Are Sacramento Investors Missing an Opportunity?

Currently Metrolist MLS is indicating there are 781 single family homes  listed for sale in the city of Sacramento for less than $100,000.  There are 1361 homes in Sacramento that are under $140,000.  That is a lot of inventory for an investor to choose from.

Most properties in this price range are in need of serious repairs and upgrades - with some being in such bad physical shape that they will not qualify for most forms of financing.   However for the right investor - this is the opportunity to purchase cash flow positive proprerties.  This is not the time to buy something with the expectation of selling it in a year for a $100,000 profit - many of the last round of buyers who did that are part of the foreclosures that are driving prices to these levels.

Mortgage lenders state for homes in basically average overall condition - an investor buyer typically needs to put down a 20% downpayment - however under certain circustances a higher downpayment is required.  Gone are the days when investors could put minimal downpayments on rental properties.

One other important thing for Sacramento Investors to consider is that there is strong competition among buyers in the entry level price ranges - especially true on some foreclosed homes, the listing price will be artifically low to try to get multiple offers so it is critical to work with an agent who can demonstrate adequate knowledge of the immediate market area and provide examples of recent sales as well as what is currently listed for sale.

The right investment property may be out there for you right now.  Visit my site to search for all potential  Sacramento homes for sale or you can view exclusively  bank owned/REO/foreclosures on a page that may appeal specifically to help you find the perfect Sacramento Investment Property

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