All Forum Posts by: Betty Klein

The last post hit it right on! The retirement of the BB and the exodus from high tax states like CA are driving some of these markets.  And the new tax law accelerated that.  Several years ago Orientals where driving the West Coast markets for totally different reasons: to get a green card, there is a program where you can get one if you invest a certain amount into real estate. They also where pulling their money out of their country to politically diversify.  

Rich Dad said all investments can become liabilities- it depends on the market!  Reading this heated discussion tells me the market has changed for real estate.  And add the political climate, with rent control state wide now in Oregon and possibly next in California.  There will not be unlimited rent increases.  The other factor are property taxes.  I bought in Nevada it seemed ideal from the tax standpoint. Now we have a new governor and the property taxes could triple. Or you could have had wildfires like in Northern California, that put several dampers on you property value. Now you also loose your homeowners insurance because no body wants to underwrite!  You have to have some sort of a cushion in your calculations. If not than you might end up in foreclosure like the last bust. 

This topic has hit a nerve!   Reading through all the comments I get the impression that this has become a political blog.  Facts do not seem to matter any more. I can tell you they do to me. Individual experience like the one I mentioned before with the dope growing renter burning the house down change my investment behavior and undoubtedly the involved landlord's.  The rest is just intellectual speculation.  Every time humans create a law it has unexpected consequences!  If we could predict how our species future behavior, Wall Street would be the road to riches.  Is the glass half full or half empty: 50% is my answer.

A neighbor in my rural California community, definitively B or B+ was renting out her property through the county HUD department. When the unemployed dope growing guy set her house on fire and endangered his own 9 year old daughter. The county of course did not help the landlord nor continued the rent payments. But they called her to find out where to send the vouchers for food and clothing and gas for the tenant!

The question is: Should I consider the realtors estimate, which is below Zillows!  Or should I relist it  next spring at a higher value. I am afraid the increase in interest rates are no helping.

The question is: Should I consider the realtors estimate, which is below Zillows!  Or should I relist it  next spring at a higher value. I am afraid the increase in interest rates are no helping.

I am currently trying to sell my home in the Grass Valley CA area and my realtor tells me I have to take a 30K loss!

That is why you never want to be a landlord in California: not a chance to win!  I have been their and so have some of my fellow Californian landlords, no matter which court or judge.

Business is business . If the manager does not do the job get rid of him.  There are online PM company evaluations.  Start at yelp.  I wished I had done so 3 years ago, when I finally yelped my manager I was shocked I was not the only one having a bad experience.  I pronto looked for some one better.  I you have friends in real estate ask them who they recommend.  But still confirm the info online.  I had the bad luck to sign up with an established company that just had sold and the new owners did not do a good job.  I knew something was up when the staff assigned to me was quitting.  When I looked over the monthly statements, they had charged me for all kinds of work they never performed.  And if you are loosing money every month that is red flag.  You should never have to evict people if the PM screens them well! 

Good luck!

Betty

Betty,

Congratulations!  I got hooked on buying last year in Reno.  Quite accidentialy, because I did a 1031 exchange and wanted out of landlord hell aka California!  Afterwards I started educating myself and found several online real estate investing sites until I discovered BP.  I like to stay close by, because I had bad experience long distance   land lording in Southern California.  Right now I have been scanning the market for turnkey A type houses  in the below $250 K range without luck.  Reno  got a lot more expensive!  Yesterday I think I found something interesting and I am ready to put in an offer. so wish me luck.