All Forum Posts by: Jeffrey Palmer

That could kill the idea

Has anyone added 2 ADUs to a single family home and does it pencil?

I see mostly new development deals--houses and quads.

Can you still make money renovating houses, adding ADUs, and selling?  

Investment Info:

Small multi-family (2-4 units) fix & flip investment.

Purchase price: $1,100,000
Cash invested: $1,100,000

Substantial renovation of a 4 unit quad in Los Angeles, Converted 2 bedrooms to 3 bedrooms. Looking for new construction small unit apartment projects in Los Angeles to invest in as a money joint venture partner for lease and sell.

I am interested in investing in fix and flip joint ventures on multi units in Los Angeles County. What are typical deal terms?

Preferred Returns

Splits

Fees to Sponsor

Profit Margins

Financing

Co invest requirements for Sponsor

I assume that if you just want to make loans with your own money to business associates, you do not need a license if it is negotiated through a real estate brokers. Is that correct?

Section 10131.1(b)(1)(C) of the CA business and professions code

(C) The making of eight or more loans in a calendar year from the
person's own funds to the public when those loans are held or resold
and are secured directly or collaterally by a lien on residential
real property consisting of a single dwelling unit in a condominium
or cooperative or on any parcel containing only residential buildings
if the total number of units on the parcel is four or less. However,
no transaction negotiated through a real estate broker who meets the
criteria of subdivision (a) or (b) of Section 10232 shall be
considered in determining whether a person is a real estate broker
within the meaning of this section.