All Forum Posts by: Shane H.

I second the AV for SoCal buy-n-hold. East Palmdale and East Lancaster can cashflow nicely IF 1)you get a good deal with equity day 1 and 2)you are careful to pick and choose your neighborhood. Eastside gets a bad rap for sure, and that is good because not as many investors are looking there ... there are for sure bad hoods on the eastside that you don't want to touch, they tend to be more central with rundown 1950s houses and multis, but it gets better moving east, beyond say 20th st East. Mine are SFRs, 1980-1990, tile roofs & stucco, no HOAs, very little maintenance and good cashflow. Just be patient, make sure you get a good deal with equity & cashflows, and that you can hold through a downturn as this market gets hammered price wise when things turn ... you might have better buying opportunities in a year or so as the market is really hot right now, but educate yourself and start looking now, just make sure you get a good deal before pulling the trigger. One more thing, Northrop just won a multi-billion dollar contract for the next gen stealth bomber, and they'll be assembling it in East Palmdale and probably doing the test flights at Edwards AFB, so probably some good jobs coming from that over the next few years.

Victorville, Lake Elsinore, Rialto, Pomona, Riverside, San Bernardino, Colton, Lywood.there are a ton of more cities, mostly IE and Riverside County.

The thing i love about southern CA is no matter where you buy you can charge premium rent amounts according to the area standards. Get out and just drive, tour these cities. Yorba Linda is the last city coming out of Orange, less than 20 mins from Riverside County area. All our counties except for Ventura County are all less than 45 mins in distance of each other. How you grew u and what your used to has an affect on how you view other cities, Ive been all around Southern CA and most cities people have named all have decent parts to them. Its like this, if you live in Orange County, the one city every names as the ghetto city is Santa Ana. But coming from some cities in Riverside County, some in San Bernardino County,some in LA County you would find out alot of people would say Santa Ana is luxury city....LOL...Its all perception, you would probably think i was crazy to mention Compton...When you think about the history of the city and what you see in movies, you would run, but guess what, My wife grew in a very nice part of Compton, where there are really nice homes, owned buy older people with good city and school jobs. Where all cultures of people live, its not dangerous...And rent is high, the homes hold good vaule "based on the value of the area"...Brand new developments near buy...

What im saying is dont limit yourself really get out there and look, and dont base it off what someone on BP tells you. When real estate is booming any area in So Cal will appreciate greatly....Any area from "ghetto" to the beach cities. Of course be smart dont just go anywhere, an on any block....but in general So Cal has a very rare R.E.I culture you wont find anywhere else...When your looking in the price range yur looking in you have to think outside the box...

Everyone "ghetto" is different. I grew up in La County,"city of Norwalk"  Santa Ana would have been heaven to me back then...LOL

Good Luck

@Jim Keller  it comes down to the power of marketing... IE the industry of selling mid west deep south rust belt investment properties in the LA market.. its a huge industry.

And of course most that post about it are just pushing their agenda.. which of course is fine its America everyone has a right to market their wares. 

One can buy sub 100k properties all over CA and that is a fact.. they will be C and D's for the most part but some in rural areas could be b and a .. but rentals are rentals are rentals  all the same issues happen every were in the US

@Shane H.

I think you have it backwards with 29 palms.  It can be an excellent place to cash flow, just don't expect any appreciation.  Yes, vacancy rates are high but you can still be positively cash flowing despite that.  Example:  I purchased a duplex out there last year for $64,000.  The rents I've been able to collect total $1,340 per month.  So even with a 25% vacancy you will come out ahead if the other numbers are strong enough (i.e. low purchase price, low interest rate, etc.).  In the case of this property, vacancy has been much lower than 25% for me, so it has exceeded the returns I expected when purchasing it.

My advice would be to stay a little more open minded until you've really studied some markets and figured out what appeals to you.  Anywhere you invest is going to have some kind of trade off.  There is no perfect market, especially in California where high demand for real estate leads to the unaffordable prices that we are all familiar with.  If you are buying in a market that cash flows well, chances are you are buying in area that you wouldn't want to live in, and you will have to decide what you are willing to put up with to achieve that cash flow.

I think there are good/desirable areas in Rialto and Colton to hold a rental. But there are bad areas as well. Almost all of North Rialto is good, except I dont like Boehnert and linden area, too many chain link fences. And there are pockets in Rialto, south of the 210 that are good, like some tracts off of baseline. 

Most of Colton is not good for rentals, in my opinion, unless you dont mind neighborhoods filled with chainlink fences, and many strange people aimlessly walking around; however I do notice a lot non-owner occupiers in those areas, so maybe im wrong and there is money to be made there. The parts that I Iike are the tracts that were built in 1975 and newer, right around Pepper ave, Maywood, and Cooley dr,