A.D. Cantelmo Property Management
Our Business is Property Management in Orange County California
California, not hospitable for single family home investors
My last blog, I was talking about how much
in demand Orange County Ca. is for renters, But according to Housing Wire,
California including Orange County is not a friendly place for Real Estate investors.
California holds seven of top 10 worst investor rental markets. Investors who
try and make money in the rental market are struggling.
The reasons include, demand for houses, low
inventory and rising prices. Does this mean it may be better to go outside of
California to invest?
Top 10 best
A list released by HomeUnion, an online residential real estate investment
management firm, analyzes first-year SFR returns, or cap rates, in each market.
Here are the top 10 highest-yielding markets to invest in SFRs:
10. Philadelphia, Pennsylvania with a cap rate of 8%
9. Tampa, Florida with a cap rate of 8%
8. Greenville, South Carolina with a cap rate of 8%
7. Memphis, Tennessee with a cap rate of 8%
6. Cincinnati, Ohio with a cap rate of 8.2%
5. Milwaukee, Wisconsin with a cap rate of 8.4%
4. Pittsburgh, Pennsylvania with a cap rate of 8.4%
3. Birmingham, Alabama with a cap rate of 8.5%
2. Columbia, South Carolina with a cap rate of 9.7%
1. Cleveland, Ohio with a cap rate of 11.1%
Bottom 10
Here are the top 10 lowest-yielding markets
to
invest in SFRs:
10. Portland, Oregon with a cap rate of 3.8%
9. Sacramento, California with a cap rate of 3.7%
8. Seattle, Washington with a cap rate of 3.5%
7. New York City, New York with a cap rate of 3.5%
6. Oakland, California with a cap rate of 3.5%
5. San Diego, California with a cap rate of 3.5%
4. Los Angeles, California with a cap rate of 3.1%
3. Orange County, California with a cap rate of 2.7%
2. San Jose, California with a cap rate of 2.6%
1. San Francisco, California with a cap rate of 2.5%
If you are looking to buy investment property, should you go outside of
California? There may be some opportunities, but buying in states that you don’t
reside can be tricky, so before you go looking for greener pastures, you need
to do your homework.
A.D. Cantelmo Property
Management Specializes in Property Management in Orange County
Ca.