After all of the condo conversions during the housing boom there has been a deficiency in rental units. This coupled with the perceived risk currently associated with purchasing a home, and the unfortunate foreclosure rate locally; there is a market there.
Depending on the type of rental property you are looking into as well as location and other factors it may be a good investment.
Hope that this helps,
RE Market Solutions â€“ Helping Real Estate Professionals and their Clients by providing an alternative to Foreclosure.
Harold Sharpe - Broker
So Cal Homes Realty
California Department of Real Estate Broker License # 01312992
As you've seen from the other answers, the rental market here in Riverside is great. Your ROI is very good. I live and work in Riverside and I can tell you investors who want to purchase and hold for rentals are very competitive and anxious to purchase here. As with any investment you need to do your homework. As a Riverside resident, I know the neighborhoods, schools, and areas that are great for investment. Let me know if you have specific questions about Riverside.
I own several in the area myself and recommend this area highly.
I rented to a homeowner who lost their home and they were actually the best tenants I ever had. They just happened to be honest people who got into trouble with their adjustable mortgage payment.