Why Invest in Bakersfield Real Estate?
Although not a widely known location in itself, Bakersfield has made the list of the hottest markets in the US. Thanks to an increase in young families moving to Bakersfield, single-family homes are in high demand.
Known as the West Coast capital of country music, Bakersfield is otherwise a low-profile city in the Kern County. Since it has more culture than ever before, its student population is thriving, which makes it a great place for investing in commercial properties. With its construction and healthcare industries steadily expanding, Bakersfield boasts an increasing number of higher-skilled positions. All things considered, it is a city that promises stable growth in terms of occupancy and appreciation rates.
Investment Considerations for Bakersfield Real Estate
- Economic boom – While the unemployment rate is still 5.5% – higher than in the rest of California (4.3%) – Bakersfield’s job market is experiencing positive trends. There is an increase in the number of higher-skilled positions, as well as a significant industrial growth, especially in construction and healthcare. All this makes the city a lot more inviting for renters and homebuyers.
- Affordability of Family HomesThe median home price in Bakersfield is $248,000, which is less by a half than what you would have to give in most other states. The city is a lot more affordable when it comes to living costs as well – while less than half a percent of teachers can afford to buy their own property in Los Angeles, 77% of them can do it in Bakersfield. To a real estate investor, this means lower investment costs and relatively high rents.
- Lower Percentage of Young People LeavingBefore the situation in Bakersfield started changing, a lot of high-school graduates went to other cities for their studies. With prices in larger metro areas rising and amenities in Bakersfield becoming more diverse, a large percentage of young people are choosing to stay in the city. An increase in student population opens up a whole set of new opportunities for real estate investors.
- Influx of Young Families and Retireees– In 2018, Bakersfield was ranked 9th most attractive housing market in the US. It is mostly due to young families looking for a more affordable place to live where they could still get a higher standard of living. Retirees are also realizing that Bakersfield offers a lot more than neighboring cities for the same, if not lower price. For a real estate investor, this translates into higher demand and possibilities for turning profit on both selling and renting properties.
What are the Best Neighborhoods to Invest in Bakersfield
The North West is currently the most attractive part of Bakersfield. It draws young families in search of quiet neighborhoods and good schools. To someone in search of real estate opportunities in Bakersfield, this presents the ideal chance to invest in single-family homes that can be rented or sold for a profit
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