Over the last few months, home prices in California have hit a bit of a plateau. While the numbers are still up dramatically from 2012 and expected to climb again in 2014, ZINC Financial understands that some of our clients may be looking for other types of property investments to fill out their portfolios. With that in mind, we want to let investors know that we offer rehab financing for condos on a case-by-case basis. These loans are available to clients who are looking to rent or flip condominiums in California and Arizona.
In 2012, the condominium market was essentially at a standstill, but in the last several months condo prices have begun to rise. This is due in large part to the thoroughly depleted California housing market. Homes that are currently on the market are often too expensive for first time buyers, and builders have not been able to fill the demand for moderately-priced California homes quickly enough. As a result, more people are turning to condos.
According to The Press-Enterprise, real estate experts believe that condos and town-homes will continue to play a more prominent role in the California housing market in 2014. Condo prices have not gone up nearly as rapidly as home prices in California, but the rise has been consistent. From January to October of this year, condo sales are up 9.2% in Riverside and San Bernardino counties. Across Southern California, condo sales were up 3.3% in October while home sales were down 4.4% during the same period. Of course, house prices are up 21.8% this October over October 2012, which is great news for investors, but not such great news if you’re on the market for an affordable place to live. Condos are beginning to fill a major void in the current housing market, and savvy investors are taking notice of this new opportunity.
If you have your eye on a particular condo, give us a call at (559) 326-2509 to discuss financing. Again, these special rehab loans for investors will only be offered on a case-by-case basis. That said, if you have a property that you are particularly excited about, we are eager to hear about it. Contact Amber Castro, VP of Business Development, by emailing Amber.C@ZINCfinancial.net to discuss partnering with ZINC.