There are a million ways to invest in San Diego real estate. I recommend buying your own home first. After all, you need a place to live, and if you see yourself living in San Diego for the long run you might as well own your own home (and get that mortgage paid off for peace of mind). But if you are considering other ways to invest, here are a few thoughts for you.
1. Buy and Hold
I believe in the motto: "Don't wait to buy real estate... Buy real estate and wait." San Diego is arguably not the best place to own a rental property if you're only considering your annual ROI. But it's a place with a bright and hopeful future, and that's an important thing to consider when you're buying real estate as a long term investment.
2. Buy and Flip
If you're not interested in becoming a landlord, you might want to consider buying (and flipping) a fixer-upper. If you do it right, you can make a relatively quick profit.
3. Buy at a Foreclosure Auction at the County Steps
The most savvy of investors show up to Foreclosure Auctions to find deals. Buying a home at a public foreclosure auction requires significant amounts of cash and does not typically allow for a full inspection of a property prior to bidding. Because of that it's a risky proposition for newer investors.
4. Buy a Bank-Owned REO
During the Great Recession (2006 - 2010), we had a foreclosure market. There were many properties owned by banks that needed to be sold. These days not so much. But bank-owned foreclosures do pop up here and there and can sometimes be a good opportunity. 4 Things to Know Before Buying San Diego Foreclosures
5. Buy a Vacation Home
If you're like most people, you've been hoping for years to be able to buy a vacation home in San Diego. A well-purchased vacation home gives you an inexpensive place to land periodically throughout the year for some rest and relaxation, but it can also generate rental revenue when you’re not using it. Maybe now is the right time for you to buy that dream vacation home or condo you've been waiting for.
6. Pay With Cash
All-Cash offers are appealing to sellers because the transaction can be closed quickly and without an appraisal or loan contingency. If you are able to pay with cash, it can sometimes help you beat out other offers or possibly even get a better deal on a home purchase.
7. Hire an Exclusive Buyer Agent (Globella Buyers Realty)
Buying an investment property in San Diego is a time-consuming task. Protect your investment by hiring a home-buying expert. I can help you put together a strategy to purchase any type of home for sale in San Diego County (whether it's being sold at auction, by a REALTOR®, for-sale-by-owner, etc.).
Justin Gramm is the founder and principal broker of Globella Buyers Realty, your San Diego Exclusive Buyer Brokerage.
Exclusive Buyer Agents do not list homes for sale and never represent sellers. They have no "inventory" to try to sell you. They can represent you in purchasing any home. They are specialists at representing buyers only on the buyers' side of the transaction. Exclusive Buyer Agents work to get buyers the best price and terms when they buy a home.