What Are the Best Neighborhoods in Kansas for Rental Properties?
Some of the best neighborhoods in Kansas for rental properties include Overland Park, Lawrence, Manhattan, and Wichita. These cities have major universities nearby, drawing in students looking to rent. They also have vibrant downtown areas and growing job markets, attracting young professionals. The housing stock in these neighborhoods includes single-family homes, duplexes, apartments, and condos, providing options for different rental investments. Proximity to amenities like shopping, dining, and parks also make these attractive places to rent.
What Are the Average Rental Prices in the Best Neighborhoods for Rental Properties in Kansas?
Rental prices in the top Kansas neighborhoods for rentals range on average from around $800 per month for a 1-bedroom apartment to $1,500 or more for a 3-bedroom single-family home. For example, in Lawrence around the University of Kansas, average rents are about $850 for a 1-bedroom, $1,100 for a 2-bedroom, and $1,400 for a 3-bedroom unit. Rental prices are similar in Wichita and Manhattan. The higher end rents for single-family homes in places like Overland Park average around $1,500-$1,800 per month.
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Which Neighborhoods in Kansas Have the Highest Rental Prices?
Some of the Kansas neighborhoods commanding the highest rental prices include Plaza West in Overland Park, Downtown Lawrence, Aggieville in Manhattan, and Bradley Fair in Wichita. For example, rents for a 2-bedroom apartment in the Plaza West area of Overland Park average around $1,600 per month. These areas are near major attractions and employment hubs yet have limited housing inventory, driving up prices.
What Factors Contribute to the High Rental Prices in Some Kansas Neighborhoods?
Low vacancy rates, high demand from students and young professionals, proximity to attractions, limited housing inventory, and rising property values all contribute to the expensive rental prices in areas like Overland Park, Lawrence, and Manhattan. These cities have growing populations and popularity but can’t build new housing quickly enough to meet demand. Also, property values have appreciated rapidly, leading landlords to charge more in rent to cover their investment costs.
How Have Rental Prices in Kansas Changed Over the Past Decade?
Rental prices across Kansas have increased over the past decade. From 2011 to 2021, average rents in Kansas rose by around 25-30%, significantly outpacing national inflation. Rents have climbed fastest in Kansas’s university towns and suburbs near Kansas City as demand has boomed. Vacancy rates have plummeted to record lows in many communities. Wichita’s rents rose 29% in the decade while Overland Park’s jumped 36%. However, rent growth has slowed slightly in 2022 as rising interest rates have cooled the housing market.
What Is the Highest and Lowest Rental Price for a Single-Family Home in Kansas?
Currently the highest rental price for a single-family home in Kansas is around $5,000 per month in the upscale Plaza area of Kansas City. The lowest rental price for a small single-family home or mobile home in rural communities can dip as low as $500 or $600 per month. Average rental prices for nice 3-4 bedroom homes are between $1,500 and $2,500 per month in most metro Kansas markets.
Conclusion
Rental demand is strong across Kansas, especially in its college towns and suburbs. Investors should focus on neighborhoods near major universities and employment centers. While rents have risen rapidly in the past decade, price growth has moderated recently, giving investors a potential window to buy before the market heats up again. Considering local market conditions carefully is key to maximizing returns on a Kansas rental property.