In the previous articles of our blog, you got the chance to discover some of the most promising destinations in the USA that can lead to a real estate investment with good returns. In our trip we cannot fail to mention one of the destinations that can generate high rental income: we are talking about Baltimore, the most populous city in the State of Maryland, famous for its numerous neighborhoods rich in history and entertainment for all ages.
Baltimore is located a few kilometers (about 56 km) from the capital of the United States, Washington D.C. According to the latest census, its population exceeded 608,000 inhabitants and the city covers an area of about 240 km².
The name "Baltimore" appears to be inspired by Cecil Calvert, second Lord of the Irish House of Lords and founding owner of the Maryland Province. Baltimore Manor was in fact the name of the mansion where the Calvert family lived in Ireland. Baltimore seems to be an Anglicization of the Irish expression Baile an Tí Mhóir, which means "city of the big house".
Today the city combines, with a singular balance, its historicity with an attention to the needs of its young citizens, whose average age is only 35 years. In Baltimore there are in fact 65,000 buildings registered in the National Register of Historic Buildings, alternating with shops, restaurants, art and music.
The local average age, lower than the national one, is a factor of demographic growth and is attracting new companies to the city. Baltimore therefore, is increasingly a good real estate investment option for those who are reflecting on how to best invest today.
Let’s see, in 5 points, five facts about Baltimore and why it should be your next real estate investment destination.
1) A real estate market with growing numbers
From a recent survey conducted by RentCafé, rents in Baltimore have increased + 9% year-on-year. Leases are a fundamental component of the city’s real estate market: in fact, the majority of residents are renters. In Baltimore you can find excellent investment opportunities and, by relying on professionals, you can make a real estate investment with high annual net returns. All this represents good news for those who are thinking about how to best invest today.
Although average real estate prices are still affordable, as a result of Covid19 there was an increase in the average price of homes in Baltimore, which exceeded 14.5% compared to last year, a positive sign of its attractiveness.
Considering the constant development of the city and the residential attractiveness, we can say that Baltimore is a good solution in order to make a real estate investment, both to accrue good rental income and to realize interesting capital gains in medium to long term. Furthermore, as already discussed in one of our latest articles on diversification, in planning your real estate investments, owning a property in Baltimore can balance your portfolio and any market fluctuations.
2) The Port of Baltimore generates 140,000 jobs
The Port generates about 15,330 direct jobs and contributes to supporting a total of about 140,000. It is responsible for nearly $3.3 billion in wages and salaries, $2.6 billion in corporate revenue, and $395 million in state and local tax revenue annually.
The attractiveness of this economic-industrial pole is one of the engines of the constant demand for rental properties.
For the ninth consecutive year, in fact, the port ranked first in the United States for the number of cars and light trucks managed for a total of 857,890 vehicles. In total, the Port of Baltimore handles 43.6 million tons of international cargo.
In addition to the first place for cars and light trucks, the port is also the first among the US ports for the handling of heavy agricultural machinery as well as for the import of chalk.
Overall, the port is ranked 11th among the main US ports in terms of tons of goods handled and with the congestion of the West Coast ports due in particular to the restart of trade between the two shores of the Pacific, Baltimore has seen a further increase in managed containers.
