All Forum Posts by: Breanne A.

Hello,

I am looking for recommendations for an honest and aggressive investor-friendly Realestate agent in San Diego. I prefer someone with a track record in REI. I am looking for live-in investment property (1-4 units, depending on the best programs and tax credits available). One of us is a teacher. Locations include parts of Logan Heights, Golden Hill, Normal Heights, North Park, and surrounding areas. I appreciate you help!

Breanne

Hi @Justin R. 

It's in 92105 (borderline of 92104) in Cherokee Point, so it's a very decent neighborhood. From the outside, the property need some work, but I can only view it with an accepted offer and the realtor has no information on the condition. We submitted an offer contingent on viewing and other things. It definitely needs some tlc from the outside, which don't have a problem with because I can make improvements and there is a lot of room for rent increase. After getting the details from the agent the actual gross is $40,800. My research in the area shows potential for $45,600.

After posting this I've done the numbers again, using $470,000, 8% vacancy, 6% maintenance, 2% capex, and $75/mo insurance (quoted by mortgage broker) and $200/mo water and garbage. All of this combined with the mortgage and taxes quoted by my broker comes to $3794 (without PM)

It's tough to cash flow coming in with 3.5% down, but the multiplier is pretty good and there is potential for improvement. What do you think? I'm running these numbers as if I was not living there, but I will be living there for the first couple of years.

Hello,

I am looking for some feedback on a property in San Diego. I will not be using property management (primary residence) but I am keeping it in the expenses in case I decide to use PM later on.

Purchase Price: $470,000

3.5% FHA- $16,450

3 units (no rent control)

Rental income: $3500 (actual) / $3800 (projected)

Monthly P&I, incl. property tax: $2,825.10

Total monthly expenses including vacancy, management, capex, etc. - $3,416.77

Pro Forma Cap Rate: 6.06%

Purchase Cap Rate: 6.15% 

Hello,

I'm currently looking for 2-4 unit properties in San Diego (city area). I've looked up and down the MLS for the past couple of months but figured I'd try to reach out to the BP community.

Please feel free to contact me if you are, or you know of, someone looking to sell and we can look at the numbers. 

Thank you!

Breannne

[email protected]

Thanks, @Justin R.  I definitely needed that reality check. I will definitely be partnering. I have flipped one property before but it was my primary residence. So I have some capital, but not 20% of 7 figures (I didn't mean to come off as having nothing). I know it is a long-shot but it's worth reaching out.

I have run the numbers and I know what makes sense for me. I was mostly looking for advise on how people go about initiating an opportunity like this by reaching out. And what might help in my affectivity. I have no idea what this person is looking for, or if he/she is looking for anything at all. But after reading a couple REI books and getting inspired, I thought it couldn't hurt to ask.

Thanks again for your advise!

Hello! I could really use some suggestions for my first time reaching out for a potential deal. I would like to contact the family that owns the apartment complex I currently live in to see if they are interested in selling, however, I am new to the business of REI and I have to be creative.

The owners owe little, to nothing, on the property (unless there was a refinance that I was unable to see). It is a 9 unit complex in Ocean Beach (San Diego) with solid rent and great potential, given some TLC and updating. 

This is a very expensive area so I do not have the 20% down payment, or the income for a conventional loan, which means I have to see if they are willing to seller finance.

How do you think I should approach them? By phone? Letter? Knock on their door? And how should I approach the seller financing aspect?

I know I am asking a lot, but any advise is much appreciated!!

Hi @Isaac Guzman 

Out of curiosity, is the property on Hilltop? I ran into this listing and it seemed weird. 

Thank you all for the info.

I don't have a particular property with numbers yet. I have been doing to math on what I've been seeing on the MLS and I haven't been able to find any that meet the 2% or CAP rules. Some of the posts I have seen give the impression that I will go bankrupt if I don't meet the 2% rule. From my perspective, if I am making more than 15% COC return, with positive cash flow (albeit not substantial), I am not doing so badly. But I wanted to see if there was something really flawed with my thinking.

Once I have real numbers I will definitely be asking advise, but for now i'm just looking for general opinions on the rules so I don't waist too much time looking at properties that won't work. Thanks, again!

Hi @Bogdan Cirlig ,

I am looking to Buy and hold. Of course I want positive cash flow, but I am not looking for an immediate return. Does that make sense?