Fort Lauderdale top college town for rental properties

The smart money is on Fort Lauderdale for investors in rental properties looking for stable returns in college towns, which are becoming increasingly desirable investment opportunities. 

The city, which is home to Broward College — among other institutions of higher education — boasts an annual gross rental yield of 8.79 percent and an unemployment rate below the national average at 5.7 percent, according to a report released Tuesday by RealtyTrac.

Gainesville ranked third in RealtyTrac’s “Top 10 College Towns for Buying Rental Properties” list with an annual gross rental yield — calculated by dividing the annualized rental income by the average of the city’s median home sales price — of 11.34 percent.

Investors looking outside the Florida area would be wise to look to Akron, Ohio, which leads the list with a whopping 13.81 percent annual gross rental yield, followed closely by Trenton, N.J. with a 13.20 percent yield. — Heather Grossmann