Cash on Cash Return >1% in Bay Area

2 Replies

Hi all,

I'm having a hard time finding rental properties that show cash on cash return greater than 1% with less than 25% down payment in the Bay Area (Dublin, Hayward, SJ, Gilroy, etc.). I would be lucky to find anything even 2%. Anyone from the Bay Area is seeing the same trend as me? I am only looking to invest in rental properties within this area, as I am more familiar with the location and is within travel distance.

Curious to hear what others have seen, and thoughts in investing rental properties in the Bay Area that shows positive cash flow.

Thanks!

Victor

@Victor Tran plenty of ways to cash flow in the Bay Area, but it takes a bit of work. Add value. Convert a garage to an ADU. Add a bedroom somewhere. Find a property mis-marketed. Do something outside of the box.

You won’t cash flow here on Day 1. But with the excellent rent growth we have, it’s almost hard not to... eventually. 

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