What Are the Best Neighborhoods in Kentucky for Rental Properties?
Some of the best neighborhoods in Kentucky for rental properties include Lexington, Louisville, Bowling Green, Owensboro, and Covington. These cities have major universities and job centers that drive demand for rentals. Popular neighborhoods include Chevy Chase and Highlands in Lexington, Old Louisville and Germantown in Louisville, and Downtown Covington.
What Are the Average Rental Prices in the Best Neighborhoods for Rental Properties in Kentucky?
Rental prices vary across Kentucky, but in the top neighborhoods they tend to range from $800 – $1500 per month for a 2-3 bedroom single family home. For example, in Chevy Chase in Lexington, average rents are around $1200/month. In Old Louisville in Louisville, rents average $900-$1300/month.
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Which Neighborhoods in Kentucky Have the Highest Rental Prices?
The neighborhoods with the highest rental prices in Kentucky are found in Lexington and Louisville. Specific neighborhoods include Chevy Chase and Hamburg in Lexington, with average rents of $1400-$1600 for a single family home. In Louisville, Old Louisville and the Highlands have the most expensive rents, averaging $1300-$1500 per month.
What Factors Contribute to the High Rental Prices in Some Kentucky Neighborhoods?
Several factors drive up rental prices in Lexington, Louisville and other top neighborhoods in Kentucky. These include proximity to major employment centers, desirability of the neighborhood, availability of amenities like shops and restaurants, housing stock that appeals to renters, and high demand from the student population at local universities. Limited vacancies also allow landlords to charge higher rents.
How Have Rental Prices in Kentucky Changed Over the Past Decade?
Over the past decade, rental prices in Kentucky have increased significantly. From 2010 to 2020, rents in Louisville rose over 25% to an average of $900/month for an apartment. In Lexington, rents increased nearly 30% over the decade. Factors like rising home prices that have priced some buyers out of the market, as well as population and job growth, have driven increases in rental demand and prices.
What Is the Highest and Lowest Rental Price for a Single-Family Home in Kentucky?
Currently, the highest rental price for a single family home in Kentucky is around $2,500/month in Louisville’s Cherokee Triangle neighborhood. The lowest prices are found in rural areas, where single family rental homes can rent for as low as $500-600 per month. In cities, the lowest rents are generally $700-800 per month in older or less desirable neighborhoods.
Key neighborhoods in Lexington, Louisville, Bowling Green and Northern Kentucky provide the best opportunities for rental real estate investment in Kentucky. Rental demand is high, especially around universities and major employers. While rental prices have risen significantly in the past decade, properties in top neighborhoods can still generate good cash flow.