#3: Sonoma (near Sonoma State University, CA)

Self-directed IRA via broad financial or ira financial. Diversify 401K or ira into real estate. real estate ira.

Sonoma State University (SSU) is a hidden gem that's part of the California State University (CSU) system with its main campus 50 miles north of San Fran and a few miles south of Sonoma Wine County.  Sonoma State offers 92 Bachelor's degrees, 19 Master's degrees and a Doctoral in Education.  One of its biggest benefactors is Charles Schulz, cartoonist and author of the popular Peanuts comic series.  Sonoma State occupies approximately 269 acres next to the city of Rohnert Park & Condati.

Besides the usual courses in Humanities, Business, Science, Technology and Engineering, Sonoma State also offers a program in Viticulture and the Wine Business, such as wine marketing, wine finance, wine business strategies, production, operations, and distribution.  Cool!

Self-directed IRA via broad financial or ira financial. Diversify 401K or ira into real estate. real estate ira.

Roughly one-third of its 7,000 students live on campus in dorms named after wine varietals, such as Sauvignon, Cabernet, Zinfandel and Verdot.  Another third of the students commute to school while a third (>2,300) rent in town

Unlike the high-priced neighboring areas of San Fran and Sonoma where a 4BR, 2BA home goes for $2.5 to $4 million, 4BR, 2BA houses near SSU can be fetched in the $680K to $750K range, while still generating strong rents.  These two towns are filled 80% with families and single professionals that work in SF or wine country, with the remaining 20% rented by students attending Sonoma State.  It is a vibrant and steady enclave which did not see a big dip in home prices in the last economic downturn.

In Rohnert Park, the average 4BR, 2 BA (sleeps 5) price in the summer of 2018 is $715,000 while yearly rent averages $43,500 ($725/month per student x 5 students x 12 months).  This generates a P2R ratio of 16.4, currently the lowest (and best) in the state.  There are even some desirable 4BR, 3BA's going for $680K right now (Jan 2019) which would make the ratio drop to 15.6, which is Supremely Lucrative.  We are very bullish on this area that no professional investors have their eye on. We do. This is the town we would invest in if the decision is purely financially-based.