Invest in Detroit Real Estate

Detroit Real Estate Investing

Metro Detroit home prices are at an 8 year highDetroit is the most searched real estate investment market by non-residents of the US. Why is Detroit such a popular investment destination? It’s all in the numbers. Detroit real estate investing has never been more exciting! There are many popular investment markets in across the US, which offer attractive returns. However, there is no market in the country that offers more to investors than Metro Detroit. Detroit real estate investing in 2018 can be very profitable. There are several reasons for this, specifically:

  • Metro Detroit’s housing market has skyrocketed in value since the depths of the housing crisis. Detroit investment properties capital appreciation figures are impressive and show no signs of slowing down.
  • No other market in the US offers the same “bang for your buck.” Your investment dollar goes further in Detroit, with price points significantly lower than other popular investment markets like Memphis, Atlanta, Indianapolis, or Cleveland.
  • Detroit and its surrounding suburbs offer the perfect balance between capital gains potential and high net cash returns.

Investors from around the world have invested tens of millions of dollars into Detroit’s neighborhoods over the past 7 years. This helped drive the housing market forward while lending restrictions pushed many home buyers out of the market. Gradually, as the national housing market continued its upward swing, more home buyers re-entered the market and helped home values surge. No market felt this surge more than Metro Detroit, where prices are up almost 70% from its lowest point in 2010.

The good news is that investors haven’t missed the boat. The housing market is expected to continue its climb, and working with US Investor Group's Detroit real estate investments team will ensure you get access to exclusive deals which are significantly under market value.

Resurgence of Detroit’s Economy

Since the economic downturn of the late 2000’s, Metro Detroit has experienced a total resurgence of its economy, fueled by traditional industry as well as new businesses. Metro Detroit’s economy will forever be linked to the Automotive industry, home to America’s three largest automakers: General Motors, Ford, and Chrysler. During the height of the global financial crisis, Detroit’s “Big 3” automakers were on the brink of collapse, culminating in a bailout by the US government. General Motors, the largest automaker in the world filed for bankruptcy and received federal dollars during its restructuring. Since then, the company has far exceeded the expectations of market experts, becoming one of the most profitable companies in the world. Since its low point in 2009, the company has earned over $30 billion, punctuated by a record $9.7B profit in 2015. Ford Motor Company, the country’s second largest automaker and one of the largest employers in Metro Detroit has also performed well, earning over $8.5 billion in 2015 alone. In January 2017 Ford announced it would be scrapping plans to build a billion dollar plant in Mexico, choosing instead to reinvest in its Michigan plants and keeping jobs in Metro Detroit. By shifting their focus to new product development and innovation, GM, Ford, and Chrysler have all made positive gains which will have a reverberating effect throughout the region.

While Detroit will always be linked with the manufacturing sector, the City’s economy is diversifying into other industries. The healthcare industry employs tens of thousands of Detroiters and is home to some of the largest companies in the field. Blue Cross Blue Shield of Michigan, Henry Ford Health System, and Detroit Medical Center are all based in Detroit.

"You actually have a major industry now, a huge industry, that’s come back big, big time. And that’s been a difference not only to Detroit, that’s been a difference all over the United States... If I had a way of buying a couple hundred thousand single family homes... I would load up on them. " - Warren Buffet

Detroit Investment News

March 2024

For the first time in 15 years, Detroit has achieved an investment grade credit rating from Moody’s Investors Service. After a decade-long journey of financial restructuring, this rating marks significant milestone in the city’s path to economic stability. 

According to the Moody’s report, Detroit's credit rating has been upgraded to Baa2. This investment grade status is a substantial jump from its Caa3 rating in June 2013, just one month before the city filed for the largest municipal bankruptcy in U.S. history. 

Following the unprecedented economic crisis, Detroit committed itself to fiscal discipline and structural reforms under the guidance of emergency managers and city officials. The city’s strategic planning involved multi-year budgeting and enhanced transparency…

March 2024

The Detroit City Council has recently granted approval for the groundbreaking $3 billion Henry Ford Health Hospital expansion project. Spearheaded by Henry Ford Health, the Detroit Pistons, and Michigan State University, this ambitious initiative dubbed the "Future of Health" heralds a new era of growth and opportunity for the historic New Center district and the city's economy in general. 

The comprehensive development blueprint comprises of several distinct projects: the expansion Henry Ford Hospital into a towering 21-story structure, new residential and commercial complexes, a state-of-the-art research center, a sizable patient tower, and a parking garage, all aimed at enhancing healthcare infrastructure and improving community health. 

Community engagement has…

February 2024

The iconic Detroit skyline continues to evolve. Lately, new high-rise developments have added even more charm to the historic landscape. From an economic perspective, the transformation of the Detroit skyline is a symbol of progress, especially as it coincides with the city's revitalized housing market. 

One of the most substantial recent additions to the Detroit Skyline is the Residences at Water Square, an all-glass residential tower built on the historic Joe Louis Arena Site. The recent unveiling of the stunning tower stands as a testament to Detroit's remarkable recovery since its bankruptcy in 2013. 

Developed by Sterling Group, the project was completed in just two years without any tax incentives. The speedy completion of the tower, attributed to innovative…

February 2024

JPMorgan Chase's philanthropic contributions to the Detroit area, which total more than $200 million, have catalyzed substantial economic growth in the city. Recently, they closed on a $10 million low-cost loan for Invest Detroit, further cementing their influence on Detroit's revival. 

Invest Detroit, a key player in Detroit's economic landscape, plays a pivotal role in bridging gaps in access to capital and promoting entrepreneurship. The nonprofit focuses on activating commercial corridors and supporting businesses led by people of color, and with JPMorgan Chase's latest investment, Invest Detroit aims to provide more affordable capital to fuel business growth and stimulate real estate development across the city.

The bank's longstanding partnership with Invest Detroit…

February 2024

Detroit's real estate scene is buzzing with excitement as it experiences a remarkable upturn, even surpassing the Miami market to become the fastest-appreciating housing market in the United States. Recent reports from CoreLogic reveal an impressive 8.7% surge in Detroit home prices compared to last year. 

According to a recent report from Redfin, the median sale price for Detroit homes is $80,000, which marks a 1.5% decrease from last year. The same report also indicates that Detroit homes are selling significantly faster. On average, Detroit homes spend 38 days on the market, as compared to 51 days last year. The high demand for real estate, coupled with affordable home prices and a vibrant rental market, makes Detroit an attractive destination for investors looking to purchase…

January 2024

In a significant stride towards solidifying its status as a global leader in advanced manufacturing and clean energy, Detroit is gearing up to host the U.S. Advanced Manufacturing Center at 601 Piquette Avenue. This groundbreaking project, announced by Governor Gretchen Whitmer, marks a pivotal moment for the city's economic future.

The state is partnering with Fortescue, an international provider of zero emission resources for renewable energy production, to facilitate this strategic move. Fortescue has made an initial investment of $35 million to refurbish the existing facility and develop it into a hub for the production of automotive and heavy industry batteries, hydrogen generators, fast chargers, and electrolyzers. 

The Piquette Avenue facility is poised to generate…