Amarillo, Texas – Courtesy of Amarillo Convention & Visitor Council

A RECIPE FOR EXTRAORDINARILY STABLE RETURNS

Amarillo’s 1-4 unit residential real estate market is ideal for investors seeking a strong return on cash without exposing themselves to the broader economic instability typical in this segment. Amarillo’s Home Price Index (HPI) shows how its SFH market lacks the price volatility found throughout most of the U.S., especially during the recent severe recession.

Throughout the last twenty years, the Amarillo market has exhibited steady, sustainable price appreciation—something value investors, versus real estate speculators—prize highly.

Amarillo residential real estate investing offers among the best, most stable returns that one can find in single family homes in the United States today.

AMARILLO – A ROBUST, DIVERSIED ECONOMY

Amarillo is the largest city in the Texas Panhandle and features a highly stable, growing economy. Amarillo is considered the regional economic center for the Oklahoma and Texas Panhandles as well as eastern New Mexico and southern Kansas. The city is well located at the junction of two major trade corridors, Interstate 40 providing east-west coast-to-coast access, and the planned Ports-to-Plains trade corridor that will strengthen Amarillo’s strategic position along the Mexico-Canada trade route.

The Amarillo MSA is home to over one quarter of a million people and is ethnically diverse. It is ranked 14th in size among Texas cities. This is a distinct advantage for real estate investors since Amarillo’s moderate size has allowed it to stay off the radar screen of national investors who have scoured larger Texas cities for the best properties in recent years.

In the third quarter of 2014, Amarillo’s unemployment stood at 3.6%, well below the U.S. average of 6.2% and ranking as the third lowest in Texas. Amarillo’s unemployment rate has averaged just over 4% during the past 15 years and never exceeded 5.8% during the recent recession.

The diversity of Amarillo’s business community produces an enviable stability in its economy. Major Amarillo employers include Tyson Foods, the Amarillo Independent School District, major DOE contractor BWXT Pantex, Baptist St. Anthony’s Healthcare System, Amarillo College, Bell Helicopter Textron, which produces the V-22 Osprey, and Owens-Corning. Amarillo ranked No. 16 on Forbes’ list of Opportunity Cities for young professionals released in September 2014. Amarillo’s workforce is not primarily white- or blue-collar, but a mix including sales, office workers, service providers and professionals. Job force diversification leads directly to consistency in real estate cash flow and returns.

One-quarter of the U.S. beef supply is processed in and around Amarillo.

Courtesy of Amarillo Convention & Visitor Council