Bakersfield, CA rental market

[Bao Do]

Hi Everyone, 

Does anyone have any recent experience with the real estate market in Bakersfield, CA.
I was reading a Bakersfield BP discussion thread from 3 years ago. Someone warned about overinflated prices and higher vacancy being an issue with layoffs related to the oil market.

I live in California and it's impossible to find cash flow positive properties via MLS. Bakersfield's numbers at least work out if the down payment is high enough (25-30%).

I'd love to hear everyone's opinions and experience with pricing and the rental market in Bakersfield.

Thanks

[Sanjeev Advani]

@Bao Do thanks for asking your question!  I would like to refer you to my previous posts on the Bakersfield area for some more detailed information, but for now, IMO, Bakersfield is a great place for growth and cash flow.  If you look back to around mid-2011 you will see that our prices previously bottomed out around that point due to the heavy reliance on agriculture (hit by drought) and oil (hit by economy).  Since then our prices have been steadily climbing and particularly within the past few years we have really seen an uptick in our pricing and values.  

What has happened in Bakersfield is that since the recession, we have learned that we cannot rely on the oil and agriculture sectors alone, like we had in the past, and we started to diversify into other industries.  Specifically the newly burgeoning distribution and transportation business.  The reason for this is the price of the land and the proximity to the entire CA population.  As we started to diversify into that industry, we also saw an uptick in medical due to the aging population, and very recently we are starting to see more entrepreneurs come to the community because of the cost of living but still close proximity to the major markets in the State. 

I would be happy to discuss a little further.  Feel free to PM me.  Hope this helps.