All Forum Posts by: Wai Chan

Thanks for the info but I am not speaking from the rent control perspective. I have actually imposed my own rent control to my units if I feel that the tenants are good people and respectful.

The San Diego rent control is 5%+CPI or 10% whichever is less. I think it is still a lot of rent increase per year. To me, rent control in SD has no effect to me (I assume most reasonable landlords as well) at all.

 @John Gach I got you. If it is a bad tenant then it has nothing to do if there is rent control or not. You always want to get rid of such tenant.

I also have some tenants lived in my units for many years (they were there before I made the purchase) at ridiculously low rent in San Diego. Given that they have stayed there for a long time and they are all good people, I have only raised the rent just a little bit every year to try to catch up with the market rent. It may take me 10+ years to do that but I would still do it. Those tenants are old folks and not making a lot of money so I know a few hundred bucks difference mean a lot to them every month while I don't mind losing few hundred bucks cash flow for those units. I guess it all depends on the scenario so my way of doing things may not apply on you.

Quote from @Emy Bernardo:

@Wai Chan   - Unfortunately, agents in California have to join the local board, CAR, and NAR.  The costs add up.  In addition, there is a quarterly MLS ($159)and annual Sentri Key fee.   You need access to the MLS so you can see the agent only remarks, showing information,  list properties, use "Zip Forms" transaction management to have access to all of the CAR forms so you can conduct transactions/e-signature, etc.  If you don't like using Paragon for search, I highly recommend Homesnap - there is a  desktop version and mobile app..  There are also a lot of good tools you will gain access to for getting mailing lists, CMAs, tax information, market information, legal information. These tools can help you find investment properties. You will be able to deduct these costs once you start showing income, so keep track of your expenses. CAR members have free access to an income/expense tracking program called Hurdlr that is valuable.   I suggest giving SDAR a call to verify all of these costs.  I attached a breakdown of the annual dues (not including MLS or Sentri)..

Thank you Emy. Very good details. So US1300/yr sounds about right for these "mandatory" fee

 Thank you Bob. You are right. I have been thinking from an investor perspective 100%, i.e. my goal is to make sure every penny I spend will have some return. Need to change my mindset a bit since I have got the license even though I don't plan to practice

Hello, I have been a RE investor since 2014 (Own 8 SFRs in DFW and 3 triplex in San Diego) I have just passed the RE exam. and plan to use my license to do my own deal or friends. I have found a one guy brokerage who is fine with me hanging my license under him and won't charge me anything (No monthly fee, no commission split). However he told me that I need to pay around US1300/yr to join different realtor association and to get MLS access and the Sentri.

Sorry for all the dumb questions...:

1. Is it compulsory to join those realtor association as a realtor? 

2. I have been using redfin to look at the deals and I feel like the interface is even better than the MLS page that my previous realtor has sent me. What are other benefit to get MLS access?

3. Sentri key is the most important thing I want to get. Can I skip the two things above and just get the Sentri access? Does it have any dependence on other stuff that I need pay?

Just trying to keep the expense low given that I don't think I will do transaction actively with my license...

I own 8 SFRs in Dallas and I live in CA so I completely understand the mix feeling of seeing both property tax, insurance and the house value increase at the same time since 2014. Since I have purchased all properties at a good time (2014/2015) so I can live with those fee increase with just a minor bump of rent. (I feel bad for my tenants if I need to increase the rent the way the insurance company and the county charge me....) However, I have got some very big repair expense in 2021 so I have made some big rent increase (20%) for one renewal recently (from under the market value to market value). I would think the tenant may complain but they have just signed the renewal right away....this market is crazy!

Thanks Matt for the detail response. Learn something from this post!

From looking at the  §143.0720 Density Bonus in Exchange for Affordable Housing Units, it seems that my site is also eligible for affordable housing density. However, it has 55 years rent restriction instead of 15 years for the ADU. Do you know how does the FAR interplay with the affordable housing density?

Also, for the affordable ADU, do you know if they have requirement to be detached or attached?

@Justin R.

Thanks for your response. A lot of good points.

Previously I would think the zoning ordinance is something written black and white and I could just follow the rules and do it. It seems that there is a lot of secret menu behind it. For example someone is selling a piece of land with permit/land closed to SDSU now. The lot is RM1-1 and not in transit area. I forget the sq footage but it is not huge. They claim that they have plan approval for building 23 units. Not sure how they can do it. I would imagine they have some connection with the City and they have some tricks to get it approved. Something I don't understand.

Like you said, need to network with more people to learn those tricks...

@Matt Devincenzo Thanks for the input. You have saved me a trip to the 1st ave to get the FAR answer.