Jeannie Niles Real Estate Investment
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Multi-Family Palm Springs Area
Multi-family properties have been the hardest hit segment in the desert area for number of sales during the current real estate downturn.
In July, 13 multi-family properties went into escrow, the largest number in over a year! Of the 13 properties, 11 were REO! The two non foreclosure sales were a high end quality 16 unit building in South Palm Desert and a 5 unit moderate building in Central Palm Springs.
All of the REO sales were older, fixer properties with tenant problems or were vacant. There are some opportunities in this area of the market. Investors need to be prepared to spend some time and money to resolve the problems with the properties however. This can often be lucrative so long as you know what you are doing and what to expect.
There have been a fewer number of foreclosure properties in multi-family because this type of property is mostly “investor owned” which means at least 20% down payment was made when properties were acquired. Owners with equity are less inclined to reduce their prices to compete with REO’s.
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Income property has once again become “Income property”.
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There are many small income properties available in the area. Prices here have declined over 50% since the peak of the market late 2005/early 2007.
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It’s possible to obtain some great apartment financing. 25% down payment and interest rates at 6% or slightly below.
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Cap Rate is an investment tool for analysis that enables an investor to compare one investment to another.
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Cap Rate is the best tool for determining the value of an income property.
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Some of the most outrageous episodes in property ownership that the owners lived to tell about.
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Only 5% sales agents or brokers actually own investment property, and only 10% actually sell a property.
Every investor's situation is unique, and I have over 25 years experience solving problems. Use the form below to ask me about your unique needs.
Jeannie Niles Real Estate Investment
P.O. Box 317
Palm Desert, CA 92261
P: (760) 360-4020
F: (760) 340-9069
E: jniles@realestate-investment.com
