All Forum Posts by: Ian Berg

Give them a notice to vacate. That should get them to respond to you quickly. I have done that a couple of times before in similar situations, always got their attention immediatly. 

@Eric Bilderback

I don't think Prineville is a risky bet at all but was just highlighting some of the pro's and con's. The rents are great now but when I was a landlord there from 2010-2013 I had a hard time finding great renters. The city and county are horrible to deal with when you do have a problem. In hindsight looking at what rents have done we should have kept those properties but it seemed like the right move at the time. I have personally been looking at multifamily there as the returns are much more attractive than Bend or Redmond right now. The two things that have kept me from pulling the trigger is possible rent deflation after the constrution workers leave and liquidity, multifamily in Prineville seems to sit on the market for a while. 

I like investing in Redmond as rents are nearly as high as Bend, I can still find deals and I feel it's a stronger RE market and economy than Prineville. In order to exchange my SFR's into something bigger I may end up in Prinville if the right deal pops up.

Hi @Jeff Wallenius

Prineville really has it's plus's and minus's. The plus's are: It's still pretty cheap, great rental market right now, small acreage is always in demand and Prineville has that (did I mention cheap?). The Minus's: Little economic growth, mills shutting down, the city and crook county really favor tenants in landlord tennant disputes. 

My father and I owned 3 homes in Prineville that we sold a couple years ago. Since then Facebook has been building large facilities for their servers. This has brought a ton of workers to the area and really helped the rental market. I think there is like 4 more years of construction scheduled so the rental market should remain strong for at least that long. Most of the people that acctually work at / for facebook live in Bend / Redmond but the construction guys seem to favor Prineville (cheaper). I have a couple of clients that have done really well the last couple of years buying and holding in Prineville. That being said in the last recession Prineville home values were hit really hard and took much longer to come back than Bend or Redmond. 

Dave gives you some good advice on qualification. You could do a reverse exchange (cost more) or you could just get the place you want to buy under contract contigent on the parcel closing. Much easier than a reverse exchange. 

Hi @Ian Saingarm & @Eric Bilderback, 

Yes we are in a pretty hot market here but there is still deals to be had. I just finished a BRRRR in Redmond and have another one in escrow. Both will be 11%+ cap rate buy and hold investments. I am making alot of offers both for clients and personally right now. We are losing more often than not but making sure you know the right price where an investment makes sense is the key in this market. I did 4 flips last year, 1 exchange and added 1 SFH to my rental portfolio.

The biggest difference in see in Bend's RE market today vs 2007 is the strength of the buyers right now. Over the last 2 years I have sold 96 properties in Central Oregon. Most buyers are putting substantial down, with about 30% being cash. Last year I sold homes to people from 7 different states that were relocating here. It just doesn't feel like the crazy times we had in 2006 & 2007 with people putting little or no down and doing cash out refinaances or HELOCS's. Bend is a destination for retireing baby boomers and people with jobs that allow them to work from home. Oregon was the most moved to state in the nation last year and Deschutes County led that growth per capita. Rental vacancy rates are under 1% right now causing a huge increase in rents. I remember how low rents were in 2011 and try to figure that into my analysis as a worst case scenario. The main problem that Central Oregon has is lack of a major economy outside of tourism. Outside of a major national event / recession I see Bend's market continuing to climb for years to come. 

I have buyers for multifamily large and small if you guys some across anything. 

Thanks, 

I have been reading bigger pockets for years but just "officially" joined. I sell real estate and my wife and I own Mt Bachelor Property Management here in Bend. I bought my first investment property in 2008, got my brokers license in 2011 and still love real estate.  I hope to be able to contribute something to the BP community as I have just been taking info from here for years. 

Thanks, 

Hi Randy, 

Welcome to Central Oregon. It's a pretty hot market here. There are still deals out there though. Let me know if you need any guidance once you make it out. 

Kind of a late reply but I do a little wholesaling in Central Oregon. Drop me a line  if you would like to discuss.