How is Fresno's market?

[Andrew Wong]

Hi BPer's of Fresno!

I'm starting out in my journey in REI and am looking at several markets. I'm currently residing in San Jose, CA. As you guys know the state of affairs, I'd rather not invest in that area since it doesn't cash flow at the moment.

I'm interested in investing out of state, but plenty of people have said to look locally, just further away. So here I am looking at Fresno! I'm wondering about people's thoughts with Fresno and cash flow.

I'm looking for distressed SFH and multifamily units to rehab with purchase prices at 200k. Ideal tenants being long term family renters, probably 3 bedroom units. I'm wondering what kind of CoC and cash flow Fresno can get with these criterias.

I've looked on redfin/zillow and comparing some rent on craigslist/rentometer and there are definitely some great looking properties in the sub $100k range where the neighborhood has rents for ~ $1000.

Am I being silly in my superficial analysis? Looking for some more insight from a Fresno pro!

Thanks!

[Garrett Mayo]

@Myo Thein not a problem. I currently am getting into multi units as we speak and have a few offers out. I do agree the cash flow is better, but I started in SFH to get my feet wet 3 years ago.

The areas I bought in were all North Fresno. Im sure this overall conversation can be debated but I stay north of Shields Ave. Anything below is just not what I personally am looking for. The market has changed (which is making me look into multi family homes) and the prices have gone up from when I bought. 

The first house we purchased in April 2013 for $125,000. It was a flip and had everything needed to move in a renter, which is what I was looking for at that time. Today that house is worth about $150,000 - $160,000 and currently rents for $1175.00 a month. 

Feel free to shoot if you have any other questions!