All Forum Posts by: Bill Bockwoldt

Hi Kathy,

I went to one of their meetings. There was a presentation from Wells Fargo (the "we have everything you need and understand investors" pitch) and then people broke up and started chatting with the people next to them or seeking people out based on what they offered/wanted. For example the 2 people offering wholesaling were all over the people who said they were looking for local deals, etc. We spent some time with a lawyer who specializes in tiny homes and is working to set up a community in Santa Cruz (more out of personal interest than anything). It seemed like a good group of people and many of them know each other (I suspect through meeting like this for a long time). I'd say it's worthwhile attending if you are new to the area. We own buy-and-holds out-of-state and in 2014 we converted our garage to a 1/1 apartment and the rent now pays our mortgage!

Another good meetup group is the SF group, it is large (regular attendance of 60 people) and they have good presentations. The only drawback is that they meet in the city, but the level of knowledge and networking is good.

Also feel free to PM me with any questions. 

Regards,

Bill

I just beat you to it J.! Signed up this morning.

I've been busy investing in businesses but look forward to getting back to Real Estate.

See you there.

Hi,

If you are following tiny home deployment in California you might be interested in the workshop below. I cut/pasted the entire message I received in case any of you locals are interested in attending. It looks like there will be a wealth of information on a niche area of real estate investing from the people who are helping pioneer the effort.

How to legally live in a Little House on the Trailer

Permit Workshop

Sunday October 11, 1 to 6

at Little House on the Trailer

1840 Petaluma Boulevard North

Petaluma, CA 94952

contact

Sonya Tafejian - 707-779-9474

Tiny House Consulting Sonoma County

https://www.facebook.com/tinyhousesonomacounty

Dear Friends,

Exciting news! Tiny Housers in multiple counties are now using Special Zoning to permit and legally dwell in Little Houses on wheels! I legally live in my Tiny House in Sonoma County and I will be teaching a monthly WORKSHOP at LITTLE HOUSE On The TRAILER, in Petaluma, CA. The next one will take place on Sunday, OCTOBER 11th. (Counties which now have this type of zoning include, Sonoma, Napa, Lake, Mendocino, Alameda, Contra Costa, Sacramento and more.)

The class will run from 1pm - 6pm, and at some point, we will take a field-trip across the road to visit and explore the entire workings of my Tiny House. Then, back at "Little House", we will meet with designer and builder Stephen Marshall who has 40 years of architectural design experience and a long-term commitment to sustainable, affordable housing. http://littlehouseonthetrailer.com

It is important to note that the Zoning is still quite narrow, and expresses that, a Tiny House is a legal dwelling only on a property where it is set in conjunction with a Main House. Additionally, either the "Tiny House dweller" or a "Main House dweller" must be a person who needs some level of "care." This requires a note from a doctor which says simply that one person on the property is elderly, disabled or needs some assistance. This is not as difficult as it sounds! Many people are using this zoning to legally obtain affordable and beautiful housing in rural (often close to urban) settings. I am one of those people; my rent is 30% of what it was previously... and I am living my dream!

Class participants will receive a booklet (hard copy and digital) which includes the following topics:

Zoning for Living in a Tiny House On Wheels

Resources for Tiny House Plans

How To Get Certification

Fire, Health and Safety Codes

Purchasing and Hauling Your Trailer

Suggested Building Materials

Issues With Venting/Insulating the Ceiling

Tiny House Fixtures

Tiny House Appliances

On Grid and Off Grid Tiny Homes

How Much Does a Tiny House Generally Cost?

Finding a Home for your Tiny House

Insurance for Your Tiny House

Site Drawings and Permits Process

Installing Water, Electric and Septic

DMV Registration

What Not To Do When Going Tiny!

The cost for the 5 hour workshop is $150 with a $25 deposit required to hold your space. Please email me at [email protected] for registration details.

Go Tiny - Live big!

Best Regards,

Sonya Tafejian - 707-779-9474

Tiny House Consulting Sonoma County

Why don't you build the cottage and just rent it to a long-term renter? Saves the headache of managing AirBnB rentals (and saves the 40-50% commission a broker would take doing it for you).

We converted our garage and a hallway with a BR and a BA to a separate unit last year. The rent covers our mortgage. I can't think of a better investment in the Bay Area right now considering the housing demand and rental rates. We also own out-of-state properties and they also need to be managed - even with property management in place. I would do garage conversions/granny units every time over a standalone property in the Bay Area just for the ROI.

Thanks Cindy, I will give him a call!

Hi,

I am looking for a roofing contractor to repair some flashing/shingles around the solar mounts on a roof. Everyone I have contacted is booked out at least 6 weeks. If you know anyone interested in this type of work please send their contact information. My email is [email protected].

Thanks,

Bill

Are you planning to live in this building? If not I would not use 10% down, more typically 25% for investment properties.

Also, if just rehabbed (and done reasonably well), you may not need to use 10% for both repairs and Capex. I would investigate what mechanical systems were replaced, the roof, foundation, etc. before plugging in a CapEx number.

I use QuickenLoans and Schwab bank (QuickenLoans does Schwab's mortgages). They go to 10 loans and have had good rates for me so far.

I used them for 3 properties in 2013 and it went pretty smoothly. It rarely goes completely smoothly with anyone. They had good rates and told me they would go up to 10 financed properties. They messed up on the insurance but as a large organization I have found them to be much better than BofA/Wells Fargo/Chase. I just refinanced my own home and did a HELOC and they did the whole thing for free as a repeat customer. They also gave me discounts on two investment home refinances so overall I am happy with the combination of service/cost. Nothing is perfect but I have found them to be pretty flexible and will be using them several more times this year.

I think one way to answer that question is "how hard am I willing to work at this?"

Lower-ROI turnkey properties in A/B neighborhoods (where you just cash a check every month) is going to take more properties but less time/effort/stress/etc. Unfortunately this approach generally takes more investable cash and is a slower glide path to larger income streams (all things being equal).

Higher-ROI self-managed properties in B-/C neighborhoods have better "cashflow" and hence ROI if you discount/ignore some/all of your own effort to collect/maintain this revenue stream. Real estate investing, as with all investing, is about risk/return tradeoffs. Most people measure these things in the context of their own perspective/situation.

To answer your question I would start with "how hard am I willing to work for $200k income per year". Notice that I left out the word passive - as that term is overused in my opinion by people who are not properly considering the time, effort, discipline, experience,  patience, skill, and luck involved in securing financial independence through real estate investing.

There's also the saying that the fastest way to become wealthy is to reduce your expenses. If you cut your number in half you may be able to achieve it with less than 50% of the effort - because it is not a linear relationship! (Discretionary expenses grow faster with increasing income).