Question:
Seems like the info is mainly based on how much an area will appreciate. We don't buy that way. We base everything we do on cash flow with appreciation being a byproduct.
Answer:
With all due respect, that approach may — in my humble opinion — leave a lot of money on the table and take on excessive, uncompensated risk. On a risk-adjusted basis, your returns may be sub-par if you ignore appreciation.
While high-cash-flow markets are generally poor appreciation markets, that's not always the case. There are rare but important exceptions — and finding them is exactly what HousingAlerts specializes in.
If the ONLY thing you want is positive cash flow, you can rank markets by cash-flow yield (the old "Gross Rent Yield" idea). Any of the top markets can give you decent cash flow — but that is NOT the same as decent profit or ROI.
So instead of ignoring appreciation, stack the deck by choosing markets with BOTH high cash flow AND strong appreciation prospects. They are not always mutually exclusive — but it's a needle-in-a-haystack search unless you have HousingAlerts.
On the new platform you do this directly:
- The Cash Flow Boost Score ranks markets on cash-flow suitability.
- The Market Outlook Score ranks them on forward-looking appreciation potential.
- Put both on The Table (add a column with + Column) or read them together on a market's Market Summary Report, and you instantly find the markets that score well on both — the ones with superior TOTAL ROI potential, not cash flow alone.
Your total ROI will likely be many multiples higher when you combine cash flow AND strong appreciation. There's just no reason to ignore the appreciation component anymore — most of your ROI comes from appreciation, not cash flow.