Considering investing in Lake County, CA

[Kristal Matthews]

I am currently looking at this area to do my first investment but concerned with the clientele and population growth. Does anyone know anything about this area when it comes to investing? I currently live in Saint Helena, CA where properties are too expensive for me to invest for the first time. I would like to eventually grow into investing in my neighborhood but have found this county only one hour away that seems more affordable for me to begin. Any thoughts?

[Nicky Zannis]

I have a long and loving history with Lake County, Kelseyville and the lake in particular. Everything that Jay said is accurate. There are certainly good things, as well as bad. My family has owned a vacation home on the lake for 40 years, and I proposed to my fiance there last weekend. It can be a magical place.

Economically the area seems to be recovering from the economic recession at a snail's pace. That coinciding with the mismanagement and closure of Konconcti Harbor Inn 10 years ago, much of the draw to the lake for tourists has slowed, and most businesses subsequently failed. Rarely is there a new business started in the area that still exists the following season. They continually come and go. For this reason, I don't see there being a good pool of tenants or a ton of demand considering the economy is so slow and people who spend time and $ there typically have vacation homes there.

The fires certainly have not helped, and I know they have had moratoriums for Home insurance in the region.

That being said, for a place to purchase acreage, it still is relatively cheap compared to that of other wine country atmospheres and can have all the same charm. Air BnB could be a good option, and if they ever get Konocti online again the good times really could resume. They certainly are taking their sweet time, the bar and marina section was supposed to be open July 4th... Lake county always makes promises that they rarely deliver on and getting people to show up can be very unreliable. What can you say, the nature of the place can take your breath away