Just an honest opinion. Before I forget there were 2 shootings resulting in death in a 4 day period.
Since your question relates to the FUTURE, then before you go any further you need to consult with a mortgage broker about the posture of lenders today. For example, if you are planning to obtain an owner-occupied loan, especially an FHA loan, you need to understand the guidelines as to how long you should live in the property before renting it out and how many properties you can have owner occupied loans on. Rules are tighter today and unless you become really familiar with them your idea could backfire on you.
Now I will assume you have already had that discussion with your lender. In addition to being a long-time real estate broker, I am also a long-time landlord. In considering the purchase of an investment property I suggest to my clients that they ask themselves this question: "What would make me want to live there if I were a tenant?" I also suggest you drive the particular neighborhood in the early morning, then again about dinner time, then again about 10:00 p.m. as that will enlighten you as to parking conditions, loiterers, street lighting, etc.
With real estate prices so low and there being rebates for first time buyers, I am seeing a softening in the rental market. There are more rentals sitting on the market longer and the rental rates have dropped significantly. We used to get $1,200 for a 2 bedroom apartment that is now renting for $950 per month. Craigslist is a good place to do some research by watching listings in your intended area and see what other landlords are asking, what amenitites they offer and how long you see the ad on Craigslist. Generally, a landlord will keep an ad posted until he/she rents the property. Bear in mind, what rents are today may not be what you can expect to get in the future. If they are a couple hundred dollars or more lower can you really afford that? Digging into your pocket to cover negative cash flow may lead to financial disaster. Be careful, Chris. Your idea is good, but your plan needs to be sound and well researched.
Joanne L. Gardiner, Broker, e-PRO RealtorÂ®
CA Brokers License #00822285
"You may never know what results come from your action. But if you do nothing, there will be no result." â€“ Mahatma Gandhi
I have a client that just bought a house in that neighborhood. He is also an investor who wants to rent the house and I told him it would rent between $1400-$1500 p/m. I am glad the other agents below also said the same thing.
As far as safe area, it appears to be a safe neighborhood. I have sold a house on 5th st and in that process I used to go there all the time. It seemed quite a decent neighborhood to me. However, I believe that if you are concerned about safety, you should check with the police department.
Help-U-Sell Achievers Realty
40083 Mission blvd
Fremont, Ca. 94539
Rent will depend on the condition and amenities of the house, but $1,300-$1,500 seems about right.
If this will be your first experience as a landlord, you might want to seek the help of a professional property manager.
Is the "Decoto" area a safe location? You should check with the Union City Police Dept. for there answer.
Is it easy to rent out a home in that area? Yes, unless you are asking to much.
2 bedrm home should rent for approx. $1,300 - 1,500 depending on upgrades, size and condition.
Hope this helps,
Brian Ripp, CRS, GRI
Broker, Notary, Property Management
Check my web site: http://www.BrianRipp.com
Real Estate Market Weekly Update Webcast: http://realtytimes.com/REUv/BrianRipp
Realtor since 1985
DRE Lic. 00886348