Are you looking to get started with a California investment property? Incredible factors, including growing investment portfolios and monthly rental income streams, continue to distinguish California investment properties yielding great returns. California’s housing market has always been a great option for real estate investing because of the amount of appreciation an average property accrues over time. Regardless of the cost of living, California remains one of the most desirable states to vacation and invest in.
According to an April 19, 2022 press release, the California Association of Realtors (C.A.R.) said, “California home sales tick higher in March as statewide median price sets another all-time high,” C.A.R. reports. “Existing, single-family home sales totaled 426,970 in March on a seasonally adjusted annualized rate, up 0.5 percent from February and down 4.4 percent from March 2021.” California’s investment properties remain in high demand, no matter the median home price. If you are thinking about investment properties, don’t miss your opportunity to establish one of the most lucrative investment property income streams in America!
Here are United Wholesale Lending’s Top Tips for Real Estate Investments in California:
1 Work with a Trusted Mortgage Team
If you’re interested in purchasing an investment property or real estate for your own use, the first important choice you make in this transaction is “which lender am I going to use?” Choosing to work with a trusted lender, like United Wholesale Lending, you are choosing to work with a reliable team focused on your overall financial health and goals. Your lenders should have great relationships with your local real estate community. When you make a decision to submit an offer on a potential California investment property, having an offer that includes verified funds from a respected lender can make a big difference in how it is received. Building your real estate portfolio to include California investment properties is something that you should feel confident doing, and having a team focused on your financial success will greatly impact this. At United Wholesale Lending we value the opportunity to serve your financial needs. Here are some financing options for California investment properties.
2 Work with an Experienced Realtor
Realtors make a big difference in the overall transaction experience for California investment property purchasing. Realtors help locate and show the investment property, advocate for your price and terms so you don’t overpay the market value, and help you move through the closing process with ease. Working with a realtor you enjoy and trust will make a big difference in your overall experience, and ultimately be a factor in how motivated you are to continue to manage your California investment property portfolio.
3 Understand Landlord Obligations (including legal ones, not just collecting a check)
Before any property is purchased, it is important that landlords understand and comply with fair housing laws. If you’re not careful, how you advertise or select a tenant could result in a costly complaint. Having a thorough understanding of your potential rental agreement is also valuable. The rental agreement or lease signed with a tenant is the contractual basis for tenancy, full of crucial critical details about the landlord-tenant expectations. Taken together with federal, state, and local landlord-tenant laws, your lease or rental agreement sets out all the legal rules you and your tenant must follow. Landlords must make certain disclosures to tenants if they know facts about the property deemed to be important. Not being transparent in this regard can lead to serious consequences. Questions regarding a landlord’s legal obligations should be brought up with a licensed attorney.
4 Location! Location! Location!
Choosing a great location is one important factor in establishing your investments’ valuable growth equity forecast. Homes in cities that have little room for expansion tend to be more valuable than those in cities that have an abundance of land for growth. Successful California investment property owners are paying attention to nearby amenities, such as accessibility, as well as plans for development. It is not just the present amenities that matter, but future ones as well. Plans for new schools, hospitals, public transportation, and other civic infrastructure can dramatically improve property values in the area. Great investment property landlords know future tenants are looking for convenience to grocery stores and entertainment. Consider trains, roads, and public transportation for transportation, such as bus stops and public bike-share locations. Proximity to amenities typically improves a home’s value. Land is a finite commodity, so your choice to purchase an investment property in a city or suburban town can impact the return of investment timing.
It’s important to talk with professionals when it comes to your financial future. What questions do you have regarding California investment properties? Message or call us today and together we will confirm you are moving towards your property ownership goals.
At the end of the day, if you want a California investment property, you need a great real estate finance team that works on your behalf like United Wholesale Lending. Take the next step with a trusted lender, APPLY HERE.
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