This is your Q1 Fourplex Market Update for 2020. As your market leader in Long Beach fourplexes, we are tracking statistics, trends, and important information affecting Long Beach fourplexes.
In this 2020 Quarter 1 Market Update, we will discuss:
– COVID-19 Rent Collection
– Increased Long Beach 4-plex Inventory
– Market Response to COVID-19
– Rent Repayment Forms for Owners
COVID-19 Rent Collection
- Surveyed the largest property management companies in Long Beach.
- Less than 5% of tenants made partial payments or no payments.
- Over 95% of tenants were able to pay normal rent in April.
- May rent collections will give a better indication of impact of COVID-19 on tenants.
Increased Fourplex Inventory
- End of February 2020: 23 active fourplexes in Long Beach.
- As of April 17, 2020: 35 active fourplexes in Long Beach.
- Increase of over 52% in “active” inventory.
- Factors contributing to this increase:
- COVID-19 and economic uncertainty
- Rent Control
- Eviction moratorium
The Market Is Still Active
- There are still buyers out there.
- Our firm put a 4-unit property on Cherry Avenue into escrow at full price during the current COVID-19 pandemic.
- We listed a property on Orange Ave. on Tuesday, April 14th and had a strong offer within 24 hours.
- There will be a housing shortage long after the COVID-19 pandemic subsides. Real estate remains a sound investment.
COVID-19 Rent Repayment Forms
- Two forms owners should have:
- Apartment Association Rent Repayment Agreement
- CAR (California Association of Realtors) Rent Repayment Form
Stay Tuned for Quarter 2 of 2020
- We will know on COVID-19’s impact to the 4-plex market after Quarter 2
- We will monitor and track this on your behalf and provide another market update for you.
Stay safe and healthy! We’re in this together!