Vallejo or Richmond?

Question

Does anyone have experience investing in either of these areas? I'd love to chat with you.

Jay Hinrichs · Answer

I think I have been touting Richmond for a few years now.  And I m buying lots for future new builds

Armando Reyes-Antonio Castillo · Answer

Richmond definitely has more equity to build up in short - mid term. More people across the peninsula and south bay are making the move up Richmond (and even now prices are going up in Richmond). So now would be an excellent time to get in. Also, Oakland is attempting to draw more Tech companies to its city, which will certainly increase the property, there.

Vallejo does have some growth going on. Mainly due to the fact that it is the only place in the bay area that is somewhat affordable. Vallejo still has quite a ways to go before it develops into a more prosperous city. There are still a lot of problems in Vallejo concerning crime. I see Vallejo as a longer term investment.

Tony Barrera · Answer

Glen Cove, Columbus Parkway, Redwood Parkway, all those area have nice neighborhood with bigger (+2,000sqft) homes. Glen Cove boarders up with Benicia.

Ori Skloot · Answer

I own SFD and MFD in Richmond.  Like @Jay Hinrichs I've been saying for years that Richmond is a great play.  One of the last affordable Bay Area Cities that has a Bart station.  And as @Steve Hodgdon mentioned, now there is a Richmond ferry and a building department that wants to see more housing development.  On the downside, the city has way to many city programs that landlords pay for: rent board, housing inspection program, business license, fire and safety program, to name the ones I can think of off the top of my head.  So when running your numbers make sure that you include the cost of all those things because they really add up.

I know Jay is grabbing up land to develop in Richmond (have you started building on any of those lots Jay?), but there are also good small multi-family deals to be found on the MLS.  Yes, there is city rent control in Richmond.  There is a domino effect of all these Bay Area cities implementing rent control, I imagine that Vallejo will be up next.  So, my vote for what it's worth is to buy in Richmond.

Kevin Crawford · Answer

I've been looking into Richmond and Vallejo for a while now.  Correct me if I'm wrong but doesn't Richmond have rent control for multifamily properties.  At the locked in rents I'm seeing they would not cashflow if I was to purchase them.    I thought there would be little chance of finding an empty multi that I could start out with good cash flow.

I've already found a couple properties in Vallejo that could cashflow so I have more hope for finding something there.

Thoughts?

Tony Barrera · Answer

@Maurice Smith oh very nice, you’re gonna do great on it

Frank Wong · Answer

Hi Dan,

I would go with Richmond.  It's a higher demand area than Vallejo and the close proximity to SF will have a higher chance of growth in the long term.  It is also closer to you which will allow you to keep an eye on it easier.

Brian Garlington · Answer

Richmond gives mre access to better transportation alternatives and properties overall will end up being valued higher there then Vallejo. More multifamily opprtunities in Richmond also.

Vallejo will be lower barrier to entry....and if you don't mind paying tolls everyday going to work in the Bay Area and/or the traffic......

Hmmm....

Gary Tsang · Answer

Any recommendations for property managers in Vallejo?  Thanks in advance!

Vallejo or Richmond?

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