They do crowdfunding for multi-family in the Dallas area. Almost $30M in revenue. Not bad.
but you hate multi-family investing remember? Or has the $$$$ signs finally bringing you over FROM the dark side (SFHs and condos)???
I only hate multi-fam for Bay Area. Big difference. If I ever invest in flyover states multi-fam is the way to go.
For less than 3M you can have a 43-unit compound in Fresno…
http://www.loopnet.com/Listing/20035816/411-E-San-Ramon-Ave-Fresno-CA/
6.4% cap rate. Not too bad. Maybe you can haggle on price and bring the cap rate even higher…
The entire state of CA will have $15 min wage in a few years. Lots of upside to raise rent.
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Fresno is probably one of the worst places to invest in the entire country
Even when people make $15 min wage?
Whose going to pay people in Fresno $15/hr?..Higher min wage means higher unemployment in the least most desirable places…Fresno is one of the least most desirable places to live in the whole country…Meanwhile Sac rents are up 12.5% according to my Sac broker friend. …Even Reno rents are higher than Fresno
How about Stockton?
Slumlording in Stockton. 22 unit for 1.2M. 9 Cap.
http://www.loopnet.com/Listing/19550151/623-Edison-St-Stockton-CA/
Stockton looks better to me…I know some rich guys there that have dozens of Stockton sfhs at15-20 caps…Of course they bought 3 years ago…
http://www.deptofnumbers.com/unemployment/california/fresno/
Fresno has 9.3% unemployment
http://www.deptofnumbers.com/unemployment/california/stockton/
Stockton is at 7.8% and has the BA economic juggernaut 1hr away…
I was hoping Fresno will do better with the high speed rail. But now that the Donald is in the HSR will go the way of the dodo.
I am hoping Bakersfield will do well, too…We actually have a buyer sniffing around our 240 lot subdivision. …Still only worth half what we have into it…
Sac is where its at…https://www.rentjungle.com/average-rent-in-sacramento-rent-trends/
Rents in Stockton and Fresno still flat…
Dang, @manch, Fresno and Stockton markets??? Looking at people making $15/hr??? Who is the real one playing russian roulette???
I already have a house in Stockton. So I am not a stranger to that market. Yeah, multi-fam can make sense there. My thinking is you either go high, in Bay Area, or you go low, in Central Valley. No wishy washy in the middle. Bay Area for appreciation, and central valley for cash flow. Makes perfect sense to me.
You guys have properties everywhere! I have much to learn…
How is Trump related to California HSR? HSR was already dead before Trump entered politics.
Maybe buy a 100 unit complex at $1M somewhere in Midwest? Maintenance cost could be higher than your purchase price, but rent income will be great
I hope Trump strangles HSR in its crib…
Don’t ignore the min wage worker…Already over 2m in Cali…By 2023 one third of Californians will make only $15/h…Problem is some may loose their jobs due to cost cutting and automation. .http://www.heritage.org/research/reports/2016/05/californias-unprecedented-minimum-wage-increase-will-hurt-vulnerable-workers
The way I see at it, landlords get a built in 50% inflation with units oriented towards the min wage worker…Supply is constricted and demand will go up…win win for landlords in high demand areas like Sac, Stockton, Tahoe, Salinas. .less so for Fresno, Bakersfield and other areas too far from the BA
What about Inland Empire?
Sure…I just dont know it well…But nobody can afford to build affordable housing anywhere in Cali and the population will keep growing…It all comes down to what areas pay the highest wages and have the lowest unemployment