When considering real estate as an investment, there are two predominant questions to consider.  What is the best TYPE of real estate to own and is NOW a good time to invest?  We believe single-family residential rentals represent a growth opportunity for now and the future.   According to a Gallup Poll, real estate remains one of the most favored investment to Americans and has ranked in the top spot every year since 2013.[1]  However, it can be a barrier for most investors because it can be considerable work.  We believe residential single-family housing is an ideal real estate investment and an important method to diversify an asset portfolio. 

It is our opinion there will be continued demand for single-family homes, particularly in a strong market like Tennessee.  Opportunity exists to capitalize on price and location in a time when Tennessee cities are projected to attract more business and generate employment opportunities.  While the future is bright for Tennessee real estate, there are also numerous barriers to entry.  Unlike other investments, real estate is not a passive investment.  From tenant relations to rent collection to maintenance requests, real estate can be very time consuming.  Procuring the right real estate investment requires knowledge and contacts in individual markets, particularly in high growth markets.  These investments also require a strong overview of industry knowledge relative to local zoning and ordinances, boundary and surveys, covenants, restrictions, HOAs, and property maintenance.  Many good opportunities require some cosmetic updates and remodeling and can also require improvements after tenants vacate.  The many factors and complexities to successful real estate investing serve to eliminate many would be investors from entering.  Conversely, having the knowledge and resources needed to navigate those same complexities and barriers can set the stage for a great investment with the potential to generate great returns and appreciation.

To learn more about how Acumen can help you Invest Intentionally®, please contact us.

The opinions expressed in this commentary should not be considered as fact. All opinions expressed are as of the published date and are subject to change. Information contained herein is not and should not be construed as an offer, solicitation, or recommendation to buy or sell securities. Investments in securities involves risk, will fluctuate in price, and may result in losses. The information has been obtained from sources we believe to be reliable; however, no guarantee is made or implied with respect to its accuracy, timeliness, or completeness.   It is suggested that you consult your financial professional, attorney, or tax advisor with regard to your individual situation. Comments concerning the past performance are not intended to be forward looking and should not be viewed as an indication of future results.

Acumen Wealth Advisors, LLC® is a Registered Investment Adviser. Advisory services are only offered to clients or prospective clients where Acumen Wealth Advisors, LLC® and its representatives are properly licensed or exempt from licensure. Past performance is no guarantee of future returns. Investing involves risk and possible loss of principal capital. No advice may be rendered by Acumen Wealth Advisors, LLC® unless a client service agreement is in place.


[1] “Stock Investments Lose Some Luster After Covid-19 Sell Off”, Gallup, April 2020

[2] “US Home Price Insights:  Through Nov 2020 with Forecasts from Dec 2020 and November 2021”, Corelogic, Jan 2020

[3] A Decade of Home Building: The Long Recovery of the 2010s | Eye On Housing

[4] From ‘Zoom Rooms’ to Chef Kitchens: Zillow’s Top 10 Home Trends for 2021 – Dec 10, 2020 (mediaroom.com)

[5] “More Remote Work Opportunities May Make Suburbs More Desirable”, Zillow Research, May 13, 2020

[6] “Single Family Rental: An Evolving Market”, Freddie Mac Multifamily, October 2018

[7] “Single-Family Rents Increasing Twice As Fast As Inflation”, Corelogic, March 2020

[8] “Q3 02 Single -Family Rental Investment Trends Report”, Arbor Research, Q3 2020

[9] “Where Is The New Class Of Investors Buying Single-Family Rentals?”, Forbes, Nov 2019

[10] “For 7th Year in A Row, More People Left CA than Moved In”, nbcbayarea.com, Nov 2019

[11] “United Van Lines’ National Migration Study Reveals Where and Why Americans Moved in 2020”, Unitedvanlines.com, January 2021