What are some good areas to invest in the Bay Area? Looking for homes under 200k.

Asked by Luke, San Francisco, CA Mon Jan 24, 2011

I have about 100k to go towards an investment property in the Bay Area. I live in S.F. and will consider anything in the radius as far north as Stockton, south as San Jose and East as Tracy.

The only problem is I don't know if what I am looking for exists. Ideally I am looking for a home in the 100k-150k range and be able to rent it out for about $1,000 a month Is this Realistic anywhere in the Bay Area? I always hear friends talk about their friend's friends that have bought these homes in the surronding Bay Area
(City names I've heard are: Sacramento, Stockton, San Leandro, San Raphael, Tracy...etc) but I can
never seem to find any of these homes myself. I do have a lot more questions but I figured this is a good starting point to get the conversation going.

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Answers

7
Ken J. Gende…, Agent, San Francisco, CA
Sun Feb 13, 2011
Luke,

There are a few areas in the East Bay that will absolutely meet your investment objective. I'm currently working with several investors that have similar needs to yours.

I can introduce you to a turn key property search and management program that generates pro forma ROI between 20% to 30%. In most cases your required down payment is 5%, thus leaving you in a position to purchase several investment properties.

I'm currently closing on a single family home that has a 38% pro forma return. If you would like I could email you prospectus's on investment opportunities I currently have in the portfolio.

Feel free to reach out with any questions.

Regards,
Ken
Web Reference:  http://www.gendemann.com
0 votes
Sylvia Barry,…, Agent, Marin, CA
Sat Feb 12, 2011
I am in the north bay area = you might want to look at Santa Rosa or Vallejo, there are a few places where you might find that.

Sylvia
0 votes
Jose Cerda-Z…, Agent, Alameda, CA
Fri Feb 11, 2011
Luke, it sounds like we should sit and have a consultation. What you are looking for definitely exists. We just have to get you into the properties to see exactly what you can and cannot buy. Call me directly at 510.523.5673 with any thoughts or questions.

I will talk to you soon.
Web Reference:  http://www.CerdaZein.com
0 votes
Gregory Karr, , San Francisco, CA
Mon Jan 24, 2011
Yes, there are single family homes priced under $200,000 in the Bay Area for sale. For example, I just ran a search in the Concord area that showed 46 single family homes for sale priced under $200,000. Condos are another choice to consider. There were 141 condos in the Concord area for sale under $200,000. When you look in this price range, it is likely you will have to spend money up-front for repairs to get the home into rentable condition. Single family homes requiring more repairs than condos. A single family home in this area will rent for about $1,250 to $1,500 depending on the exact location and its condition with condos running about $250 to $450 less per month. If you would like to meet and consult about how to proceed, please reply. I own and manage rental property, enjoy working with investors, and think your timing is good. One more thing, if I may, many of your choices will be short sales or foreclosed properties and they don't sell a quickly as a normal sale, so you have to prepare yourself. Also with foreclosure you will not receive many of the disclosures that normally come with regular sales and you have to be prepared to spend money up front to find out about the condition of the property. It's takes a determined person to get a good investment property in your price range.
0 votes
Andrew Mcnau…, , San Francisco, CA
Mon Jan 24, 2011
Luke,
In my experience you want to be within 40min or less drive of your rental property for convenience when looking for tenants and if a problem were to arise. I have spent considerable time researching the market that you are looking into and settled on parts of Hayward for various reasons. With one recent rental we closed escrow on a short sale for $154,000 for a 3 bed, 1.5 bath townhouse. Rented it within 14 days and have had a fantastic renter there ever since paying $1500 per month. Feel free to contact me direct to discuss your opportunities.

Sincerely,

Andrew McNaughton
Realtor
Herth Real Estate
San Francisco, CA 94114
415-235-0003
Web Reference:  http://www.herth.com
0 votes
Jordan Johns…, , California
Mon Jan 24, 2011
The Antioch area is perfect for an investment like you are looking for. There are great forecloser and shortsale deals.I have a listing for 163,500 that is a modern 3 bedroom 2 bath immaculate one story home in a good area that would rent for between 1500 and 1600 a month for an example. I would love to find a great investment for you.
Jordan Johnson
Keller Williams Realty-Antioch
925-318-8738
DRE# 01825321
jordanjohnson@kw.com
0 votes
Joshua Lawre…, Agent, San Francisco, CA
Mon Jan 24, 2011
There is a great condo building on Harrison Street in San Francisco that is called Cubix. Cubix has studios starting at $229,000, and the rents would most likely surpass your $1000 a month goal. There are more opportunities like this, and it would be my pleasure to show you some.

Joshua Lawrence
Climb Real Estate Group
joshua@climbsf.com
(415) 971-0454
0 votes
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