Ultimate Bakersfield Real Estate Investing Guide for 2024

Overview

Bakersfield Real Estate Investing Market Overview

Over the most recent ten years, the population growth rate in Bakersfield has a yearly average of . The national average for the same period was with a state average of .

The overall population growth rate for Bakersfield for the last ten-year period is , in comparison to for the state and for the country.

Presently, the median home value in Bakersfield is . In comparison, the median price in the country is , and the median value for the total state is .

Home values in Bakersfield have changed throughout the last 10 years at a yearly rate of . During that time, the annual average appreciation rate for home values for the state was . In the whole country, the annual appreciation tempo for homes was at .

If you look at the rental market in Bakersfield you’ll discover a gross median rent of , in contrast to the state median of , and the median gross rent throughout the United States of .

Bakersfield Real Estate Investing Highlights

Bakersfield Top Highlights

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Based on latest data from the US Census Bureau
Based on latest data from the US Census Bureau

Strategies

Strategy Selection

In order to determine if a location is acceptable for investing, first it’s basic to determine the real estate investment plan you are going to use.

The following comments are comprehensive directions on which data you need to consider based on your strategy. Apply this as a manual on how to take advantage of the information in these instructions to uncover the prime markets for your real estate investment criteria.

All investing professionals ought to look at the most critical site factors. Easy connection to the market and your proposed neighborhood, safety statistics, dependable air transportation, etc. Beyond the fundamental real estate investment market criteria, various kinds of real estate investors will look for different site assets.

Events and amenities that draw visitors will be vital to short-term landlords. Fix and Flip investors need to know how soon they can unload their improved real estate by looking at the average Days on Market (DOM). If you see a six-month stockpile of residential units in your value category, you may need to look somewhere else.

Rental real estate investors will look cautiously at the local employment statistics. The employment stats, new jobs creation pace, and diversity of employers will indicate if they can anticipate a stable supply of renters in the town.

Those who can’t determine the preferred investment method, can consider using the experience of Bakersfield top property investment coaches. An additional useful idea is to participate in any of Bakersfield top real estate investor groups and attend Bakersfield investment property workshops and meetups to meet various professionals.

Now, we will consider real estate investment approaches and the most effective ways that investors can inspect a proposed real property investment location.

Active Real Estate Investing Strategies

Buy and Hold

The buy and hold strategy involves buying a property and holding it for a significant period of time. During that time the property is used to generate rental income which multiplies your profit.

At any point in the future, the asset can be sold if capital is required for other investments, or if the resale market is really strong.

A top expert who is graded high on the list of professional real estate agents serving investors in Bakersfield CA will direct you through the particulars of your preferred property purchase locale. Below are the components that you need to consider most completely for your long term venture plan.

 

Factors to Consider

Property Appreciation Rate

This parameter is important to your investment market decision. You must see a dependable yearly increase in property prices. Long-term asset growth in value is the underpinning of the entire investment plan. Shrinking appreciation rates will probably convince you to remove that market from your checklist altogether.

Population Growth

If a site’s populace is not growing, it obviously has a lower need for residential housing. Anemic population expansion contributes to lower property market value and rent levels. People migrate to locate superior job possibilities, better schools, and secure neighborhoods. You want to skip such markets. Look for markets with stable population growth. Both long- and short-term investment measurables improve with population growth.

Property Taxes

Real estate taxes are a cost that you will not avoid. You want a city where that cost is reasonable. Regularly expanding tax rates will typically continue increasing. A city that often increases taxes may not be the well-managed community that you are hunting for.

It occurs, nonetheless, that a particular property is erroneously overvalued by the county tax assessors. In this occurrence, one of the best property tax appeal companies in Bakersfield CA can demand that the area’s municipality examine and potentially lower the tax rate. Nonetheless, in atypical circumstances that compel you to go to court, you will want the assistance from property tax attorneys in Bakersfield CA.

Price to rent ratio

Price to rent ratio (p/r) is calculated when you start with the median property price and divide it by the annual median gross rent. A low p/r shows that higher rents can be charged. You want a low p/r and higher lease rates that will pay off your property faster. You don’t want a p/r that is so low it makes acquiring a house cheaper than leasing one. This may drive tenants into acquiring a residence and expand rental vacancy ratios. However, lower p/r indicators are generally more desirable than high ratios.

Median Gross Rent

Median gross rent is a good indicator of the stability of a community’s rental market. Regularly expanding gross median rents show the type of robust market that you seek.

Median Population Age

Residents’ median age will show if the city has a reliable worker pool which indicates more possible tenants. If the median age approximates the age of the city’s workforce, you will have a dependable pool of renters. A median age that is unreasonably high can predict increased impending demands on public services with a declining tax base. An older population can result in more property taxes.

Employment Industry Diversity

Buy and Hold investors do not like to discover the location’s job opportunities concentrated in too few companies. A stable market for you features a different collection of business types in the community. Variety stops a downtrend or interruption in business for a single business category from hurting other industries in the community. You do not want all your renters to lose their jobs and your rental property to depreciate because the sole dominant employer in the area went out of business.

Unemployment Rate

If unemployment rates are excessive, you will discover not many desirable investments in the town’s residential market. This demonstrates possibly an unstable income stream from existing renters already in place. Excessive unemployment has an expanding impact through a community causing shrinking transactions for other employers and lower salaries for many workers. Steep unemployment figures can harm a community’s capability to draw new businesses which affects the community’s long-term financial health.

Income Levels

Income levels will give you an accurate view of the area’s capability to uphold your investment program. Buy and Hold landlords research the median household and per capita income for targeted segments of the area as well as the region as a whole. Increase in income signals that tenants can make rent payments on time and not be intimidated by progressive rent escalation.

Number of New Jobs Created

Statistics describing how many jobs are created on a recurring basis in the community is a vital means to conclude if a city is best for your long-term investment plan. A reliable source of renters needs a growing employment market. The formation of new openings keeps your tenancy rates high as you purchase additional investment properties and replace departing tenants. A supply of jobs will make a community more enticing for settling and purchasing a home there. A vibrant real property market will help your long-range plan by generating an appreciating resale value for your property.

School Ratings

School quality should be an important factor to you. Moving employers look carefully at the condition of local schools. Good local schools also change a family’s decision to stay and can entice others from other areas. The stability of the desire for homes will determine the outcome of your investment endeavours both long and short-term.

Natural Disasters

With the main plan of unloading your investment subsequent to its appreciation, its physical status is of the highest interest. For that reason you will need to stay away from markets that often have troublesome natural disasters. Nonetheless, you will always have to protect your property against catastrophes normal for the majority of the states, such as earthquakes.

To cover real estate loss generated by renters, search for assistance in the directory of the best Bakersfield insurance companies for rental property owners.

Long Term Rental (BRRRR)

A long-term wealth growing strategy that involves Buying a rental, Renovating, Renting, Refinancing it, and Repeating the procedure by employing the cash from the refinance is called BRRRR. When you desire to grow your investments, the BRRRR is a proven strategy to follow. It is a must that you be able to do a “cash-out” refinance for the system to be successful.

The After Repair Value (ARV) of the rental has to total more than the total acquisition and renovation costs. The rental is refinanced using the ARV and the difference, or equity, comes to you in cash. You purchase your next rental with the cash-out amount and do it anew. You add income-producing assets to your portfolio and lease revenue to your cash flow.

Once you have created a significant list of income creating real estate, you can prefer to allow others to manage your rental business while you get mailbox net revenues. Locate one of property management companies in Bakersfield CA with the help of our complete list.

 

Factors to Consider

Population Growth

Population increase or loss shows you if you can expect strong returns from long-term real estate investments. When you see robust population growth, you can be confident that the market is attracting potential renters to the location. Moving businesses are drawn to increasing locations providing job security to households who move there. A rising population creates a certain foundation of renters who can stay current with rent increases, and an active seller’s market if you need to sell any properties.

Property Taxes

Real estate taxes, maintenance, and insurance costs are investigated by long-term rental investors for calculating expenses to estimate if and how the plan will pay off. Unreasonable expenses in these categories jeopardize your investment’s bottom line. Areas with unreasonable property taxes aren’t considered a dependable environment for short- and long-term investment and must be bypassed.

Price to Rent Ratio

The price to rent ratio (p/r) is a contrast of median property prices and median rental rates that will signal how high of a rent the market can handle. How much you can demand in an area will determine the sum you are able to pay based on the number of years it will take to recoup those funds. A large p/r tells you that you can set lower rent in that region, a lower ratio signals you that you can collect more.

Median Gross Rents

Median gross rents are a true benchmark of the approval of a lease market under discussion. Search for a steady expansion in median rents over time. If rents are declining, you can scratch that region from consideration.

Median Population Age

The median citizens’ age that you are hunting for in a vibrant investment environment will be close to the age of salaried individuals. You’ll discover this to be factual in locations where workers are migrating. A high median age illustrates that the existing population is leaving the workplace without being replaced by younger people migrating in. A dynamic economy cannot be bolstered by retired professionals.

Employment Base Diversity

Accommodating diverse employers in the location makes the market less unpredictable. If there are only a couple major hiring companies, and one of such relocates or closes shop, it can make you lose renters and your property market worth to go down.

Unemployment Rate

You won’t be able to get a stable rental cash flow in a location with high unemployment. Out-of-work citizens cease being clients of yours and of other companies, which produces a ripple effect throughout the community. The still employed people may see their own wages reduced. This could increase the instances of missed rent payments and lease defaults.

Income Rates

Median household and per capita income will tell you if the tenants that you require are living in the area. Improving incomes also tell you that rents can be raised throughout the life of the property.

Number of New Jobs Created

The vibrant economy that you are on the lookout for will be generating enough jobs on a regular basis. An economy that provides jobs also increases the amount of participants in the property market. Your strategy of leasing and buying additional rentals needs an economy that can generate more jobs.

School Ratings

School ratings in the area will have a strong effect on the local residential market. Well-graded schools are a prerequisite for employers that are looking to relocate. Business relocation creates more renters. Real estate prices gain with new employees who are homebuyers. Reputable schools are an essential ingredient for a strong real estate investment market.

Property Appreciation Rates

Real estate appreciation rates are an important part of your long-term investment plan. You need to know that the chances of your real estate raising in price in that neighborhood are likely. You don’t want to spend any time inspecting areas with unimpressive property appreciation rates.

Short Term Rentals

A furnished house or condo where clients stay for shorter than 4 weeks is regarded as a short-term rental. The nightly rental prices are typically higher in short-term rentals than in long-term units. Because of the increased number of renters, short-term rentals involve additional regular care and cleaning.

Typical short-term renters are people on vacation, home sellers who are waiting to close on their replacement home, and people on a business trip who want more than a hotel room. Regular property owners can rent their homes on a short-term basis with websites such as AirBnB and VRBO. A convenient technique to get started on real estate investing is to rent a condo or house you currently keep for short terms.

Short-term rental units require interacting with occupants more often than long-term rentals. That dictates that property owners handle disagreements more frequently. Give some thought to managing your exposure with the support of one of the best real estate law firms in Bakersfield CA.

 

Factors to Consider

Short-Term Rental Income

You should calculate the amount of rental revenue you’re searching for based on your investment calculations. An area’s short-term rental income rates will quickly tell you when you can assume to accomplish your estimated income range.

Median Property Prices

You also have to know the budget you can bear to invest. Search for communities where the purchase price you prefer correlates with the present median property values. You can narrow your market search by analyzing the median market worth in specific neighborhoods.

Price Per Square Foot

Price per sq ft provides a basic picture of property values when considering similar real estate. If you are examining the same kinds of real estate, like condos or detached single-family residences, the price per square foot is more reliable. It may be a quick way to compare multiple communities or homes.

Short-Term Rental Occupancy Rate

The number of short-term rental units that are presently occupied in a location is vital knowledge for an investor. A region that requires new rental properties will have a high occupancy level. Weak occupancy rates denote that there are more than too many short-term rentals in that area.

Short-Term Rental Cash-on-Cash Return

Cash-on-cash return is a means to evaluate the value of an investment venture. Take your projected Net Operating Income (NOI) and divide it by the cash amount you’re ready to invest. The result you get is a percentage. The higher it is, the more quickly your investment will be returned and you will begin generating profits. When you take a loan for a portion of the investment and use less of your own funds, you will realize a higher cash-on-cash return.

Average Short-Term Rental Capitalization (Cap) Rates

Another measurement illustrates the value of real estate as a return-yielding asset — average short-term rental capitalization (cap) rate. A rental unit that has a high cap rate as well as charging average market rental rates has a good value. If properties in a market have low cap rates, they generally will cost more. Divide your projected Net Operating Income (NOI) by the investment property’s market value or listing price. This presents you a percentage that is the annual return, or cap rate.

Local Attractions

Short-term tenants are usually travellers who visit a community to enjoy a recurrent significant activity or visit unique locations. People go to specific cities to enjoy academic and sporting events at colleges and universities, be entertained by competitions, support their children as they compete in fun events, have the time of their lives at annual carnivals, and go to adventure parks. At certain periods, places with outside activities in the mountains, at beach locations, or near rivers and lakes will bring in crowds of people who require short-term housing.

Fix and Flip

To fix and flip a house, you need to pay below market value, make any needed repairs and updates, then sell it for higher market value. To get profit, the investor needs to pay less than the market value for the property and determine how much it will cost to rehab the home.

You also have to analyze the resale market where the house is located. You always want to research how long it takes for listings to sell, which is determined by the Days on Market (DOM) metric. Selling real estate quickly will keep your costs low and guarantee your revenue.

Assist compelled real estate owners in locating your firm by placing your services in our catalogue of Bakersfield cash property buyers and top Bakersfield real estate investment firms.

Additionally, search for the best real estate bird dogs in Bakersfield CA. Specialists in our directory specialize in securing distressed property investment opportunities while they’re still under the radar.

 

Factors to Consider

Median Home Price

When you search for a good market for house flipping, look at the median home price in the neighborhood. You are searching for median prices that are modest enough to reveal investment possibilities in the area. You have to have cheaper properties for a successful fix and flip.

When regional information indicates a fast decrease in real estate market values, this can highlight the availability of possible short sale houses. Investors who team with short sale processors in Bakersfield CA get regular notifications concerning possible investment properties. You’ll discover more information about short sales in our article ⁠— How to Buy a Pre-Foreclosure Short Sale Home?.

Property Appreciation Rate

Dynamics relates to the route that median home prices are treading. You want a region where property values are constantly and continuously going up. Accelerated property value increases could indicate a value bubble that isn’t reliable. Acquiring at an inappropriate period in an unreliable market condition can be problematic.

Average Renovation Costs

A careful study of the community’s building costs will make a substantial impact on your location choice. Other expenses, like clearances, could shoot up your budget, and time which may also turn into additional disbursement. You want to know whether you will have to use other experts, like architects or engineers, so you can get ready for those costs.

Population Growth

Population increase is a solid indicator of the reliability or weakness of the area’s housing market. Flat or declining population growth is an indicator of a poor market with not enough purchasers to validate your effort.

Median Population Age

The median population age is a direct indication of the presence of possible home purchasers. It mustn’t be lower or higher than that of the regular worker. A high number of such residents indicates a significant supply of homebuyers. The goals of retired people will most likely not be included your investment project plans.

Unemployment Rate

While evaluating a community for investment, keep your eyes open for low unemployment rates. It should always be less than the US average. A very good investment location will have an unemployment rate lower than the state’s average. If they want to buy your improved homes, your potential clients have to work, and their customers as well.

Income Rates

Median household and per capita income are a solid indication of the stability of the home-purchasing environment in the community. The majority of people who acquire a house need a mortgage loan. Their wage will determine how much they can afford and whether they can buy a house. The median income levels will show you if the location is beneficial for your investment endeavours. Search for places where the income is growing. When you want to raise the asking price of your homes, you want to be certain that your clients’ income is also improving.

Number of New Jobs Created

The number of jobs created every year is valuable information as you contemplate on investing in a particular region. A larger number of citizens acquire houses if their region’s financial market is generating jobs. With additional jobs appearing, new prospective home purchasers also move to the region from other locations.

Hard Money Loan Rates

Short-term property investors regularly borrow hard money loans instead of typical loans. Hard money financing products allow these purchasers to take advantage of pressing investment possibilities immediately. Discover the best hard money lenders in Bakersfield CA so you can match their charges.

If you are inexperienced with this funding product, learn more by using our guide — What Are Hard Money Loans?.

Wholesaling

As a real estate wholesaler, you enter a sale and purchase agreement to purchase a residential property that other investors might be interested in. When an investor who wants the property is found, the contract is assigned to them for a fee. The real estate investor then completes the acquisition. The real estate wholesaler does not sell the property under contract itself — they only sell the rights to buy it.

This business requires using a title firm that’s experienced in the wholesale contract assignment procedure and is capable and predisposed to handle double close transactions. Look for title companies that work with wholesalers in Bakersfield CA in our directory.

To learn how real estate wholesaling works, look through our informative article Complete Guide to Real Estate Wholesaling as an Investment Strategy. As you choose wholesaling, add your investment company in our directory of the best investment property wholesalers in Bakersfield CA. This will let your possible investor purchasers locate and contact you.

 

Factors to Consider

Median Home Prices

Median home values in the region will inform you if your designated purchase price range is achievable in that market. Since investors prefer investment properties that are available below market value, you will need to find reduced median purchase prices as an indirect tip on the potential source of residential real estate that you could purchase for below market worth.

A quick decline in home worth may lead to a large selection of ’upside-down’ homes that short sale investors hunt for. Short sale wholesalers frequently gain benefits using this method. But it also creates a legal risk. Find out about this from our guide Can I Wholesale a Short Sale Home?. When you’re ready to begin wholesaling, search through Bakersfield top short sale lawyers as well as Bakersfield top-rated foreclosure law offices lists to find the appropriate advisor.

Property Appreciation Rate

Median home price dynamics are also critical. Real estate investors who want to sell their properties in the future, like long-term rental landlords, need a place where residential property values are growing. Dropping purchase prices illustrate an equivalently poor rental and housing market and will dismay real estate investors.

Population Growth

Population growth stats are an important indicator that your future real estate investors will be knowledgeable in. If the population is expanding, more housing is required. This involves both leased and ‘for sale’ properties. If a community isn’t multiplying, it does not need new residential units and real estate investors will invest in other areas.

Median Population Age

Real estate investors need to participate in a strong property market where there is a good source of tenants, first-time homeowners, and upwardly mobile residents buying more expensive properties. This necessitates a robust, stable labor pool of citizens who are confident enough to step up in the housing market. That is why the area’s median age needs to be the age of skilled workers in the workplace.

Income Rates

The median household and per capita income will be improving in a vibrant real estate market that investors want to operate in. Income increment proves a market that can absorb rental rate and real estate price increases. Investors avoid locations with poor population salary growth numbers.

Unemployment Rate

Real estate investors will take into consideration the region’s unemployment rate. Late lease payments and default rates are widespread in areas with high unemployment. This negatively affects long-term investors who plan to rent their real estate. High unemployment causes uncertainty that will stop interested investors from purchasing a house. This makes it tough to find fix and flip investors to buy your purchase agreements.

Number of New Jobs Created

Learning how frequently fresh jobs are created in the region can help you see if the real estate is positioned in a robust housing market. Job creation suggests more employees who require a place to live. This is beneficial for both short-term and long-term real estate investors whom you count on to purchase your wholesale real estate.

Average Renovation Costs

Renovation spendings will be essential to most investors, as they typically purchase cheap distressed homes to rehab. The price, plus the expenses for renovation, should be less than the After Repair Value (ARV) of the home to allow for profitability. Lower average restoration costs make a region more desirable for your priority clients — rehabbers and landlords.

Mortgage Note Investing

Note investing includes obtaining debt (mortgage note) from a lender at a discount. When this occurs, the note investor becomes the debtor’s lender.

When a mortgage loan is being repaid on time, it is thought of as a performing loan. Performing loans give you monthly passive income. Note investors also invest in non-performing mortgage notes that the investors either rework to assist the borrower or foreclose on to get the property less than actual worth.

One day, you could have multiple mortgage notes and require additional time to manage them on your own. At that point, you may need to utilize our list of Bakersfield top loan servicers and reassign your notes as passive investments.

Should you choose to attempt this investment method, you ought to put your project in our directory of the best promissory note buyers in Bakersfield CA. When you do this, you will be discovered by the lenders who market lucrative investment notes for purchase by investors like yourself.

 

Factors to Consider

Foreclosure Rates

Mortgage note investors hunting for valuable loans to acquire will prefer to see low foreclosure rates in the area. Non-performing note investors can carefully take advantage of locations that have high foreclosure rates as well. If high foreclosure rates have caused a weak real estate market, it may be tough to resell the property if you foreclose on it.

Foreclosure Laws

Experienced mortgage note investors are thoroughly aware of their state’s laws for foreclosure. Some states use mortgage paperwork and others use Deeds of Trust. Lenders might need to get the court’s approval to foreclose on a house. Lenders don’t need the judge’s permission with a Deed of Trust.

Mortgage Interest Rates

The mortgage interest rate is indicated in the mortgage notes that are bought by note buyers. Your mortgage note investment return will be impacted by the interest rate. Mortgage interest rates are important to both performing and non-performing mortgage note buyers.

Conventional interest rates may vary by as much as a 0.25% around the US. The stronger risk accepted by private lenders is accounted for in higher mortgage loan interest rates for their loans in comparison with conventional loans.

Mortgage note investors should always know the prevailing local interest rates, private and conventional, in potential note investment markets.

Demographics

A community’s demographics statistics assist mortgage note investors to focus their work and appropriately use their assets. It is critical to find out whether an adequate number of residents in the area will continue to have stable employment and wages in the future.
A youthful expanding market with a strong job market can provide a reliable revenue stream for long-term note buyers searching for performing mortgage notes.

Non-performing note investors are reviewing similar indicators for other reasons. A resilient regional economy is required if investors are to reach buyers for properties on which they have foreclosed.

Property Values

As a mortgage note investor, you should search for deals having a comfortable amount of equity. When the investor has to foreclose on a mortgage loan with lacking equity, the foreclosure auction may not even repay the balance owed. The combined effect of loan payments that lower the loan balance and annual property value appreciation raises home equity.

Property Taxes

Escrows for real estate taxes are typically paid to the mortgage lender along with the loan payment. So the lender makes sure that the property taxes are submitted when due. The mortgage lender will need to compensate if the payments stop or the investor risks tax liens on the property. If property taxes are delinquent, the municipality’s lien leapfrogs all other liens to the front of the line and is taken care of first.

Since property tax escrows are combined with the mortgage payment, increasing property taxes mean higher mortgage loan payments. Delinquent clients might not have the ability to keep up with increasing payments and might cease making payments altogether.

Real Estate Market Strength

Both performing and non-performing mortgage note investors can do business in a growing real estate market. It’s crucial to understand that if you need to foreclose on a collateral, you won’t have difficulty getting an appropriate price for the property.

Strong markets often open opportunities for private investors to generate the first loan themselves. It is an added stage of a note buyer’s career.

Passive Real Estate Investing Strategies

Syndications

A syndication is a partnership of people who gather their capital and talents to invest in real estate. One person arranges the investment and enrolls the others to invest.

The individual who arranges the Syndication is called the Sponsor or the Syndicator. It’s their job to conduct the acquisition or creation of investment properties and their use. The Sponsor handles all partnership details including the disbursement of profits.

Syndication partners are passive investors. They are offered a certain portion of any net revenues following the procurement or construction completion. These partners have nothing to do with managing the company or managing the use of the property.

 

Factors to Consider

Real Estate Market

Choosing the kind of area you want for a profitable syndication investment will require you to know the preferred strategy the syndication project will be operated by. The earlier sections of this article talking about active real estate investing will help you choose market selection requirements for your possible syndication investment.

Sponsor/Syndicator

As a passive investor entrusting the Syndicator with your funds, you ought to consider their reputation. Profitable real estate Syndication depends on having a successful experienced real estate pro for a Sponsor.

The syndicator might not invest any funds in the project. But you want them to have skin in the game. In some cases, the Sponsor’s stake is their effort in finding and arranging the investment project. In addition to their ownership percentage, the Syndicator may receive a payment at the beginning for putting the syndication together.

Ownership Interest

All members hold an ownership interest in the partnership. Everyone who places money into the company should expect to own a higher percentage of the company than partners who don’t.

Investors are often allotted a preferred return of profits to induce them to invest. When profits are reached, actual investors are the first who are paid an agreed percentage of their investment amount. Profits in excess of that amount are split between all the participants based on the size of their ownership.

When partnership assets are sold, profits, if any, are paid to the owners. In a strong real estate market, this can provide a big boost to your investment returns. The participants’ portion of interest and profit distribution is written in the syndication operating agreement.

REITs

A REIT, or Real Estate Investment Trust, means a business that makes investments in income-producing properties. This was originally done as a way to enable the regular person to invest in real estate. The typical person has the funds to invest in a REIT.

Shareholders’ involvement in a REIT falls under passive investing. The liability that the investors are taking is diversified within a selection of investment real properties. Shares in a REIT may be sold whenever it is agreeable for you. However, REIT investors do not have the ability to choose specific investment properties or markets. Their investment is limited to the real estate properties chosen by the REIT.

Real Estate Investment Funds

Real estate investment funds are basically mutual funds specializing in real estate companies, including REITs. The fund doesn’t own properties — it owns shares in real estate companies. This is an additional way for passive investors to spread their portfolio with real estate avoiding the high entry-level cost or risks. Whereas REITs must distribute dividends to its members, funds don’t. As with any stock, investment funds’ values go up and drop with their share price.

You may select a fund that concentrates on particular segments of the real estate industry but not particular areas for each real estate investment. Your choice as an investor is to choose a fund that you believe in to oversee your real estate investments.

Housing

Bakersfield Housing 2024

In Bakersfield, the median home market worth is , at the same time the state median is , and the nation’s median market worth is .

The average home appreciation percentage in Bakersfield for the past decade is annually. The state’s average during the previous 10 years was . The ten year average of year-to-year housing value growth across the US is .

Regarding the rental industry, Bakersfield has a median gross rent of . Median gross rent throughout the state is , with a US gross median of .

Bakersfield has a home ownership rate of . The statewide homeownership rate is presently of the population, while nationally, the percentage of homeownership is .

The percentage of properties that are resided in by tenants in Bakersfield is . The entire state’s pool of leased residences is rented at a rate of . Nationally, the rate of tenanted residential units is .

The occupied rate for residential units of all sorts in Bakersfield is , with a corresponding unoccupied rate of .

Housing Quick Stats
Home Appreciation Rate(2010-2020)
Median Home Value
Median Gross Rent
Price To Rent Ratio
Home Ownership Rate
Tenant Occupied Rate
Average Property Tax Rate

Bakersfield Home Ownership

Bakersfield Rent & Ownership

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Bakersfield Rent Vs Owner Occupied By Household Type

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Bakersfield Occupied & Vacant Number Of Homes And Apartments

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Bakersfield Household Type

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Bakersfield Property Types

Bakersfield Age Of Homes

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Bakersfield Types Of Homes

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Bakersfield Homes Size

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Marketplace

Bakersfield Investment Property Marketplace

If you are looking to invest in Bakersfield real estate, our Investment Property Marketplace can become your indispensable tool in your investing business. To help you easily find the best off-market deals in the Bakersfield area, we created a nationwide investor-friendly online platform. Use it to shop for lucrative off-market properties for sale according to your specific buying criteria.

Unlike other real estate listing websites, our marketplace’s interface is particularly designed for investors. Besides the purchase price, you can see other, essential to investors, key indicators such as: rehab costs and ARV, potential profit, FSBO, or realtor-assisted deal, and others. To get started, visit our marketplace and search for Bakersfield investment properties for sale.

Bakersfield Investment Properties for Sale

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Sell Your Bakersfield Property

List your investment property for free in 3 quick steps and start getting
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Financing

Bakersfield Real Estate Investing Financing

If you are looking for a loan to finance investment property purchase, rehab or ground up construction in Bakersfield CA, easily get quotes from multiple lenders at once and compare rates.

Fill out our quick online real estate financing application form to receive multiple quotes for your preferred type of loan from our preferred Bakersfield private and hard money lenders.

Bakersfield Investment Property Loan Types

Check out some of the most popular real estate loans provided by top local lenders in Bakersfield, CA
  • Rehab Loans
  • Fix and Flip Loans
  • Bridge Loans
  • Asset Based Loans
  • Cash Out/Refinance Loans
  • Transactional Funding
  • Transactional Hard Money Loans
  • Private Money Loans
  • New Construction Loans

Compare Investment Property Loan Rates in Bakersfield

Receive multiple offers from best private and hard money lenders and get access to unlimited capital to fund any type of real estate investment property!
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Population

Bakersfield Population Over Time

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Bakersfield Population By Year

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Bakersfield Population By Age And Sex

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Based on latest data from the US Census Bureau

Economy

Bakersfield Economy 2024

In Bakersfield, the median household income is . The state’s citizenry has a median household income of , while the United States’ median is .

The average income per capita in Bakersfield is , compared to the state average of . is the per capita income for the United States in general.

Salaries in Bakersfield average , next to throughout the state, and nationwide.

In Bakersfield, the rate of unemployment is , whereas the state’s rate of unemployment is , as opposed to the nation’s rate of .

The economic picture in Bakersfield includes a total poverty rate of . The overall poverty rate across the state is , and the nationwide figure stands at .

Economy Quick Stats
Unemployment Rate
Median Household Income
Per Capita Income
Overall Poverty Rate
Average Salary
Property Price To Income Ratio
Salary Change Rate (2010-2020)

Bakersfield Residents’ Income

Bakersfield Median Household Income

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Bakersfield Per Capita Income

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Bakersfield Income Distribution

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Bakersfield Poverty Over Time

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Bakersfield Property Price To Income Ratio Over Time

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Based on latest data from the US Census Bureau

Bakersfield Job Market

Bakersfield Employment Industries (Top 10)

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Based on latest data from the US Census Bureau

Bakersfield Unemployment Rate

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Bakersfield Employment Distribution By Age

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Bakersfield Average Salary Over Time

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Bakersfield Employment Rate Over Time

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Bakersfield Employed Population Over Time

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Schools

Bakersfield School Ratings

The public education curriculum in Bakersfield is K-12, with elementary schools, middle schools, and high schools.

The high school graduating rate in the Bakersfield schools is .

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Bakersfield School Ratings

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Bakersfield Neighborhoods