Rental Property Investor · Bend, OR · Member since 2018 · 5 posts · 6 votes
Hello All,
I have interest in Bend, Oregon and the surrounding area. I would love to begin networking with people active/familiar with the area.
Are you able to find long term rental properties that cash flow in Bend these days or are short term rentals a better route? From what I’ve seen, if one wants a long term rental, Redmond and Prineville would be a better bet. Any first hand experience out there?
Excited to get involved with the Bigger Pockets community!
Best,
Karl
Investor · Chicago, IL · Member since 2009 · 1k+ posts · 1k+ votes
7y
Redmond is cheaper. Bend is a good place to purchase for many reasons, including restrictions on growth of the housing stock in the area. And very popular place to live.
This investment will most likely be a low cap rate, pricey investment. However, in the long run, it will be good. I'll be you will have to break even for awhile...
Investor · Chicago, IL · Member since 2009 · 1k+ posts · 1k+ votes
7y
Redmond is cheaper. Bend is a good place to purchase for many reasons, including restrictions on growth of the housing stock in the area. And very popular place to live.
This investment will most likely be a low cap rate, pricey investment. However, in the long run, it will be good. I'll be you will have to break even for awhile...
Investor · Bend, OR · Member since 2015 · 83 posts · 51 votes
7y
Welcome to Bigger Pockets Karl! It's going to be difficult to find a cash flowing rental in Bend right now, so buying in Bend is really a bet on appreciation. Like Brian mentioned, the restrictions on growth in Bend make it a pretty good bet, but nothings guaranteed.
If youd like to network with active investors from around Bend, you should come to our local Bigger pockets networking event! Its at 5pm on the first Thursday of each month at Level 2 in the Old Mill. You can sign up for email reminders here: http://eepurl.com/dCUw3v
Rental Property Investor · Bend, OR · Member since 2018 · 5 posts · 6 votes
7y
Thanks for the responses Grayson and Brian.
I would love to join for one of the meet ups. My family and I will be up there right around New Years so it should line up perfectly with January’s meet up.
Realtor, General Contractor, and Developer · Redding, CA · Member since 2009 · 7k+ posts · 4k+ votes
7y
For more affordable pricing as mentioned above you can try Redmond and Prineville. Others like Sunriver, Three Rivers, and La Pine. There's a mix of long term and short term. However; a little more snow from what I understand.
Registered Representative · Bend, OR · Member since 2018 · 91 posts · 38 votes
7y
I don't want to be the negative person here, however Bend has historically cycled fiercely and we are back up at the way too high price range. It is very expensive, long term gain is a complete gamble. There is really no job base or student base to support the high rents. It's more rentals are for people to live in temporarily while they build or search for their house to buy. No long term renters in Bend can afford the rental prices.
I think there are better markets for investments personally. Look at historical prices from 2006, 2012 and now and decide for your self what you think may happen but keep in mind you will be gambling. There is absolutely no guarantee that these increases will be sustainable, Bend is just the 'hip' place again.
I own a duplex in Bend, house hacked it and it has worked well for me...but @karent is is right, it's a boom or bust town. Duplexes in my neighborhood are selling for $415-$435,000 and rent for $1,100-$1,200, including water/sewer (Bend does not allow 2 meters on 1 tax lot) Demand has been strong. Property taxes $3,611...run through the numbers and you will see it's all an appreciation play...since you will only cover monthly expenses with a lot down...
With respect to appreciation...at these numbers I am thinking more about selling then buying...other house we bought for office/rental up 15% per year in two years since we bought it...feels great, but makes me nervous...
If you are interested in short term rentals be sure to check with the City, as they are only allowed if more than 250 feet from another short term rental, so westside, near the river are locked out...
That said, if you do decide to invest here pick areas carefully. They are massively replicating my Eastside duplex with new construction, so that will keep prices in check. Other house is in mid-town, newly 'hot' area, so I see more opportunity for growth there...but I may be wrong...recession saw many houses here drop 50% or more, especially on the high end...
Lastly, if you want to build be sure to check the SDC's for water, sewer, parks, traffic etc. They are contributing to our housing affordability crisis because they are so high...