I was recently comparing the available homes for sale in three of the markets I serve.....Davis, Woodland and West Sacramento, California.

I was looking at the three markets from the perspective of a single-family home investor or a first time buyer. The object was to find a single family home with 3 bedrooms, priced at less than $225,000. This would be a good home for an entry-level buyer, or could also be an attractive rental home, depending on your investment goals.

The three cities could not be more different. Although similar in population - West Sacramento is the smallest city, with about 45,000 residents and Davis has about 65,000, Woodland falling between them - they could not be more different as real estate markets.

My search showed Woodland and West Sacramento had about the same number of properties for sale in the MLS, about 375 each. The difference was that Woodland had 22 homes that met the criteria above, while West Sacramento had only two.  Davis had no homes at all for sale under $225,000.

So, there is much more choice for investors and first time buyers in Woodland than any other area of the county. Plus, home prices in Woodland declined 18% in 2006 and 19% in 2007 after double-digit gains in five out of the six previous years. In addition to my Davis homes for sale website, I also have a site focused on Woodland Real Estate.

Since one of the first commandments of real estate investors is to "Buy Right", it would seem that the better opportunity is in Woodland. Many of the homes that met the criteria in Woodland were vacant and a good number are bank owned, indicating that the asking price may have good flexibility.

We may look back and find that 2008 was the best time to buy well-priced single-family homes, by taking advantage of low interest rates and temporarily depressed home prices.