All Forum Posts by: Jonny C.

@Hattie Dizmond

 Wow, thanks for the info! That gives me hope. I'll have to do my research on these type of portfolio lenders in the Bay Area. Thanks again!

Hey everybody,

I'm curious as to what loan options there are for rehab work. For example, say you buy a property for 350k, but it's going to take 150k to bring it up to standard (livable). Is there a separate loan with a similar interest rate (to your mortgage) you could take out for the 150k of rehab? Or is there a way to wrap the mortgage and rehab loans together?

I was researching some old posts and, correct me if I'm wrong, it seems like you could do this with an FHA 203K loan?

However, what if you have more than 3.5% to put down and don't want to live in the property (just rent it out) what would some other loan options be? 

Thanks for your time everyone.

-Jon

Saving as much as possible right now. 3 jobs, work 6-7 days a week. But if a deal comes my way, then I'm pouncing on it! ha

It helps when the property is dirt cheap lol. Congrats none the less!

@J. Martin

Thanks for the info. I definitely will head to one once my new work schedule gets sorted out. Definitely want to talk more about investing in Richmond. It seems crazy to me because of all the stories growing up in the BA. Is it like being a slum lord? lol. Or are there decent areas w/o much crime? Anyways, I want to head to the next OAK meet up and find out more since SF is looking almost impossible to invest in these days. As a 4th generation San Franciscan, it breaks my heart.

It's looking more and more difficult to own something in SF. I think that I will look for property outside of SF in ALCO (Vallejo, Richmond, maybe even Benecia). If I can slowly acquire a few doors here and there. Then who knows, in 10 years (when I'm 40) I can  have 10 or so doors and hopefully atleast have 50K-100K equity per home. 

I study this stuff and binge listen to podcasts on bp, but the more I learn the more I feel lost some times lol. There's just a lot of variables. I still want to hopefully do this full time one day. This is my passion so. Just gotta keep plugging away.

@David Schach

I know, this place is nuts but I still love it (coming from a 4th generation San Franciscan). I could probably afford a 450-500K condo (studio, of course) with my fiance. Not the most ideal living situation, but if it means building some equity after seasoning (in this market, who knows, 100K equity in 6 months, it could very well happen). 

But... I know this market is crazy. However, the HAI is at 67% unaffordability. With some connections, I might be able to find a decent studio for <500K. I know condos aren't the best investment but in order to build equity and get me in either a 1/1 condo or an investment prop after seasoning, this maybe my only shot. 

Prices don't ever really go down in SF. Sure they went down 25-30% in the Marina after the '89 quake, but you better believe the people on Chestnut have either forgotten or never heard of it. lol

Anyways, would it still be a good idea to invest in a studio condo in SF right now? My goal is to cash-out refi after seasoning and look for investments. 

Any advice helps, y'all!! :)

Thanks!

@Arlen Chou

Thanks for the advice. Will definitely make it to an event soon. Also, I will research "house hacking". I was thinking of a 2-4 unit investment in Vallejo as prices still seem doable out there. 

As far as living in a duplex and renting the other out, that's a little tricky right now as I am lucky enough to have great rent through a family-friend that owns the building. I'd be kind of dumb to leave this apartment right now. 

Anyways, I'm starting to realize that this can be a slow process. The way some people have mentioned on the forum that they racked up "4 properties this year, 3 last year..." etc. made me feel like I could be doing more to get started.

Thanks for the advice and I will get out to an event soon.

Hello everybody,

I live in San Francisco and have always wanted to invest in real estate since I was a kid. My grandmother owns some real estate and has always inspired me to want to do the same.

Right now, I definitely do not have enough to invest in SF, unless it was with some partners (which I'm open to). However, I'm tired of constantly taking about investing, studying, reading, etc. I want to finally act on it.

I know we're nearing the height of unaffordability in the BA, but if there's a deal out there I'd like to act on it. I'm trying to move around my work schedule (Realtor by day, bartender by night - my sleep schedule is a mess!) so I can make some of these networking events.

My question is, what is a good data analysis criteria that investors in the BA like to use when looking for an investment?

My goal is buy and hold with positive cash flow (hopefully built-in equity). Wait for 6 months of seasoning and then repeat it for another property. 

The 50% rule and the 2% rule just don't apply out here. The BA is like an island unto itself as far as RE goes. 

Any advice for a newbie trying to get his feet wet without going bankrupt the first go around? lol... seriously

I always looked outside of the BA and California because I thought it was too expensive, but now I just want to keep my money here as I feel it's a lot safer/lucrative of an investment.

My long-term goal: Net cash flow of 4K/mo so I can stop bartending and only work off of referrals for my RE sales job (if at all) because RE investing is what I've always wanted to do full-time. As a kid, I can remember my grandmother going across the street to one of her properties and picking up an envelope of cash from her tenants. To this day, I think that is the coolest thing ever. 

Thanks for your time everybody! Any advice helps!

Great, thanks for all the info everybody! I appreciate the help!