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Sacramento Multifamily
The city of trees is a beautiful place to live. We are 1.5 hrs. from the coast and 1.5 hrs. from beautiful Lake Tahoe. We have local professional sports such as the Sacramento Kings, Sacramento Rivercats, and Sac Republic Soccer Club. Our restaurants are top notch and we have a beautiful downtown and midtown area. Who wouldn’t want to live here?
Multifamily properties in Sacramento remain a strong asset class. Vacancies have fallen to an all-time low at 3.6% in 2021[1]. With lower cost of living than our bay area neighbors, more people are looking to move out of the bay area and into our communities. This, along with the increase in employers allowing their employees to work from home, has created somewhat of a bull market here.
Developers have taken notice, as projected construction for multifamily units has reached an all-time high of 5800[2]. This doesn’t look to let up anytime soon, as more projects are being proposed daily. Areas that will see the newest construction will be our downtown and midtown areas, as well as outlying areas such as Rocklin, Roseville, Folsom and Elk Grove.
As the price of homes rise, so do rents. Sacramento has been one of the strongest rental markets for over decade. We have had rents increase over 77.1%[3] during that time, with over 10% of that growth over the last year!
As our communities grow, it is apparent we are no longer a secret as one of the best places to live in California. The projected growth remains strong throughout 2022! Now is the time to invest in this asset class!