I received a phone call from one of my favorite Kansas City real estate investors yesterday asking me how the rental market is. Well, that depends on which house for rent you are talking about. She (along with her funny as heck husband) own investment properties from Blue Springs, MO to Olathe, KS. Here is what I’m finding and what I told her.
Kansas City – The Missouri side is better than the Kansas side when we are talking about within the city limits of Kansas City. But Kansas City, MO has the really depressing area of US 71 Hwy over to I-435. That market is flooded. Waldo, red hot. I put out a sign on the 23rd. So far I’ve had six showings and several have taken applications. Phone calls top thirty. Another investor I know over in Waldo rented his place in less than two weeks. Another in less than a week. Over by the Bannister Mall area (what will we call that now?) I have an investor with only one vacancy in about eight rental homes.
Olathe & Overland Park – Pretty consistent. Rental properties seem to have a vacancy period of anywhere from two weeks to a month and a half. Not too bad. Not fantastic. Just steady-as-she-goes, as usual.
Blue Springs– Seeing a little softness out there. But not too bad. Should have no more than 60 days vacancy. I say that, but then a duplex I have over there is full and there are only about 3 vacancies in a neighborhood of about 220 doors. But the western and southern edges of Blue Springs are little different story.
The key when looking to buy more rental property for investment purposes is to look for properties that tenants will like. Keep them in good condition and market them at fair prices for their respective neighborhoods. Regardless of price range.