again, if you want to learn the step by step process for investing successfully in short term rental properties, and finding the best markets finding the best properties within those markets, generating the strongest cash flow possible all about everything from A to Z, just check out the the free training that's linked in the description down below, we're also going to give you our property analysis spreadsheet that's just going to be completely free so that you can use that to analyze properties. And that way you'll actually be able to work out the exact amount of cash flow that any property you're looking at what generate over a year, use actual real data to generate those projections so that you can know with certainty going into the deal. Exactly what your cash on cash return is going to be all your different metrics just really know it and make the right investing decision. So again, that's going to be given to you completely FREE when you sign up for the training that is in the link in the description down below. So make sure you check that out. Also, if you like this video if you got value from it if you thought it was insightful. If you just want to support this channel, please hit the like button give this video like it really does help me out a lot as I'm growing this channel. And then last but not least, if you haven't done so already, make sure you hit that subscribe button. I post two new videos every single week. So make sure you stay up to date with the channel hit the subscribe button, and I'll see you in the next video.