Updated almost 3 years ago on . Most recent reply
Merced/Sacramento investing
Any thoughts on investing in Merced, CA or Sacramento area? Sac is so big I have seen it not depreciate for years and years at a time but now seems to be doing well. Merced, college town, prices reasonable but endless building may be an issue as well. I was thinking about duplex, triplex or SFR in older established neighborhoods? Thoughts? thank you !!!
Most Popular Reply
#5 All Forums Contributor
- Investor
- Poway, CA
The University of California has allocated a lot of funding to UC Merced. In addition, Merced income is growing at near fastest in nation. When I look at UC campus locations, Merced is the lowest cost location of all UC campuses. My son goes to UCSB. Do you know what a shared BR goes for at UCSB. His 2 BR unit has 5 students each paying over $1k/month. San Diego, LA, Santa Cruz, etc are significantly more costly RE than Merced.
In summary, Merced has multiple indicators that point to above average appreciation. I would choose Merced over Sacramento almost solely due to UC Merced (Merced salary growth rate also would be a consideration).
Good luck