All Forum Posts by: Johnson H.

Diane, looks like someone purchased Yorktown for $1.75 million in September 2017 and is now flipping it. It will sell for much more than list of $2M as it is just the teaser price is my guess. The buyer for the $2M house is probably going to add a lot of square footage with their large 6k lot for the area. 

Hi Kusum, I am an Outer Sunset native. Please don't dis my area too much :)

There are a lot of great areas of SF that I haven't seen named. Lake Street (old money), Laurel Heights (near USF campus), Forest Hill and extension with great views, West Portal (muni station, some big lots), St Francis Woods (old money, huge lots), Merced Manor near Lake Merced, and Inner Sunset (demand from UCSF will always be there), Golden Gate Heights (great views), Noe Valley (trendy). It depends if you want a large lot, weather, close to transportation, in walking distance to food and transportation, or don't mind driving. 

I don't think you can go wrong with a SFH for the long term. I feel the same way about this market as you but SFH will always be in demand from those wanting out of the condo life and new SFH are hardly being built in SF. All the areas I named above are in demand for one reason or another. They maybe not as trendy as Pac Heights or Sea Cliff as they are the cream of the crop but your budget will go further.

My final thought is that some homes have a empty first floor that you can expand the livable space easily. A bit harder but still doable is expanding the house in the back if you have a large enough lot or even adding a floor to a house to force appreciate your house if the cost of building is cheaper than the price per sq ft to buy.

Hi Jared. I am not interested in this property but if you have anything else in the San Francisco area, please let me know, thanks!

Hi All,

It's another month and time for another real estate meetup! These meetups have had up to 82 BiggerPockets and Meetup.com members chatting about investing in the San Jose area and also out of state. Just come by and mingle, there is no set agenda. We welcome anyone who would like to attend!

When: Tuesday, February 27, 2018, 6:30pm (usually I'm around at 6!)

Where: Parktown Pizza Company (Find us in the back area/room this time.)

1350 S Park Victoria Dr
Milpitas, CA 95035 http://www.yelp.com/biz/parktown-pizza-company-milpitas?sort_by=date_desc

Please support the small business by spending some money and tipping for the great service we receive every month! (I don't pay for the space nor do I receive anything from the restaurant)

In lieu of the round of introductions due to noise, you may introduce yourself and/or list your haves and wants in the comments section of this meetup.

Looking forward to meeting new investors and seeing familiar faces.

Thanks,

Johnson

South Bay , South Bay Meetup , Bay Area , Meetup , Meet up , Meet-up , San Francisco , Oakland , Berkeley , Alameda County , Contra Costa County , Solano County , Richmond , Hercules , Concord , Albany , Pittsburgh , Marin San Rafael , South Bay , Peninsula , Walnut Creek , Pittsburgh , Antioch , Pleasanton , Fremont , Castro Valley, San Jose, Milpitas, Sunnyvale, Fremont, Palo Alto, Santa Clara, Mountain View, Gilroy, Santa Cruz

Hi MJ, could you provide the details? This one sounds familiar and the comps didn’t support the margin if it’s the same one I saw recently. Also, I would be interested in your SM property as well. Thanks!

Last I read there is suppose to be even more commercial condos and a large grocery store built for the second phase of the development. I am not sure where they are at on that.

Is this for your own business or are you buying to rent out? I would take a look on Loopnet and CL to see how many are vacant, for lease and how long they have been vacant for. The times I’ve been to the complex it seems the units in the back are vacant and not very busy. 

@Will Lee - When you say flat, is it a condo? Or is it a TIC or a unit in a multifamily building and the landlord owns the entire building? If it's a condo, since the tenants moved in after 1996 there is no rent control, only just cause eviction. You'll have to give 60 day notice for an increase of over 10%. Take a look here:

https://www.sftu.org/rentcontrol/

Since the elderly couple has not lived there for more than 10 years, I do not believe they are a protected tenant but once they are protected, you'll have to be careful on what you do as well. 

The amount of cash for keys just depends on the negotiations between the two parties and the financial upside of the vacant unit for the landlord. For example, low rent occupied homes in SF sell for a discount. Let's say you can realize an additional $300k if the house was vacant, is $100k buy out worth it? Of course you wouldn't start at $100k but many times the numbers work and the landlord will do it. However, there are tenants that will never accept a buy out as they like where they are and have no where else to go for the amount they can afford.

I really would recommend finding a SF based lawyer that does real estate landlord law, not tenant law to get your options on what can be done with raising rent or if you want to move into the unit. There are plenty to choose from on Yelp with great reviews.

Thanks for sharing the PPM @John Nachtigall

In one of his videos, he mentioned that he buys the asset first then syndicates it afterwards but I am unsure of this for this PPM. Pretty slick presentation.

Hi Brian, I am honored that you tagged me. Looking at the names that you tagged, I don't think I belong to be mentioned as a go-getter. The struggle into prime Bay Area multifamily was real for me in 2017 so I am in your latter camp of needing this more than they do.  Thanks for forcing me to think about this before the new year. Here is the list of things I think I need to work on for 2018. 

1. Increasing lead generation. As I am the small fish in the big pond, I need to work harder on securing leads on off market deals from agents, brokers and wholesalers which will involving more reaching out and networking by me.
2. Loosening my underwriting. My underwriting has been too stringent due to my irrational fear of the next correction. @Account Closed, keep kicking *** in what you do. I heard you speak at J Martin's summit and have followed your endeavors.  It's been great to see your company grow since our meeting in Santa Rosa many years ago.