The “Sleeper Investment” Area if You Are in the Market is Rancho Cordova…!

Did You Hear They Hate “chain link” fences…?

It’s an amazing thing to watch over the transition of the City of Rancho Cordova from what many people thought was a lost cause until the residents there incorporated in 2003.

Official seal of City of Rancho Cordova

Official seal of City of Rancho Cordova (Photo credit: Wikipedia)

One of the major reasons for the successful incorporation was the fact there were many “absentee” landlords who did not take pride of ownership of their rentals, did not screen their tenants very well and allowed their properties to deteriorate because they didn’t maintain them.

They’ve been using the power of “code enforcement” to get landlords in shape and while I’m not a big government kind of guy, in the cases I have observed, this city has an effective way of cleaning up their housing stock.

Which brings me to the “chain link” head line.

Check out this story from the Sacramento Bee – Rancho Cordova cleans up neighborhoods one chain-link fence at a time

And…  KCRA 3 must have read the SacBee so they had a story on the news as well.   Rancho Cordova pays homeowners to remove chain link fences

Let me know what you think.

In the Mean Time…?

Make it a Great Day…

Ed Favinger, Broker, CRS, GRI, SFR, CDPE     916-203-1260   favinger@rwnetwork.com

 

 

 

 

The Old Rules Don’t Apply Anymore…?

I just had to share this graphic from the California Association of Realtors.

What do you think…?

TheOldRulesDontApply

I think as the younger generation gets a little older and the economy starts to work for them, we’ll see a shift in attitudes towards to putting down some roots in a community.

Folsom and the surrounding areas are great places to live as just about anyone who lives here will tell you.

So…. If you are anywhere in the above graph situation and thinking of Buying, Selling or Investing in a home or Rental, call or “text” me at anytime.   916-203-1260

In the Mean Time…?

Make it a Great Day…!

Ed Favinger, Broker CRS, GRI, SFR, CDPE      favinger@rwnetwork.com

A Duplex That Has Some Potential Cash Flow

We Manage Several in the Area… this could be a “sleeper”.

This duplex located at 2614-2616 Bravado in Ranch Cordova has been on the market for about 40 days or so.   They started out much too high and I think at the recently adjusted price of $285,000 they are still a bit high.

Below you’ll find a link to a “proforma” cash flow analysis of this property based upon a lower price that I think is more appropriate.   We manage several duplexes within a very short distance away… one right across the street.

CLICK HERE FOR THE CASH FLOW FIGURES

If you’re thinking of Investing in a Duplex, a Four-Plex or even an Apartment complex, contact me and I’ll get you the best deal possible.   Since we also have a Property Management unit, we are probably in a better position to give you an accurate assessment of what you could rent properties for in this area.   If you buy through us, we’ll give you the 1st 3 months of Property Management free.

In the mean time…?

Make it a Great Day…!

Ed Favinger, Broker, CRS, GRI, SFR, CDPE   916-203-1260   favinger@rwnetwork.com

 

Sacramento Area Apartment Sales Amazing Prices – Amazing Rents..!

Cost per unit is sky high

I got this article off of the Sacrament Business Journal this morning and had to pass it on.

Click Here for that article.

The reason I’ve been keen on passing on articles like this is because I’m in the process of marketing the Twin Pines Apartments in Rancho Cordova.   Click here for the information I posted a couple months ago about it.

One of the factors some investors look at is “cost per unit”.   The list price on this complex is $100,000 per unit because it’s probably a “class C” or maybe “C+”.   The Costs Per Unit of the properties mentioned in the article above are about $189,000 and $193,000.

For-Rent-300x199The reporter for the article was quoting Brokers saying those complexes were “Class A” type of product.   They have all the latest amenities I presume and built fairly recently.   However, they don’t pencil out in the traditional sense.

What they are banking on is the fact that rents are projected to be going up “big time”.   That’s because there’s not been any major construction of apartments and entry level homes in this area for a long time and demand for rentals has increased.   By the way… this phenomenon is happening all over the country if you were to do a google search for rental rates.

Our property management company Haven Properties has no problem renting up units as they come up and you’d be surprised at the amount of rent you can get if you have a nice place with amenities.

So… if you’re thinking of investing in the Sacramento Residential Investment Market, call me.   We specialize in Duplexes, Four-Plexes, small to medium apartment complexes and of course Single Family homes.

Now… in the mean time…?

Make it a Great Day…!

Ed Favinger, Broker, CRS, GRI, SFR, CDPE    916-203-1260  favinger@rwnetwork.com

 

The Follow Up on the Recent Rent Control Article

They are kicking the can down the road for a while

Folks, this is a contentious issue in California’s coastal areas such as the San Francisco Bay Area and of course down in the Los Angeles area.

The City of Alameda has recently conducted a few city council sessions on this issue.   You gotta believe there’s been some “off the record” negotiations going on behind closed doors among a couple of the council members in my opinion.rent contol

No matter which way they are going to go… there are some issues I hate and one of them is the so called “just cause” or “no cause” eviction they want to enforce as part of this deal.

This issue would change the law so that you can’t just ask a tenant to leave at the end of a lease or after giving notice to terminate on a month to month agreement,  which is often a great tool to get rid of a problem tenant.

In our area,  Sacramento, if you have a tenant that is consistently late on rent, is abusive and wasteful of the unit and otherwise doesn’t follow the rules…?  Your “best option” now is to terminate the tenancy and there’s no defense in most cases on an expired lease or month to month agreement.   The tenant has to move because there’s no “just cause” requirement here in the Sacramento Region.

That changes in Alameda with this new law their going to impose it seems.   You’d have to go to a board or commission they will set up making it harder and more costly to get rid of bad tenants.

They are also talking about paying a tenant’s “moving expenses”.   How would you like to have the requirement..?

Anyway… CLICK HERE for the article that describes the meeting I wrote about on January 5th and what they decided to do for now.   More to come later.

Bottom line…?  Stay away from Rent Controlled areas if you are an investor.   If you are thinking of Investing in a Rental Property, be it a single family home, a Duplex, a Four-Plex or even an Apartment complex we can help.   Call me or send me an email today.  My contact information is below.    The Sacramento Region is growing and we do not have rent control.

 

In the Mean Time…?

Make it a Great Day…!

Ed Favinger, Broker, CRS, GRI, SFR, CDPE     916-203-1260    favinger@rwnetwork.com

Rent Control Is Rearing It’s Ugly Head Again – Not Yet in The Sacramento Region

Too Much Regulation – Kills the Housing/Building Industry

I have to pass on this article I got from the San Francisco Business Times. There’s a big meeting in the City of Alameda tonight that is so contentious with the anticipation of a large gathering, they moved it to a High School Auditorium.

English: City hall. 2263 Santa Clara Avenue. A...

English: City hall. 2263 Santa Clara Avenue. Alameda, California, USA (Photo credit: Wikipedia)

I’ve written about this issue before… not sure if I put here on this blog but for sure at our Property Management Facebook Page back in November 18th of last year.  The link I posted was also a follow up to the earlier Alameda City Council meeting where the “3 options” referred to are going to be the subject of tonight’s big do.    You can bet there will be lots of media there.

Here’s a “solution” that I wanted to share again with you from a Bay Area Attorney, Christopher Hanson, the Hanson Law Firm.

I think his ideas and solutions are much less onerous for Landlords and “spreads the pain around” in such a way that it doesn’t kill the incentive to build more units which is the reason Rents are going up, including in the Sacramento Region.

Come back here tomorrow and I’ll have the follow up.   I’m curious to see how Alameda handles this issue.

If you are thinking of Buying or Selling and Investment Property in the Sacramento Region, please call me at 916-203-1260 or drop me a note at favinger@rwnetwork.com

In the Mean Time…?

Make it a Great Day….!

Ed Favinger, Broker, CRS, GRI, SFR, CDPE      916-203-1260 – favinger@rwnetwork.com

 

Rising Rents Going up Faster than Inflation – Good If you’re an Investor

If You’re a Renter – Might be Time to Buy Instead

I don’t know how many times over the last several months I’ve discussed the fact the rents have really begun to take off.  Graph-going-up My favorite quote to people looking for a place to rent and to people who’ve asked about the Sacramento and Folsom Rental Market is, “you almost have to know somebody to find a decent rental”… especially if its in a nice area.

It’s not just me saying this either because it’s been in the news from several different sources.

Click here to get the Google Search Results of “Rising Rents in Sacramento Region” to see the number of sources to make my point.   Oh and by the way… it’s the same just about every where in the country.

The simple fact is they haven’t kept up with the housing demand for new units.

For a bit of humor on the subject and a “look inside baseball”  for another type of perspective..?  Click Here to see a video from our guys at the National Real Estate Post.  

Most Real Estate professionals have heard of these gentlmen and subscribe to their video updates.   Now even if you are a “civilian”… you know,  not part of the Real Estate Industry..?   You can still subscribe to keep up to date and idea of what is taking place in the Mortgage Lending business and Residential Real Estate Sales.

So if you are thinking of Investing in a Residential Rental unit I think you’ll have to agree with me that now might be a good time to get in.   Call me at 916-203-1260 or send an email to me at: favinger@rwnetwork.com and we’ll see if we can’t find the right kind of Investment Property in the Sacramento Region that works for you.

If you’re a Renter…?   Call me because I can help you find the best deal possible.   We’ve been helping buyers locate and purchase their 1st home for many years so put our experience to work for you today.   Call me at 916-203-1260 and we’ll discuss your situation.

In the Mean Time…?

Make it a Great Day…!

Ed Favinger, Broker CRS, GRI, SFR, CDPE

 

 

Sacramento – Residential Investment Real Estate – Good For the Small Investor

The Key of course is buying a property in a “growth area”.

I left the San Francisco Bay Area back in 1989 which was about the top of the market back then before there was an “adjustment” in Real Estate prices a few years later.   Others would call that part of the 90”s a “Downturn”.

The Sacramento Region since that time has shifted some what from being a Government and Housing driven market to something more “diverse” with some decent paying private sector jobs.

If you’re an investor in Residential Real Estate, be it a Single Family home, a Duplex/Four-Plex or even an Apartment complex, you have to have jobs and job growth if you want Real Estate rental prices to increase and of course by extension, potential “resale” values to grow.

Because we had another “downturn” caused by the Bank meltdown of a few years ago, construction of new projects pretty much came to a screeching halt.   Only recently have we seen builders begin the process of constructing new home, but not much in the way of “rental type” properties such as apartments.

Rents in this area have gone up dramatically and in Folsom where our office is, our Property Management company has no shortage of rental applications if the property is in good condition and located in a desirable area.   If you want to rent a nice pad in Folsom or Roseville for example, you almost have to “know somebody” to get one.  I’ve written about this many times, so click here for an article about rents in the area.

The “driver” of this phenomenon is,  as I mentioned above, our increasingly diverse economy here.

Click here for short article that makes my point.   This is old news of course to those of us that live here.  The article gives you a quick view of some of the “hi-tech” companies  located here, expanding here or moving here.   These are companies that most of you have heard of too.

So….. If you are thinking of making an investment into this area, then please contact me and I’ll give you the “Chamber of Commerce” tour of the area including work centers, recreation areas and neighborhoods.     After you’ve seen the growth in Sacramento, Roseville, Folsom, El Dorado Hills, Elk Grove and Rocklin, you’ll see why many of us have decided to not only invest here… we live here.

In the Mean Time…?

Make it a Great Day…!

Ed Favinger, Broker CRS, GRI, SFR, CDPE    916-203-1260   favinger@rwnetwork.com

 

Are We in a Real Estate Bubble…?

Update on the 10 Hotest Real Estate Markets – Analyzed Here.

I have had more than one person ask me if we were in another Real Estate Bubble.   I know that anechdotally, prices here in the Sacramento/Folsom area where I practice real estate and property management, have gone up.

We see it all the time in higher re-sale prices and big time increases in what you can charge for rents in just about every category, from apartments, duplexes and single family homes.

In my opinion this is going to be the trend for a while here in this area,  because builders have not kept up with demand and are only now starting to ramp up with some new construction.

So…. I got this article that I thought I would share with you from HousingWire.com.

Is there a housing bubble brewing on the West Coast?

HottestMarkets

 

Let me know what you think.   Now in my opinion if you are a Real Estate Investor in the Residential rental market, I think we have a few years of growth left.

Call me today at 916-203-1260 if you are thinking of getting into the Residential Investment Market in the Sacramento, Roseville, Folsom areas.

Don’t forget, we also do Property Management and if you purchase your investment property through us, we’ll give you the 1st 3 months of Property Management service free.

In the mean time…?

Make it a Great Day…!

Ed Favinger, Broker, CRS, GRI, SFR, CDPE   916-203-1260  favinger@rwnetwork.com

 

 

Sacramento & Folsom Real Estate are Hot..!!!

But so are a lot of other places in California…!

Maybe it’s just got to be the great weather right…?

Take a look at this…CaliforniaHomeSales

 

 

So if you’re thinking of buying a Single Family Home or any other kind of Residential Investment Real Estate like a Duplex, a Four-Plex or a small apartment complex, give is a call today.

And don’t forget, we also do Property Management as well.

In the mean time…?

Make it a Great Day…!

Ed Favinger, Broker, CRS, GRI, SFR, CDPE    favinger@rwnetwork.com   916-203-1260