Good time to invest in Stockton, CA?

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Rental Property Investor · Northern, CA · Member since 2012 · 5k+ posts · 5k+ votes
9y

I personally like the 95204 and 95207 zip codes for Stockton, but here's a great post with an overview on investing in Stockton: How to Invest in Stockton, CA - A Detailed Overview.

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  • Investor · Milpitas, CA · Member since 2015 · 40 posts · 13 votes
    9y

    I definitely do think it's always a good time to invest depending on your target cash flow. In Stockton, depending on the area where you should by; in my opinion zip codes such as 95219, 95209, 95207 are good zip codes to start with. You can still make decent cash flow after mortgage and expenses.

    Cheers! 

  • Rental Property Investor · Northern, CA · Member since 2012 · 5k+ posts · 5k+ votes
    9y

    I personally like the 95204 and 95207 zip codes for Stockton, but here's a great post with an overview on investing in Stockton: How to Invest in Stockton, CA - A Detailed Overview.

  • Jo-Ann LapinPro Member
    Loan Officer · Tustin, CA · Member since 2015 · 3k+ posts · 713 votes
    9y

    yes for sure it was the foreclosure capital in the last Tom down turn but with a good local near college, school, university or church it is good

  • Rental Property Investor · SF Bay Area · Member since 2015 · 154 posts · 179 votes
    9y
    Originally posted by @Jesús Andrade:
    is it a good time to invest in flips and/or rental properties in Stockton, CA?

    Hi Jesus -  That is a very general question that is highly dependent on your personal situation. 

    However as a general answer to a general question; I think that unless you are already in the game there, the Stockton ship has sailed for now:(.

  • Lender · Temecula, CA · Member since 2012 · 60 posts · 23 votes
    9y

    Hi @Jesus Andrade, yes it is! Rental cash flow rates of return are getting slimmer by the month with the current appreciation, however, the flipping market is still very profitable should you purchase at the right price point. It is getting more and more competitive and some investors tend to overpay for their purchases because they cross major streets to nicer neighborhoods to comp out projects in the lower-valued neighborhoods. As long as you have solid comps that you cross-check/audit with numerous local agents and other professionals and the numbers check out, it is currently a top-10 market in the United States for real estate in general and a top 5 market for flipping. Good luck and please let me know if you have any questions at all - my team is currently very active in a handful of neighborhoods and zip codes.

  • Real Estate Agent · San Jose, CA · Member since 2017 · 111 posts · 66 votes
    9y

    Hi @Jake Leicht, was your team active in Stockton? I would love to chat with them, looking for a property to purchase for BRRR strategy. My price point is around the 200-350k range, preferably looking for a multi-fam.

  • Real Estate Agent · San Jose, CA · Member since 2017 · 111 posts · 66 votes
    9y

    And just to add to that, I'm looking mainly around University of Pacific in Stockton. Or any other recommendations. @Jake Leicht

  • Lender · Temecula, CA · Member since 2012 · 60 posts · 23 votes
    9y

    Hey @Johnny Hoang, yes my team is very active in Stockton still. We haven't been doing multifamily in the city but we have been very active with SFRs in the UOP area. I'm going to reach out to you via email...let's chat!

  • Rental Property Investor · San Ramon, CA · Member since 2017 · 35 posts · 12 votes
    8y
    Jake Leicht - recommendations on a good general contractor in the Stockton area? We are in the process of securing a duplex in Stockton and trying to get recommendations on contractors that are reliable, independent, and cost effective. It’s been hard to find one that meets each criteria. Recommendations would be helpful!
  • Investor · Redwood City, CA · Member since 2017 · 30 posts · 14 votes
    8y

    Personally, I'd hold my fire on Stockton unless you get a really great deal.  If the market softens and home prices decline closer to employment centers in SF and Silicon Valley, as in 2008-09, people will not want to live so far away (and, if they're already in Stockton, may take the opportunity to move west).

  • Sunnyvale , CA · Member since 2017 · 373 posts · 362 votes
    8y
    Bluntly I see the growing attraction to Stockton as a very solid contrarion indicator. Reminds me of Morgan Hill and Gilroy in the late 90s. People were speculating on them just before the market crashed.
  • Rental Property Investor · San Ramon, CA · Member since 2017 · 35 posts · 12 votes
    8y

    @Andrew B. / @Sam Josh - the deal we have is for a duplex in the low to mid-200s in a decent B neighborhood that requires approximately $15-20k of work. Agreed with the fact that the market has stretched way to far, but unless we see a value add deal, we aren't entering the market at this stage. Folks that were able to enter the market post 2009/10, received a great entry point.

    Since you are both from the bay area, I'd be curious to know what your REI advice has been to millennials?

  • Investor · Redwood City, CA · Member since 2017 · 30 posts · 14 votes
    8y

    @Jamie Shah If it's a great deal with positive cash flow and you can afford to buy and hold, go for it.  I wouldn't bet on appreciation.

    My advice would depend on your situation (including how much involvement you want in your investments) and goals (cash flow over time through rentals, larger quicker gains through flipping, etc.).  Many California investors find that they need to look out-of-state to achieve returns, particularly if they're looking for cash flow.  The BiggerPockets podcast, along with the forums, is a great resource to explore different investing approaches, including outside of one's home area.

  • Lender · Temecula, CA · Member since 2012 · 60 posts · 23 votes
    8y

    @Jamie Shah - a GC that is reliable, independent, AND cost effective!? Does such a thing exist? :)

    I could share a few resources with you for sure, just shoot me a PM. GCs are the one area that I would never put my name behind as I've seen that there are egos in relationships that can strike a nice gasoline-soaked match with even the best intentioned investors/contractors. But I can share some names that I've worked with in the past in the city...just shoot me over a PM. 

  • Member since 2018 · 211 posts · 164 votes
    7y
    Originally posted by @Jamie Shah:

    Jake Leicht - recommendations on a good general contractor in the Stockton area? We are in the process of securing a duplex in Stockton and trying to get recommendations on contractors that are reliable, independent, and cost effective. It’s been hard to find one that meets each criteria. Recommendations would be helpful!

    Did you end up getting the duplex? 

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