Investing in Natomas area?

Question

What are your thoughts of investing in rental properties in the Natomas area? I feel like Natomas might become what Elk Grove has been in the last 10-15 year, blooming like crazy. Can anyone tell me their experiences in investing here? What's the cash flow like?

Ronil Dwarka · Answer

Note, Natomas is only 10 mins to downtown, & 10 mins to Airport - great location. If you are in South Natomas (95833), then you are more closer to downtown. Yes, flood is about $480 /yr or $40 monthly but again, a lot of folks have been investing in 95833/95834/95835. There are subdivisions with NO HOA (example Regency Park).

Karla Simmons · Answer

@Paul Saechao

We are buying a home in Natomas with only a $62/month HOA. We would pay that for a gardener anyway, so that’s no big deal. Flood insurance about $40/month - no big deal there either. Mello Roos is about $300 per YEAR, not month. For us, good investment. Neighborhood tidy and clean partly because of HOA.

Jean Marx · Answer

Hi Paul - A couple things came to mind when I read your post. The first is that a number of Natomas properties require flood insurance, so you'll definitely want to verify and consider that if you find a property your interested in. Here's a link to some Natomas flood information on the City of Sacramento website that might be helpful. It includes some numbers you can call. Secondly, Elk Grove has a sought after school district that draws a lot of families to the area. I work with a number of people that live in both areas. It's a small sampling, but the people I know generally chose Natomas for airport proximity/short commute and Elk Grove for the schools. Good luck with your investing!!

-Jean

CaDRE#02101116

-Jean

CaDRE#02101116

Suneet Goraya · Answer

Does any one know anything about natomas crossing specifically?

Paul Saechao · Answer

@Khang Tran Wow - that'll definitely eat up all cash flow. Thanks for the example.

Khang Tran · Answer

Here is an example of costs on a brand new construction in Natomas

Purchase price: $450,000Mello Roos ~ $300/moHoa ~ $120/moFlood Insurance ~ $40/mo

Paul Saechao · Answer

Good point - I can imagine flood insurance being really expensive, especially for an investment property.

Derek Jones · Answer

Would it be worth it? After flood insurance, Mello roos, possible HOA?

Investing in Natomas area?

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