All Forum Posts by: Calvin Kwan
Calvin Kwan has started 50 posts and replied 240 times.
Post: Title Report Does Not Match Assessor's Records [Berkeley, CA.]
- Oakland, CA
- Posts 246
- Votes 127
Quote from @Jay Hinrichs:
this is very common..
Yeah, i'm guessing it's common. Is it an issue though? The sqft seems to be the same - it just went from a 2/2 to a 3/1.
Post: Title Report Does Not Match Assessor's Records [Berkeley, CA.]
- Oakland, CA
- Posts 246
- Votes 127
Hey BP'ers!
Looking to buy a house in Berkeley, CA. and have a quick question regarding the property title & assessor records. My title rep pulled a property profile on the house and it shows as a 2/2. The MLS (pulled from public records) shows it as a 3/1. We walked the house and clearly there was an addition added at some point.
Is this an issue that the title report and MLS doesn't match? I tried to look for any info on the Berkeley Assessor's website but couldn't pull any bed/bath info for the house.
Let me know what you think? Will this appraise as a 2/2 or 3/1?
Thanks,
Calvin
Post: Invest in Bay Area California? Just starting Out
- Oakland, CA
- Posts 246
- Votes 127
The best deals are had when you are able to add value to the property. I've never seen a turn-key property in the Bay Area where you will cash flow positive in any meaningful way.
Personally, I will only invest in areas that I am willing to live in. That being said, I buy run-down fixers that will scare most investors off in good neighborhoods. It's possible to cash flow positive in the Bay Area - you just have to put in the work and find the right deal.
Search posts from @Arlen Chou and all the other old school BP bay area folks. They may not flaunt it, but they've all done it.
Post: Landlord Insurance Policy
- Oakland, CA
- Posts 246
- Votes 127
Quote from @Jason Bott:
@Calvin Kwan I'd suggest working with a commercial broker instead of the websites. They will be more in touch with the REI niche and will ussually have access to more insurance carriers.
I'll send you a DM with the companies my CA investors are using.
Awesome, thanks!
Post: Landlord Insurance Policy
- Oakland, CA
- Posts 246
- Votes 127
Quote from @Tim Miller:
Try State Farm, we're paying $1000 a year for $1m liability, lost rent and so on. Thats for 1/2 a duplex with an over/under unit. Make sure when you talk to these agents that you tell them that the property is to be rebuilt with 100% drywall. Otherwise they will calculate your rate on 100% plaster walls.
You can also try an Insurance Broker, they can shop around to find you the best deal.
Good to know about the drywall. Thanks for the heads up.
Post: Landlord Insurance Policy
- Oakland, CA
- Posts 246
- Votes 127
Post: Landlord Insurance Policy
- Oakland, CA
- Posts 246
- Votes 127
Hi,
Just wondering who everyone is using for their landlord insurance policies. I got a great rate with Hippo a few years back, but unfortunately, they're no longer issuing landlord policies. I just got a quote from YoungAlfred.com and they quoted me $175/month for a triplex w/ 500K liability. My property is a built in 1895, so it's been more difficult to find insurers.
Thoughts?
Post: Accepted Seller Counter, but Agent Mistake on Counter Offer Form?
- Oakland, CA
- Posts 246
- Votes 127
Hi,
I accepted all the terms on of the seller's counter offer for a property in Oakland. There are multiple offers from what I understand. The counter offer expires at 4PM this afternoon. I submitted my response at 10:50AM, but haven't heard back. I reread my counter acceptance and I believe my agent may have made a mistake.
In paragraph 6:
Acceptance of Seller Multiple Counter Offer: Buyer's acceptance of this Seller Mulitple Counter Offer shall be deemed revoked and the deposit, if any, shall be returned to Buyer unless by 5:00PM on the fourth Day after the date Seller signs in paragraph 5 (if more than one seller, then the last date) (or by 10:50AM on 4/28/2022) (i) it is signed in paragraph 8 by the Seller, and (ii)a copy of this Seller Mulitple Counter Offer signed by Seller in paragraph 8 is personally received by the Buyer or Buyer's agent...
Does this mean that the experation date of my acceptance is at 10:50AM on 4/28? Did my agent make a mistake? I submitted my acceptance at 10:50AM.
Thanks,
Calvin
Post: Loan question - Residential vs. Commercial
- Oakland, CA
- Posts 246
- Votes 127
Quote from @Jonathan Taylor:
@Calvin Kwan A few things to add some context to. @Sirrom Alizem is correct on the zoning aspect in regards to building an ADU but you wont be able to have a conventional loan on a 2-4 unit MF with an ADU. Fannie/Freddie wont buy that loan. They just wont. I have a triplex with an ADU that I live on and I cannot refi owner occupied conventionally ( and Im a loan professional). I called Fannie and asked, they said that ADUs are only popular in HCOL areas and the guidelines for conventional loans incorporate ALL loans sold to Fannie/Freddie. So MF with ADUs is a nominal percentage of all loans and dont have a standard. This could change but I doubt it will be soon since they aren't motivated to change this limitation.
So YES, this is possible but you'd be limited to table funded local bank or CA based loan options who are familiar with ADUs or investment style loans if you want to refi once the ADU is built. Yes, CA is changing to make the BUILDING of ADUs more accessible but conventional loans are nationwide standards would exclude you from conventional refis if you plan to still occupy the property and pull cash out.
Got it. Thanks for the confirmation sounds like I'll need to refi first, then build the ADU. Thanks for the heads up.
Post: Loan question - Residential vs. Commercial
- Oakland, CA
- Posts 246
- Votes 127
Hi,
I am targeting 4plexes in the SF Bay area for purchase in the coming months. Up to 4 units I understand I can use a conventional primary resident loan, but above 4 units it requires a commercial loan.
If I were to buy a 4plex with a conventional 30yr loan, add an ADU, would I still be able to refi with a conventional residental loan? With the ADU be considered a 5th unit, pushing me to require a commercial loan?
Thanks,
Calvin