All Forum Posts by: Jeffrey Chen

Does two multifamily mean 2 Duplexes?(4 units)

Is your goal to turn it around for 700k or rent it out after your refi? If renting, what's the expected income from each unit?

Would be good to have some more numbers to see if the risk you're taking is worth the squeeze.

First off, I hope your tenant is well. From my anecdotal experience as a physician, less severe strokes generally show improvement within a few weeks and the patients are sent home for rehab. If the stroke is more severe, they may have to transfer to a nursing facility(and may or may not return to the primary residence). Whether in a nursing fac or at home, the majority of recovery typically happens within 6 months.

This isn't medical advice but maybe it can help give you a rough timeline so you can make the right decision for both you and your tenant. Good luck, stay safe!

It's always a bad time for a bad deal!

Marcus I'm in the same boat, trying to decide on the same thing! What do you think the ARV of your condo would be after 50k renovations on a 750k condo? I'm thinking if your comps are 900k, you might be in good shape, all things considered in LA.

Twana, is that rate of 2.75% lender dependent? I haven't found anything under 3% so far from the lenders I've inquired within.

Aaron, thanks for the informative reply. These answers are on point and exactly what I was looking for!

Are condo/townhomes in the area a viable alternative or do the returns on these properties(with HOA) typically kill the deal?

1) Great suggestion, thanks!

2) How have you seen COVID affect the local market so far?

3) Great advice as well.

4) Looks like I'll have to look more into this.

5) I meant specifically Property Taxes: if after you rehab and increase the value of a property, do you start paying property taxes on the newly assessed value? Or do you continue to pay taxes on the previous value?

Hi BP forum!

I will be moving into the San Fernando Valley in a few months, and will either be purchasing my first property, or renting while patiently looking for deals as the pandemic continues. Either way, I have my first property in my sights and my goal is to eventually scale up as a REI. The locations I am considering, in order of preference: Woodland Hills, Tarzana, Encino, Sherman Oaks, Calabasas. All of these areas seem to have appreciated significantly in the past several years, except Woodland Hills, which is why this is my focus(please tell me if I am wrong about this).

My goals:

1. Buy an under-value property, fix it up, house hack.
2. Purchase price @ 70-79% of ARV(shout out to Graham Stephan and Meet Kevin, who is a successful Youtuber and REI in the neighboring county. The LA market is tough and by analyzing his deals I figured he generally purchases at ~75% ARV, then puts in 10% of PP repairs, so this should be a reasonable target)
3. Looking for a house with an ARV value of about $700-800K
4. BRRR and cashflow sooner than later.

Obstacles:

1. VA and Physician loan requirements for the condition of a property- may limit my options for fixers.
2. Limited capital - though my new job should provide steady income
3. The obvious LA market.

I have been pre-approved for the VA Loan(0 down 3.2% interest) and also have access to Physician Loans. I realize that cashflow in LA is tough, and I don't have enough capital to do a real BRRR, so I am looking to start by house hacking. I've been doing research for the past 6 months, and I'm trying to learn any important lessons before jumping in. I would appreciate some insight/pointers from the BP community. Thanks!

Questions I have specific to the area:

1. Any insight into finding a good fixer? House size, # of BRs, Logistics, location recs?
2. How is the rental market?
3. How could I make a turnkey property a good “investment” in this market?(assuming fixer limitations from my loans)
4. “North” vs “South” of the blvd as far as investment outlook? North is cheaper, but the communities are generally less desirable. South is more developed and expensive, but I’m not sure if it’s a good rental/investment market.
5. Tax question: If I buy a 600k House, and after repairs it is worth 750K, When, do I pay taxes on the 600k vs. 750K?

I know, that’s a lotta info and questions. Thanks in advance!

Hi BP forum! 

I will be moving into the San Fernando Valley in a few months, and will either be purchasing my first property, or renting while patiently looking for deals as the pandemic continues. Either way, I have my first property in my sights and my goal is to eventually scale up as a REI. The locations I am considering, in order of preference: Woodland Hills, Tarzana, Encino, Sherman Oaks, Calabasas. All of these areas seem to have appreciated significantly in the past several years, except Woodland Hills, which is why this is my focus(please tell me if I am wrong about this).

My goals:

1. Buy an under-value property, fix it up, house hack. 
2. Purchase price @ 70-79% of ARV(shout out to Graham Stephan and Meet Kevin, who is a successful Youtuber and REI in the neighboring county. The LA market is tough and by analyzing his deals I figured he generally purchases at ~75% ARV, then puts in 10% of PP repairs, so this should be a reasonable target)
3. Looking for a house with an ARV value of about $700-800K
4. BRRR and cashflow sooner than later.

Obstacles: 

1. VA and Physician loan requirements for the condition of a property- may limit my options for fixers.
2. Limited capital - though my new job should provide steady income
3. The obvious LA market.

I have been pre-approved for the VA Loan(0 down 3.2% interest) and also have access to Physician Loans. I realize that cashflow in LA is tough, and I don't have enough capital to do a real BRRR, so I am looking to start by house hacking. I've been doing research for the past 6 months, and I'm trying to learn any important lessons before jumping in. I would appreciate some insight/pointers from the BP community. Thanks!

Questions I have specific to the area:

1. Any insight into finding a good fixer? House size, # of BRs, Logistics, location recs?
2. How is the rental market?
3. How could I make a turnkey property a good “investment” in this market?(assuming fixer limitations from my loans)
4. “North” vs “South” of the blvd as far as investment outlook? North is cheaper, but the communities are generally less desirable. South is more developed and expensive, but I’m not sure if it’s a good rental/investment market. 
5. Tax question: If I buy a 600k House, and after repairs it is worth 750K, When, do I pay taxes on the 600k vs. 750K?

I know, that’s a lotta info and questions. Thanks in advance!