It is no mystery that inventory is up all over town, particularly when we look at condos and apartments. We have noticed a push toward renting homes, and have had much success in getting higher rents for 3 and 4 bedroom homes in almost every area. We believe the foreclosure market is the likely culprit, as it has been keeping the inventory of available homes lower than it would normally be, as Bank-owned properties remain off the market.
We have been approached by a bank to manage their REO's, a first for us. I suppose the banks are tired of having to care for the lawns of these seized properties, and getting some rental income along with a tenant to care for the home and keep it from being vandalized is a big plus.
It will be interesting to see what the market does when the sales have finally bottomed out. Already, we see speculative investors buying up everything in the $200k and under range. As a Broker in property management that does no sales, I can judge the market by the look of the many faces of agents and brokers that attend our local SAR meeting. Their faces are not as long as they used to be, and smiles are creeping back into the room. While not a scientific approach to assessing the market, it works for us.
We offer a free housing survey, available on the Owner Services page of our website at www.investorschoicepm.com. Many real estate professionals find this information useful in dealing with their investor clients that want detailed information on rental rates throughout the greater Sacramento region.
Thomas Martin
Broker, ICPM
916-770-9707 Work
916-722-2121 FAX
tmartin@investorschoicepm.com
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