All Forum Posts by: Brian Ploszay

Interesting.  Every possible repair has happened to me over the years, especially water infiltration.  And water infiltration is among the hardest problem to solve.   There are local contractors that will sell you expensive solutions, so beware.  

I remember a friend of mine who had parents who gave him a big problem buying real estate in my City.  They caused him so much grief, telling him he was basically stupid.  The City is dangerous and the housing stock is old.  He bought anyway,  and it went up in value way more than the safe suburb property his parents advocated.  

If you're married, you will have to get the blessing of your spouse before you invest in real estate.  But parents or siblings?  

This depends on local laws.  I guess that you will have to give notification of non renewal of lease.

Giving a tenant notice is a good practice anyway.  It sets expectations of when they must leave the property.  

@Jan Hinrichs   The hedge fund is going to get crushed investing in lower quality housing stock, unless they are backed by vouchers.  Signs of a mature market with too much capital and too few deals.

Funny - "tenant will move 30 plus times in their lifetime."   With a little research, one can avoid these types of tenants.  A recipe for loss, especially if you throw defaulted rent into the mix.  

I couldn't make market rents work in lower income neighborhoods.  I had to try a higher class of real estate and/or rely on vouchers.  Also, I paid distressed prices for my low-ends, and that pricing has really disappeared.  

If there is going to be a foreclosure wave, it will get quickly absorbed by all the money on the sidelines.  Success will be for the patient who are satisfied with slow growth.  The overly ambitious will be frustrated.

I would probably do it.  All of my properties are in LLCs.   It allows you some protection.  

"Originally from Detroit,"   Do you mean its suburbs?  Big difference.  When investing in the City of Detroit, just know your stuff.  Part of the City is making a comeback.   But large portions of the City are blighted.  You probably know this.

Basically, invest in the top 10% quality of that City, and you'll probably do fine.  

Great.  They have the money.  Are they going to deploy that capital in this market?  No way.

What is happening is that there is "build to rent" scenarios going on.   I also question that.

The golden era of buying rental houses was from 2010 to 2014.  

A bit more on La Crescenta.

Why are the prices so high there?  The simple answer is that for 30 years, California has restricted the supply of housing.  It is highly regulated and has strict zoning.   La Crescenta, perhaps, should have more condo buildings and apartment buildings.  It is mostly single family homes.  

My parents own a home in that area.  La Crescenta, CA.  

The pricing there has skyrocketed.  I'd say the place transitioned from a middle class community to an upper middle class neighborhood.

Cheaper properties are usually below Foothill.  Or the first few blocks north of Foothill.  And probably cheaper as you go west towards Tujunga.

I've seen a few ADU units going up, but for the most part, the community is mostly single family houses.

There are going to be pitfalls when buying your first property out of state.  I normally would recommend sticking to your home state - because appreciation is above average.  At this point, the state's properties prices compared to income are staggering.  And indeed people are leaving California.