Are there any "Break Even" residential properties to invest in?

Real Estate Agent with Coldwell Banker Sky Ridge Realty

Lake Arrowhead

For years I have had clients ask me if there are any residential properties for sale that would be a "Break Even" scenario.  My answer would be something like - "if you put 50% down".

Market Rent is 1% of the property value, is the rule of thumb I used to tell clients 30 years ago.  You can "Break Even" then.  But over the years selling prices quickly increased and grew faster than rental values.  So, the answer has basically been NO. Recently, if asked I would say that the rule of thumb market rent was 0.5% of the property value. 

Priced at $114,000

The current economy has changed all that.  Our real estate market with low property prices, low interest rates and healthy rental returns have opened up windows of opportunity for small investors to break even and even have cash flows again. This is even true in the Lake Arrowhead community that I love and serve.  You can search listings in the Lake Arrowhead and surrounding communities at my exclusive public  portal  You can also view comparable rents at this link:  When I do the search right now, I see about 20 properties that stand out.  For more information about these listings and opportunities contact





Comments (1)

MichelleCherie Carr Crowe .Just Call. 408-252-8900
Get Results Team...Just Call (408) 252-8900! . DRE #00901962 . Licensed to Sell since 1985 . Altas Realty - San Jose, CA
Family Helping Families Buy & Sell Homes 40+ Years

Good points. FYI, I just re-blogged it.

Jul 02, 2010 11:10 AM