New member from San Francisco

[Jen Norvelle]

Hello BP Community!

I'm from the San Francisco bay area. My wife, @Annelyse Finley, and I are looking to invest in properties to buy and hold. We have the capital, but we want to make sure we are making smart decisions. I'm here to learn and I've found BP to be an incredible resource so far!

We're looking to invest out of state and are currently focusing our search on Bend, Oregon and NW Arkansas. Bend because we love the area, we're considering moving there in a few years, and think it has good appreciation potential. We'd like the properties to cash flow, but we're having a hard time making the numbers work there. NW Arkansas because we have family ties to the area. The main goal in Arkansas would be cash flow.

I'd be interested in hearing if anyone has strong opinions about the current and potential market in the two areas.

Looking forward to being a part of this community!

Jen

[Derek Faller]

I don't know anything about Arkansas, but I am pretty familiar with Bend. If you are looking to move to Bend and you want to buy before prices go up more and rent until you do move then it may make sense. If you are looking purely at numbers, like you mentioned it is hard to find something that cash flows here. This is especially true if you want something in a good area that you are planning to move into eventually. Rents have gone up  greatly in the past few years, but so have home prices. In order to get something to cash flow you would need to look at manufactured homes or lower priced homes in less desirable areas. 

I do think home prices will continue to go up here Bend, though maybe at a slower and more controlled rate then then last few years. There are several apartment complexes being built so that may affect the rate of rents appreciating in the future but it is hard to say how much since the vacancy rate is still less then 1%.

I am not trying to turn you off to Bend as it is an amazing place to live, but I personally wouldn't buy rental property here if you are basing a decision only on the numbers. If you are going to move here and want to buy now before prices go higher and are willing to take a little loss on cash flow then that might be worth looking into.

Feel free to hit me up with any questions you have about the Bend area.