Bay Area Investors Invade Central Valley for Deals

From the title you might think that this news item is from 2005, but it’s from the Sunday, December 13, 2009 San Jose Mercury News. The article provides details about San Francisco area investors who are active buyers in the Central California valley and Las Vegas, NV markets. It starts out…” Bay Area real estate investors have gone on a shopping spree, snapping up homes in low-cost communities outside the region.” Bay area investors bought almost 3,000 homes outside the bay, up 58% from the same period last year.

This is good news for the real estate market in Woodland as it means a steady flow of buyers to take inventory off the market. According to the article, Sacramento is the number one target of Bay area investors and Woodland is a bedroom community just 10 miles west of the Sacramento International Airport.

It’s interesting that the Bay area investor is no longer buying vacation homes or luxury condos, but has turned to rental properties in mostly working class towns and suburbs.

It’s a function of three or four years of falling prices, foreclosures, and the current low interest rates. Finding a cash-flow positive rental home in California used to be virtually impossible, but shifting market forces have now made it a reachable goal in the Central Valley.

Of course, lending requirements have tightened, so the “no money down” loan may not be practical. But smart shoppers can find good deals while the markets are down and be well positioned with a long term investment in California real estate.

Check out the details on these 46 homes in Woodland for less than $200,000. Start your search here.  One of these might make a good investment, with rents of approximately $1,200 a month for a 3 bedroom, 2 bath home.

You can get more information about Davis investment property or Woodland, California Real Estate by visiting my websites, or call me directly.