City of Orange is a city in Orange County, CA. It is only just outside of Santa Ana, which is the county seat. What makes this city different from the other cities in the county where old architecture buildings were demolished in the 1960s is that these old buildings in Orange have been preserved instead. Thus, these pre-1920s buildings, especially those that are located in the Old Town District, remain intact to this day. Thus, it would not be a surprise to find that antique stores are a major attraction for the city. These antique stores have helped to attract tourism, as well as visitors from other parts of the county. The 2014 U.S. Census indicated that the city had a population of 139,812 at that point in time. The biggest employers in Orange have to do with health care, education and public service.
Orange, then a very small town, was one of the first to be incorporated under the state of California’s general laws on April 6, 1888. It is the only city in the entire county that was planned and constructed around a plaza. This is why the city is still known as “Plaza City”. Another first for Orange is that when the country’s second transcontinental rail line reached Orange County, Orange was the first to be served by it.
The main economic boom in the city happened around the time it was incorporated, when there was a huge demand for citrus fruits. This period in time was known as the “Orange Era”. There was also a huge boom in real estate around that time, with a second one happening in the 1950s, mainly when the freeway system connected it to Los Angeles.
City of Orange Multifamily Property for Sale & Lease – Should You Buy or Lease?
If you are interested in multifamily space, to serve as an investment or for business, you have two broad options: buy or lease.
When buying multifamily space, the pros include the fact that:
- Your monthly costs are constant. This means that there are no surprises,such as an increase in rent if you were to lease.
- You can take advantage of substantial tax deductions, including property taxes and mortgage interest.
- You can rent out some of the multifamily space when the need arises for more cash.
- You can accumulate a large fund, as the property appreciates in value over time.
On the other hand, the cons to take into account include:
- Having an asset that is not liquid. What this means that it is relatively difficult to sell the property as it requires several months to complete a sale even when you have market that is advantageous to sellers.
- Having to pay a substantial down payment on the mortgage. This is usually around 30 percent of the total price for the property.
- You will also have maintenance, appraisal, and other property costs to pay.
Meanwhile, if you lease multifamily space, the advantages include the fact that:
- It is possible to rent a prime property, which can boost your reputation.
- You have more working capital for your business because you don’t have to pay for a down payment.
- You don’t have to be concerned with the stresses of property ownership. You can focus on running your business instead.
The disadvantages of leasing, meanwhile, include the fact that:
- Your monthly costs will tend to go up because rent tends to increase at certain intervals.
- You do not build up any equity in the property, since you don’t own it.
Let us take a look at the trends and statistics in terms of prices, supply, and demand, as these can help you make the decision on whether to buy or lease.
City of Orange Multifamily Property for Sale – Trends and Statistics
- The asking price for multifamily properties in Orange $314,841.90, which is a 0.7% increase over the past three months, and a 10.5% increase year on year. This is higher than the state ($206,014) and the metro ($254,071.41) area.
- The index of total available multifamily properties for sale in Los Angeles-Long Beach-Orange is 29, which represents a 13.4% increase over the past three months but a 2.5% decrease year on year.
- The index of total number of listings of multifamily properties available in Los Angeles-Long Beach-Orange is 24, which is a 8.9% increase over the past three months, but a 1.3% decrease year on year.
- The profile view index multifamily property for sale in the Los Angeles-Long Beach-Orange metro area is 97, which is a 24.9% increase over the past three months, and a 22.5% increase year on year.
- The index of total number of units of multifamily property for sale in the City of Orange area is 21, which is a 12.2% increase over the past three months, but an 11% decrease year on year.
City of Orange Multifamily Property for Lease – Trends and Statistics
There are currently no Orange multifamily properties for lease. This is in all likelihood due to the fact that multifamily properties for lease would fall outside of the realms of commercial real estate. Rather, they would form part of residential real estate, meaning they become occupied either by the owner or by a tenant.