I'm looking at picking up a property in Southern Oregon. Currently looking at Medford, Grants Pass, Reedsport and Klamath Falls.
Medford seems to be pretty weak on cashflow, where Klamath and Reedsport have some good opportunities.
What do you think are the best markets down here?
I live in Medford and have a few rentals here, but have only been buying in outlying areas the last few years. I've had good luck in Klamath, Jackson, Josephine, and Douglas counties so far. I think that long term all these areas will do well, but year to year, who knows? If you have a lot of money, Medford is a pretty safe bet, which is why the returns are lower. If you don't have a lot of money, (my situation), I'd recommend picking up value add deals within an hour or two drive, that will cash flow well after being rehabbed. You'll have to spend a lot of weekends working to revamp them, but there is a lot of demand once completed. My Wife and I got pretty good deals in areas we were not real familiar with, and worried that we might have a difficult time renting them out. Every time (crossing my fingers), we have been surprised by the strong demand and large number of applicants. Southern Oregon is a nice place to live, and will likely continue growing over time. I've yet to get a property on the southern Oregon coast, but suspect that over the next decade or two, they will do very well. None of my opinions are based on rigorous analysis, or statistics, but on my personal experience, which is very limited. So take all this with a grain of salt. Good luck out there!
We've just purchased a couple of rentals in Oregon near the coast. I'm following this thread in case there are updates. @tylerdessandro, did you buy anything? How did it go?
Im also looking in the same area, following.
I have my eye on a multi-family on the west side of Medford - just off West Main west of the Mynah bird. I hear the area there can get pretty rough. The property has 6 single bedroom units with electric heat individually metered. What can I expect in terms of renters in that area? Any thoughts/insights from local folks would be much appreciated.
@Darius Ogloza , some easy research is to 1) drive the area late at night, weekday mornings, and on Fridays after work. See who lives there. Who's walking around? People with dogs or kids, or people that look like they're up to no good? Do the cars look beat up with taped up windows? Do they have to pop the hood to start the car?
2) Look up the crime log for the area. I use SpotCrime to see exactly what arrests have been made. It works nationwide.
What you hear is correct and will be the first thing that renters think about as well. However, if you are looking at the property that I suspect you are (it has a twin), it is far enough removed from the problem areas to be considered better and safer. With the demand for housing in the area you should have no issue keeping it rented.
On a side note, the days on market should tell you a little something about how it is priced...