Seeking Advice on Areas of LA County Good for Rental Property Inv

[Asher Leibowitz]

Looking to buy either a single family home (up to 600k) or multi family property (up to 750k) in LA city or elsewhere in LA county.

My monthly costs are estimated to be $3,100 a month. Just began my search, but finding that in many areas the amount I would charge in rent would not meet my monthly costs or barely match it.

Does anyone have any recommendations on neighborhoods or cities in LA county where I'd be able to at minimum comfortably cover my monthly costs with rental charge?

Also want to note that this is not a property I necessarily plan on living in, but rather just an investment.

[Christopher Boshae]

@Asher Leibowitz Before even starting to look at neighborhoods, I would start with what do you want out of this investment your planning to make. Then afterwards start looking for neighborhoods that will give you those opportunities. You can narrow it down to three categories to start:

- High Appreciation / Low Cash flow: Gentrifying neighborhoods

- Low Appreciation / High Cashflow: Creative niches such as college housing or military housing where +++bedrooms = $$$

- High Appreciation / High Cashflow: Buy significantly below market + renovate + rent

Note: Examples above might overlap

For the most part appreciation will always be greater than cashflow, but you will have to delay gratification and there is always the risk of trying to predict the future. However, for the most part appreciation in LA is steady. In addition, in certain investments you might be a bit negative, but you can account for rents to rise which would lead to a positive scenario in a couple years.