Multifamily real estate in Columbia has been a hot commodity over the past few years, according to Brian Ellis, a realtor with The Shandon Group. Investors are looking to diversify into real estate with the instability of the stock market and lower interest rates. Developers are moving into Columbia to build multifamily housing because of low vacancy rates and high rents.

New projects are on the rise with the strongest explosion of development occurring in the northeast. "The Interstate 77 corridor has linked traffic through Columbia and has made travel easy from the southeast to the northeast," says Ellis. "The positive job market in Columbia has a direct influence on the need for increased housing."

The downtown market is mature and multifamily housing is continuing to grow. The University of South Carolina is growing with more and more students living off campus. Housing is starting to push into the Olympia area, and rumors about restoration of the old Olympia mill have increased the popularity of this area. Along Main Street and Gervais Street in downtown Columbia, apartments are being built and renovated above the businesses and stores to cater to renters who desire the excitement of uptown living. Burrows and Chapin' proposed development in the southeast could increase the desirability of local properties.

Rental rates depend on the size and location of the property. Prices can range from $300 to $600 for one-bedroom units and as much as $1200 for four-bedroom apartments. With vacancy rates in the 3 to 7 percent range, developers tend to be excited about multifamily housing.

Investors who are looking to diversify should consider the steady returns and solid investment of rental property, especially in the Columbia area.

Brian Ellis is a realtor with The Shandon Group.


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