San Jose, CA · Member since 2021 · 1 post · 4 votes
Hello, I'm a first time real estate investor. My husband and I own a house in San Jose and would like to buy an investment home. San Jose is way out of our price range. We are thinking around 400k max. Hoping for hold and sell in maybe 10+ years.
does anyone have suggestions of where in bay area or near Sacramento is good for renting? We are open to anything, just hoping to make money after appreciation. At least semi remodeled
Real Estate Agent · Sacramento, CA · Member since 2015 · 394 posts · 259 votes
5y
Hey Tracy!! Sacramento has a number of areas that can provide some cash flow , especially compared to the Bay Area property values Sac provides a lower barrier to entry. Some areas I always suggest are West Sac, Natomas, Elk Grove, Meadowview, Rancho Cordova, and Arden-Arcade. Non-Owner occupied rentals with 25% down can easily provide an investor with a decent cash flow in an appreciating market!
Real Estate Agent · Sacramento, CA · Member since 2015 · 394 posts · 259 votes
5y
Hey Tracy!! Sacramento has a number of areas that can provide some cash flow , especially compared to the Bay Area property values Sac provides a lower barrier to entry. Some areas I always suggest are West Sac, Natomas, Elk Grove, Meadowview, Rancho Cordova, and Arden-Arcade. Non-Owner occupied rentals with 25% down can easily provide an investor with a decent cash flow in an appreciating market!
Property Manager · California Washington North Carolina South Carolina, Georgia and Alabama · Member since 2020 · 71 posts · 27 votes
5y
Hello Tracy,
I do agree with the referenced locations that DJ Dawson has provided. As a property manager in the area I think you would do well to invest in any of these markets. I can provide you general rental market data for a neighborhood or development that you are interested in make an acquisition. Please feel free to message me to connect.
Property Manager · Bay Area-Greater Sacramento · Member since 2021 · 94 posts · 51 votes
5y
@Tracy Lau Elk Grove is an extremely hot market. Our properties within that area are receiving a flood of applications within 24 hours, and typically are renting for above the median expected rent. If you can manage to find a deal there, maybe a place that is listed for a lower price that needs a little TLC, you could potentially make out well when it is fixed up and ready to rent.
Investor · Oakland, CA · Member since 2019 · 57 posts · 41 votes
5y
Very hard to find somethin that will cash flow in the Bay Area. There are a few areas in Sacramento that can work. Have you guys looked into building an ADU?
Realtor · Lodi, CA · Member since 2019 · 33 posts · 23 votes
5y
@Tracy Lau we just helped an investor from the Bay Area get under contract on a duplex in Stockton, cash flow is over $350/month on 500k property (25% down) with current tenants and rental amounts. There is room to increase rents and fix up units a little to increase cash flow, and it's in a safe/good neighborhood.
We were initially looking at the 400k range for single family homes in Stockton, but duplex was a better deal than the SFHs we were analyzing.
Investor · San Jose, CA · Member since 2018 · 313 posts · 230 votes
5y
@Hobie Day - Interested to hear more about this purchase. Was this on the MLS? Or was this arranged off-market? Also, are you using BP Calculator to analyze the property? Or a custom calculator with the Greene Team?