We’re thinking about investing in Prescott, AZ.

We’re thinking about investing in Prescott, AZ.

Member since 2020 · 6 posts · 1 vote

Would love to connect with anyone who is familiar with with the area (locals, agents, lenders, property managers etc.). Thank you!

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  • Mike BerkawPro Member
    Investor · Prescott, AZ · Member since 2015 · 23 posts · 10 votes
    5y

    Prescott is tough for investing. The prices here are skyrocketing due to all the people moving into the area. 3 years ago in Prescott Valley you could pick up a duplex for around 200k and now they are 300k+ but the rent hasn't increased enough to make the numbers work.

    We have a friend that is looking to move here and they cannot find a house because they are selling to fast. One place had 10 offers on the first day and offers only accepted after you see the house in person. Another friend here rented his VRBO to someone for 8 months while they try to find a house to buy. Its crazy. 

  • Member since 2020 · 6 posts · 1 vote
    5y

    @Mike Berkaw thank you for the information. It is appreciated. You touched on some of the thoughts I had about investing there. I was wondering how the rental market was because the feedback I am getting is that many ppl are selling their property in CA and buying in Prescott. So, my thoughts would be to BRRR and use it as a rental to someone waiting for their new house to be built. Or just buy a model house in a new development to rent out.

    Thanks,

    Austin

  • Mike BerkawPro Member
    Investor · Prescott, AZ · Member since 2015 · 23 posts · 10 votes
    5y

    @Lilly Tureaud It is do-able for a temporary housing option. My friend is getting 1800 a month on a 1100 sqf house, less than a mile from downtown, until the tenant finds a house to purchase themselves. He also has a 2 month payment clause if they leave before the 8 months is up.

  • Member since 2020 · 6 posts · 1 vote
    5y

    @Mike Berkaw nice. I do like the 2 month clause. Do you know know of any realtors in the area? We are planning to be in the area for the holidays (we have family there).

  • Mike BerkawPro Member
    Investor · Prescott, AZ · Member since 2015 · 23 posts · 10 votes
    5y

    @Lilly Tureaud I have dealt with two realtors, but I wasn't super impressed with either one. I had to do most of the leg work and they just facilitated the transactions. There is a local RE investor group on MeetUp, but I haven't been to any of their meetings yet.

    I'm doing the BRRR as well and can tell you that all the contractors that I have met with are very busy and their prices reflect that. Fortunately I am able to do a lot of the work myself, otherwise I would be upside down on my current project.

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