The real estate market has been a big fish for several investors in recent times, and this is because housing is an essential amenity for just everyone. Investors consider several options before putting their money into the market; however, some areas fulfil these factors and are still relatively untapped by several investors. One of these areas is Sacramento, the capital of California.
There are several reasons why we feel investors should begin to consider choosing this option over other California major cities. Some of the reasons are considered below:
According to recent statistics, California’s median property price is almost twice as much as that of Sacramento. Although both of these cities have figures that are double that of the US median, on when giving a critical consideration, Sacramento is more affordable.
It will be easier to buy more properties and rentals in an area with a median price of $416,133, compared to another location that is twice as much. This means that the money you will use to buy properties in California can do twice as much in Sacramento.
LOW COST OF LIVING
More people are willing to live in Sacramento, over California, or the other surrounding cities because the cost of living is low in this city. According to a report from NerdWallet, the cost of living in Sacramento is 26% lower than that of San Diego and Los Angeles, 65% lower than that of San Francisco and 32% lower than Oakland’s.
This is good news for investors because properties bought or built-in Sacramento will get more attention than those in neighboring cities. In addition, the fact that home values are rising is another good reason investors will earn massively in Sacramento.
FAST GROWING ECONOMY
The economy of Sacramento is enjoying a boom in recent times because of the influx of new firms and industries into the city. This is traceable to the high cost of living and the relatively expensive lifestyle in Silicon Valley and the neighboring Bay areas. Hence, more companies are beginning to consider choosing Sacramento over these areas. This, in turn, will create employment opportunities and cause an influx of people into the city.
Apart from this, the educational sector and the agricultural sector of the city are creating more job opportunities by the day. The healthcare system is also looking for productive ways to cater to the community by taking care of them and creating more job opportunities.
The good economic trend is causing more people to begin relocating to Sacramento, which is positive news for intending investors. This is because more people will come to the city, increasing the demand for houses and properties. This will increase the value of homes in the community, which will make investors gain in the long run.
The reasons listed above are only some of the several reasons why newbie investors and industry experts should consider putting their money and resources into Sacramento’s real estate business. The increase in home value now is nothing compared to what is to come.