Top 4 Attractive LA Neighborhoods For Real Estate Investment
Over the years, Los Angeles, the infamous La La Land, has established itself as a popular destination for people to live in. Being the second-largest city in the United States with one of the most diverse populations in the country, LA has a lot to offer, such as a warm climate, exquisite food, and booming entertainment industry. This is why it is no surprise that each year there is a massive influx of urban dwellers looking to make their dreams come true in LA. With an increase in high-income individuals looking to purchase property, the LA real estate market has made its place as one of the most premier markets for both homeowners and investors alike.
While the demand for housing is immense, buying a property in LA is by no means low-priced. However, if you are looking to invest, LA is an ideal location for long term returns. A rapidly growing job market strongly backs the city’s housing market, and where there is employment, there is a population increase, which means that rentals will always be in demand.
If you are considering investing in LA, you need to understand which neighborhoods are better in terms of investment opportunities. Because the city is so vast, we suggest that you hire the best mortgage lenders Los Angeles-bound and get professional help with LA real estate processing. Before you do, let’s first talk about the top four most attractive neighborhoods you need to explore before deciding where you want to invest your money.
1) Downtown LA
If you wonder where all the magic in Los Angeles happens, the answer would be Downtown LA. Downtown is the vibrant city’s beating heart as it forms the epicenter for the tech, financial, and entertainment industry. Because of the diversity in opportunities, this is the mecca for young professionals looking to boost their careers. Instead of families, here you will see more people in their 20s and late 30s looking to buy property. Because people in that age bracket are looking to rent out properties and not buy them, this is an ideal opportunity for investors to invest in high-rise condos and apartment buildings. In recent times, downtown LA has seen an increase in median price and sales volume. There is also frequent construction of high rise residential projects, which is proof that there is plenty of demand. Even though rent is expensive, people are willing to pay a premium because of the central location and the perks that come with it. This is why if you are looking to invest in a neighborhood that is bound to give you high-income returns, Downtown LA is the perfect choice for you.
Inglewood, a city in the southwestern part of LA, has become a popular hotspot for real estate investment. While there may have been some security concerns in the past, Inglewood has over the years experienced a massive increase in property value. Home prices have significantly fluctuated by around 63% as well as the median sale price, which showed a 25% increase over five years. What makes Inglewood desirable is the fact that it is close to Silicon Beach and Westside. There is an abundance of single-family homes that boast of a suburban ambiance, which is perfect for all those looking for a similar vibe. Another aspect that makes Inglewood an attractive neighborhood for real estate investment is the $2.6 billion NFL football stadium being developed over 60 acres of land. This major investment has paved the way for more projects such as the train line and several different high-end cafes that make the area more desirable, especially for homebuyers looking to purchase single-family homes. The rents for Inglewood homes are escalating as well, which offers a great advantage for investors. Inglewood is not only a viable option now but as more investment projects flood in, it will only surge in terms of property value in the future. So be sure to keep an eye out if you are looking to land a profitable investment opportunity.
3) Toluca Lake
Home to some of Hollywood’s elite, Toluca Lake is one of LA’s most sought after zip codes. The neighborhood is the perfect blend of peace, serenity, and the luxury of an upbeat lifestyle. The houses are designed around the ranch aesthetic, which gives the neighborhood a modern suburban vibe coupled with the scenic landscapes. Because it is also accessible to the central city, Toluca Lake is a popular choice for executives and young career professionals. Over the years, older buildings and homes have been demolished to create apartments and towers, indicating that realtors and investors are capitalizing on the neighborhood’s appeal. As an investor, you could consider creating apartment buildings that could be used as rentals or invest in luxury homes; both are in demand and will reap sufficient financial benefit.
4) Manhattan Beach
Manhattan Beach has established itself as the hub of high-income professionals from different industries like the service, sport, and tech industry. The neighborhood’s energy, backed by the beachy vibe and gourmet restaurants, has made it attractive for anybody looking for a luxury lifestyle. The price of property is very high, but the demand does not seem to slow down. So much so that there is a shortage of housing and many more people who want to purchase. This has also contributed to escalating property prices, further pushed by developers who continue to buy property to upscale and rent or sell out. For anybody who wants to make a smart investment decision, Manhattan Beach is another suitable option as both value and prices continue to rise. If you are looking for positive cash flow, high return on investment, and appreciation, you should consider Manhattan Beach as a viable option.
Los Angeles, the melting pot of culture, entertainment, and diversity, is the ideal spot for property investment opportunities. With so many cities to choose from, it is often a challenge to put a pin on your next big investment. Which is why before you become a landlord, you need to check out the popular hot spots we spoke about in this article.
Which neighborhood did you find most appealing? Are there any others that are your favorites in terms of real estate value? Let us know in the comments below.