Palm Springs is corrected. The property market is strong and the market rental properties has never been better. It won’t always be this way and of course, there are always corrections to watch for. But Palm Springs and surrounding areas continue to outperform similar size communities all over California and the nation as a whole.
As the Baby Boomers continue to retire, they’re still going to be looking for their spot in the sun. And Palm Springs has a lot of sun and the retirement community has a long way to go before it’s done.
You’ve heard this one before, and while the research can be fun, there really is no end to it. We’re continually learning about new opportunities and streets that sat in shadow for decades that have come out into the sun. They continue to surprise us. There are some areas where you won’t see significant returns, and some others that will continue to rent well without significant appreciation. We can tell you about both – and then about a few areas where owners are seeing both strong rental returns and appreciation. It all depends on where we go.
In most places the Baby Boomers retired and no one batted an eye. Not so in Palm Springs. Palm Springs is one of very places nationwide that has really worked hard to absorb “snow-birds” as full time residents and even as property investors. We understand their needs, but also that they’re not going to reduce in numbers anytime soon. You should too.
- Local Services
Fire stations, police services and gated communities still make some of the most sound investments. That’s true valley-wide, and even the renters we speak with will often inquire about the availability of basic city services and safety in the area.
Appliances, counter-tops, solar power and energy efficiency features are worth their weight in extra cost. They can make all the difference in seeing the value increase. If you get options in a new development, it’s probably in your interest to go for them. They won’t likely depreciate before you sell. Outside amenities, like patios and barbecues may do even better in the long run. And of course, access to clubs, golf courses or well-maintained common gardens and nature are worth what you pay into the HOA.
While interest rates stay low, there’s lots of room for expanding in the direction you’d like, and really, why wouldn’t you? Access to amenities and jobs makes lots of places the perfect rental home for others coming into the area (including Boomers, Canadians and Los Angelenos). Renters are always creative about how they’re going to use their homes. But buyers should be too. In a market this strong there’s almost no reason not.
We regularly speak with first-time investors, and those working with groups or investment clubs. We can show you how we do our analysis and what all the similar properties in a given area are worth, or what they’re renting for. There are still some deal-breakers out there. And we’ll be happy to show you those too.