If the Banks won’t do it, private investors will! Investors from Canada are coming to the desert in droves, picking up Short Sales or Foreclosures and leasing them..I have several Buyers from both Vancouver and also Calgary that are doing just that. They are also buying homes to live in themselves in our desert paradise, but rentals are a great return on your money. Especially when you buy them for much less than it would cost to replace them..as our housing market is right now.
This investment group is made up of Canadians mostly, but I suspect there are plenty of American Investors in it also..
The La Quinta and Palm Springs area real estate markets in general are on fire..not like the craziness of the 2004-2006 years. This is a reasonable, controlled burn. Houses are being purchased, leased, or lived in with the sane expectations that in 5-10 years, there will be resale profits. Of course, there ARE contractors and groups purchasing “fixers” and re-selling them when done..that is very popular here.
If you don’t live here, probably not best to purchase “flippers”..pretty risky over-seeing your help. Cosmetic fixers..sure. Buy low, lease at a good return/month, and plan to sell at a comfortable profit down the road..