Inland Empire good or bad for investing?

Inland Empire good or bad for investing?

West Covina, CA · Member since 2019 · 12 posts · 0 votes

Hello there,

For those who have invested in the IE area, is it a good area to invest in? based on your experiences. 

I'm new to real estate investing. I'm looking to do BRRRR or rental properties (single home family) to diversify my income.

Any comments and suggestions would be greatly appreciated. 

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Steve RozenbergPro Member
Specialist · Houston, TX · Member since 2015 · 1k+ posts · 1k+ votes
7y

I think we all have ( Or I have ) the challenge of convincing myself why the numbers or deals make sense or do not make sense to buy in an area.. I would suggest creating the end goal and working it backwards. Just like owning a stock you buy or sell based on your goal and based on what the investment is doing financially. Sometimes it makes sense to go out of area, out of state or out of country based on your goals and based on the returns you are looking for. I know in Houston 50-60 % of the people that use my company to manage do not live in Texas or in the country. Buy based on the goals and strategy do not focus on where they are located... just like we do when buying or selling stocks

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  • Lender · Huntington Beach · Member since 2008 · 120 posts · 57 votes
    7y

    It is actually easier to invest in the "Inland Empire" because the properties cash flow as opposed to other local areas. As a lender it is hard to put investors in properties in LA, Orange or San Diego counties as the  investment properties have so little cash flow.  If you go off to Texas, Kansas or somewhere like that, it becomes even easier to invest and get a good return on your money. 

  • Rental Property Investor · San Diego, CA · Member since 2013 · 3k+ posts · 4k+ votes
    7y
    Originally posted by @Mike Chu:

    Hello there,

    For those who have invested in the IE area, is it a good area to invest in? based on your experiences. 

    I'm new to real estate investing. I'm looking to do BRRRR or rental properties (single home family) to diversify my income.

    Any comments and suggestions would be greatly appreciated. 

     I'd say "no" only as someone that lives in downtown San Diego and has friends that moved up there to get cheap housing.  It seems to be where people go to die.  It's depressing.  So far.   I'd rather invest in dense hip urban areas even if they're OoS.  That's why I invest in Houston vs. BFE areas of So Cal which would be closer to me.   I just think when you invest in BFE you have too much risk as there is unlimited land far away.  Where as if you invest in/near a city core you're in the middle of the action and where most young people want to be. 

  • Steve RozenbergPro Member
    Specialist · Houston, TX · Member since 2015 · 1k+ posts · 1k+ votes
    7y

    I think we all have ( Or I have ) the challenge of convincing myself why the numbers or deals make sense or do not make sense to buy in an area.. I would suggest creating the end goal and working it backwards. Just like owning a stock you buy or sell based on your goal and based on what the investment is doing financially. Sometimes it makes sense to go out of area, out of state or out of country based on your goals and based on the returns you are looking for. I know in Houston 50-60 % of the people that use my company to manage do not live in Texas or in the country. Buy based on the goals and strategy do not focus on where they are located... just like we do when buying or selling stocks

  • Rental Property Investor · Los Angeles, CA · Member since 2013 · 1k+ posts · 1k+ votes
    7y

    @Cody L. how did you start building your portfolio in the early stages of your investing? Thanks.

  • Loan Officer / Processor / Life & Health Agent · Rancho Cucamonga, CA · Member since 2014 · 1k+ posts · 757 votes
    7y
    Originally posted by @Mike Chu:

    Hello there,

    For those who have invested in the IE area, is it a good area to invest in? based on your experiences. 

    I'm new to real estate investing. I'm looking to do BRRRR or rental properties (single home family) to diversify my income.

    Any comments and suggestions would be greatly appreciated. 

     Cities like Rancho Cucamonga, North Fontana, Parts of Ontario and certain areas of Rialto offer great returns.  

  • West Covina, CA · Member since 2019 · 12 posts · 0 votes
    7y

    @Rich Littlefield @Cody L. @Steve Rozenberg thank you for the great suggestions! I appreciate it 

  • West Covina, CA · Member since 2019 · 12 posts · 0 votes
    7y

    @Shaun Weekes I was actually looking at Ontario since the houses are a little cheaper in my area (West covina/ Walnut). Do you currently have any properties yourself out in Ontario?

  • Loan Officer / Processor / Life & Health Agent · Rancho Cucamonga, CA · Member since 2014 · 1k+ posts · 757 votes
    7y
    Originally posted by @Mike Chu:

    @Shaun Weekes I was actually looking at Ontario since the houses are a little cheaper in my area (West covina/ Walnut). Do you currently have any properties yourself out in Ontario?

     My properties are out of state and until I reach 5K in monthly income after expenses is when I'll be able to afford CA based on my needs.  But I live in Rancho Cucamonga so I know the area well.  Just be careful where in Ontario you invest.  It's not far from W. Cov so do a drive by in between 3PM and 6PM so you can get a feel for the area.  If you can afford Rancho I would do that because the school system in this city is really good.  My daughters school is a 9 out 10 and many others in the area are strong.  Typically above foothill is an ideal school district but there's always exceptions.

  • CPA · Pasadena, CA · Member since 2015 · 170 posts · 46 votes
    7y

    @Mike Chu I’ve invested in Apple Valley with some success. Class C for sure, but that’s the only way to cashflow in CA

  • Rental Property Investor · San Diego, CA · Member since 2013 · 3k+ posts · 4k+ votes
    7y
    Originally posted by @Brian G.:

    @Cody L. how did you start building your portfolio in the early stages of your investing? Thanks.

     No different than anyone else.  Found a property that cash flowed, bought it.  Added some value, sold it. Used the profits to buy a larger one.  Rinse/wash/repeat.  Took about 10 years (which went by fast, damn) to get to 1000 units.

  • Rental Property Investor · Orange County, CA · Member since 2019 · 151 posts · 92 votes
    7y

    @Mike Chu Corona was the place to get in 08-10 .. market is faring similar to OC/LA by many stretches now .. Eastvale (Mira Loma/North Corona combo) has built up REALLY fast (200k around 2011, now same homes are in the 500-700 range) they have an Amazon hub and are presently expending the 15 .. this is the next boom in the IE, yet, may have reached a current peak until the next wave happens (looks very likely) .. Riverside, eh, possibly, Moreno Valley, maybe ..

  • Rental Property Investor · AZ · Member since 2013 · 213 posts · 50 votes
    7y

    I second @Andre' Arceneaux on the Mira Loma/north Corona area. I lived there almost 10 years (in the 80s) and used to ride my horse on the dirt road of what is now the 15 freeway! That whole area continues to expand.

  • West Covina, CA · Member since 2019 · 12 posts · 0 votes
    7y

    @Andre' Arceneaux' I was actually looking around Corona as well! What do you think about rowland heights, diamond bar, walnut, and etc? The houses in those area are pretty pricey. 

  • West Covina, CA · Member since 2019 · 12 posts · 0 votes
    7y

    @Account Closed thank you for the confirmation! Do you currently have any properties out here still?

  • Rental Property Investor · AZ · Member since 2013 · 213 posts · 50 votes
    7y

    @Mike Chu No, I don't have properties in CA anymore.  I have lived in Wyoming for 20 years now and have properties here and in Colorado.  I used to live in San Dimas and La Verne also, I am sure you have looked there already as they are your neighbors?

  • Investor · Riverside, CA · Member since 2016 · 129 posts · 67 votes
    7y

    That’s ok. If you don’t like the Inland Empire market, by all means, please stay away and let us local investors continue to make money!!

  • Rental Property Investor · AZ · Member since 2013 · 213 posts · 50 votes
    7y

    @Rob Moran  I love the IE and miss living there very much! Can't wait to leave Wyoming and move to Arizona next year actually!

  • Rental Property Investor · Orange County, CA · Member since 2019 · 151 posts · 92 votes
    7y
    Originally posted by @Mike Chu:

    @Andre' Arceneaux' I was actually looking around Corona as well! What do you think about rowland heights, diamond bar, walnut, and etc? The houses in those area are pretty pricey. 

    Yes, that are. Diamond Bar & Walnut are certainly stable areas as they have high end properties and a solid core of working class people, location is ripe, if one can get in, and hold, that's a great area to do it. Lots of long term renters and homeowners. 

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