All Forum Posts by: Emy Bernardo

As the Real Estate Guys always say "live where you want to live and invest where the numbers make sense."

Definitely agree  - it depends! 

A lot would depend on how the current properties are performing and your reasons for wanting to sell. If you have cash flowing properties that you've owned for several years, you most likely have a good amount of equity and it would be difficult to duplicate your current returns in the current market. Perhaps, you could refinance and pull some equity out and invest in other lower costs markets such as Ohio? We have several properties in the Cincinnati area and they have provided very stable cash flow. Midwest is a long term, stable investment - not the appreciation as in So-Cal. Be mindful in TX, the property taxes are extremely high and the reason we did a 1031 exchange out of the San Antonio market several years ago.

Other markets to explore are SW Florida/JAX, Ohio (as mentioned), Tennessee, North Carolina, Alabama (super low prop taxes) I'm also interested to see what happens to the Las Vegas market once the foreclosure moratorium is lifted. Check out this article to see some migration patterns of where people are moving. https://www.uhaul.com/Articles...

Whatever you decide, make sure you line up a great team in that market before you even think of listing your properties for sale. Good luck! 

@Shaquille Shaw - Renting out rooms is a great way to get started in investing and home ownership. I'm guessing you are looking at townhomes because they have an affordable pricepoint. A multi-family in San Diego county is going to be cost prohibitive for most first time buyers (easily starting in the $700s and up for something that needs work). You may be able to find a cheaper one in a not so desirable area. A great way to start is to get pre-approved with a VA lender and see how much you can quality for. Townhomes will have HOAs and you will need to make sure that they are VA approved. Here is a link to a website that you can check the VA approval status. https://lgy.va.gov/lgyhub/cond...    If you need assistance in your home search, my husband and I specialize in first time home buyers and investors, so please fee free to message me. 

The price points look much higher than the build to rent SFH on infill lots that I've been looking at in North Port- esp, with the added HOA and assessments. The rent would have to be a lot higher than the current market rents for these to cash flow.

@Chai Jonn If you can find an above 10% COC return in Cape Coral or anywhere in the entire country for that matter, you are my hero! I'm just not seeing those numbers anymore, esp, in Cape Coral where assessments and property taxes are high. I factor in reserves (vacancy/maintenance) so my numbers are on the conservative side. I'm looking at squeaking out 5% in a neighboring city w/ new construction. Numbers don't' work with an older home (built prior to 2015) as the high insurance cost will wipe out any returns. Just my 2 cents after doing my research in SW Florida investing. Maybe I'm missing something so would love to hear from others.

@Allan Gonzaga   - I will PM you..

We are going to build to rent w/ a turn key provider in North Port.  The turn key provider projects $1750 for 4/2 and the property manager says $1700 is definitely doable and depending on the demand can push higher.  It's on well/septic.  I was also concerned about future utility assessments. I checked with the City and there are no plans within the next 5 years. Looking at their CIP list, which is a long term program - residential water/sewer is "TBD", which tells me that it's not likely w/in the next 5 or more years.  https://www.cityofnorthport.co...    There is less than 2 months of supply in North Port and the area is booming.  Oversaturation could be an issue, but I don't see any slow down to the demand, esp. with migration patterns of people fleeing states that have mismanaged the pandemic response (ex. California).  The potential of eternal lockdowns is  in blue states, combined with a likelihood of additional mandates from the federal government, will continue to drive the migration to states like Florida. And, top that off with the new administration basically opening the borders to refugees and significantly increasing the number of immigrants we allow into the country, the demand for housing is only going to increase.  My prediction is the migration to states such as Texas, Florida, Idaho, Tennessee is going to continue over the next four years.  I may be one of them! 

@James Sampson  Sounds very nice, thank you for the feedback.  Good luck on your relocation and thank you for your service!

@James Sampson  - Hi James - did you buy the home as an investment or your primary residence?  We are also considering investing in PSL  - just in the early research phase.  Seems like many of the new builds there have HOAs.  Are you on city water/sewer?

@Danny Plueddemann  - thank you!