Year-over-year, Las Vegas and San Francisco were the only two cities to post gains of over 20% in June. Atlanta, Los Angeles, Phoenix and San Diego were all up more than 19% year over year.article on usa today.
Please let me know your thoughts
Terry Bell, Realtor, Santa Rosa, CA 95405
What are you looking to accomplish with this investment? Phoenix + Atlanta will give you better immediate cash flow but the best deals right now are in the most depressed markets. Places like California are great investments - not necessarily right for everyone. It really depends on your situation and your long term goals with this investment.
How long do you expect to keep this investment?
How much do you want to spend?
What is your exit strategy for this investment?
Some things to consider:
1. unemployment rate in that metro area
2. vacancy rates
3. supply/demand of housing
4. major employers in the area (where are the jobs coming from)
1. Jobs-is there adequate jobs in the area
You are going to want to invest in an area that has a good supply of jobs so your property will be rented all the time, I would avoid areas such as Las Vegas, and many areas in Florida, they have both have a huge supply of properties available on the market, but little jobs. Vacancy rates are much higher. Overall, Los Angeles is an excellent place to purchase investment property and the rents will be much higher than all the other areas you are considering.
If you would like me to email you a list of good investment properties in the area, feel free to contact me anytime.
Have a great day,
Heather Paul, Realtor
I also like Riverside and San Bernardino County, they have similar price to rent ratios as Phoenix and Orlando.
Best of luck.
name is Angel J. Hernandez with Prudential California Realty, LIc .01320751
The reason those cities you listed shot up so much during the housing boom was partially based on investor anticipation of this trend. Unfortunately, they overpaid and got ahead of the actual trend by about 5 years. But today, any of those cities would make for great rental investing as prices have dropped by up to 70% while rents have remained stable. Seniors are now slowly making the move to those cities as their incomes allow. Some are delaying retirement in this slow economy. The key for you is to find properties with the right cash flow and return metrics. Cheap is good, but not good enough by itself.
At the peak of the market this unit was selling for approx. $190K. Email me directly if you have any questions, I don't look back on this same Trulia thread for answers posted after mine.
Rents have increased significantly in Vegas, Phoenix & many of the areas that have been hit harder by foreclosures. People who get foreclosed on & short sellers, need to live somewhere & rents have increased.
Realtor Since 1996
Main Street Realtors