The demand for housing is different depending on several factors like the median income followed by the available credit, buyers preferences, investor preferences, and cost of all aspects involved. It stands to reason that an area experiencing an economic boom will have more that are looking for housing, either to buy or rent. Other considerations have to take into account the size of the families (number of children), the age of the family, US citizens or immigrates. Plus factors that will directly impact the demand in an area are also the number of divorces, deaths, marriages, double income homes, etc.
All these things will depend on the actual demand of the Beverly Hills furnished apartments or Denver Apartments market in any area. One thing is certain, people will need a place to live. But determining if it’s an area that would be an investors dream (where the need for rental property is high) or for the home owners (better neighborhoods, more affluent lifestyles, etc.) helps to know what type of housing is needed and wanted.
The level of income in any area really determines fully the housing market. If an area has a good economy, the level of income is higher, housing demands would be more for home owners. This would be a good area for investors who want to develop residential areas to sell. Or for individual buyers to claim their homes. Real estate in these areas tend to be more valued. The occasional investor may hit upon a few rental properties, but this would be more for the owners.
Investors do well to look in areas where rental properties are desired. Areas where there may be young families just starting out. Areas where the jobs aren’t top-end, but more so people will be working and moving on after a time. Or areas high in immigration, where the demand is great for immediate housing, but the resources aren’t available for these to buy.