Is there a certain population minimum or maximum you look for when choosing a county?
Thanks,
Nicole
Are you talking about land investing or some other niche?
If you mean land, then not really. I don’t go after any counties with big cities, but aside from that, I just aim for the secondary and tertiary markets, where land isn’t bought and sold at a premium.
I also try to make sure the ratio of sold properties to the for sale properties is in the right range. @retipsterseth has a video about that somewhere, but I don’t remember where.
One of the rules of thumb is population per acre. Big cities (too big for this to work) are 500+ per acre. Look for secondary counties where the numbers are more like 150/acre.
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@DirtGuy sounds like you’ve got a well-defined ceiling for the population per acre. How do you measure that? What data sources are you using to run this formula?
Do you have a floor for when the population is too low?
There are all sorts of sources for population density. Census bureau is one, for example. If density is well below 150, the market is probably too rural. But you also need to know market activity. Look in the aggregators (Redfin, Zillow) for the list to sold ratio to see how fast the properties are moving. If the market is too cold, density does not matter, it will take you too long to sell.
Thank you for taking the time to respond! I appreciate the information.
Thank you for your response, I appreciate the info!