All Forum Posts by: Ryan H

I am on the receiving end of the Bay Area migration.  Selling a Sonoma duplex I hacked in 2014. Purchased $344k, put $130K into it, Listed for $750k, in contract for $802k.  Multiple offers before formal listing. 80% of the offers were from San Francisco.

Thanks for the responses everyone.

While I don't have another unit to move the fridge to, I am going to write up lease addendum and have the tenant move the fridge to the garage on site and move it back after they leave.

Thanks to everyone for the comments and for bringing up some items I had not considered like @Scott Mac with the amp draw for the new larger fridge.

A few items to clarify:

This is a SFR rental that was gutted and rehabbed soup to nuts so power for a larger fridge is fine.

This is in TX and renter supplied washer dryers is common but not much else in the way of appliances.

The supplied fridge is only +2 years old.

I don't really have a place to put my fridge if the new fridge is moved in being an out of state REI.

Tenant is unwilling to leave their fridge even if I give them mine in exchange.

Tenant already has blown their deposit on repairs so there is no bargaining there.

One idea I had was they could move their fridge in from their storage unit and move my fridge back to their storage unit on their own dime.

When they move they either have to move mine back in or leave their bigger fridge.

During a recent inspection (multi year tenant in C+ area), my tenant said they bought a new bigger fridge on sale and would like to move the provided fridge out and move their fridge in.  The fridge provided is a nice stainless steel 20 cu. ft. model.  They bought a 30 cu. ft. model which they have in storage.

Would you let them move the new fridge in knowing they would then take it out when they move?

Would you charge them to move the provided fridge out and back in again after they move?

I am considering telling them no flat out but it is a long term tenant and would be open to some other creative solution.

What would you do?

I agree with @Brian Burke on this one. As a Sonoma County architect, PMRD can be tricky. I saw this property come on the market a while back and considered it as well. What stood out to me is the adaptive re-use options.  However, I also could see a number of issues with trying to make an old world design meet new world regulations.  Some items to consider are accessible path of travel (gravel is not going to cut it), potential elevator, potential historical preservation involvement, and the biggest issue is if a business can garner enough clients to cover the cost and still make a living.  Forestville is a bit of a "stop for a snack" kind of place on your way to Bodega Bay or Guerneville rather than a destination.  Personally, I think it would work much better as a multi-family co-operative housing situation but that is a whole other yarn to knit.  Best of luck.

I also invest in Dallas from California and agree with what others have said. Something you may want to try is contacting some local wholesalers buy calling the number on bandit signs or "As-Is / Cash Only" postings on Craigslist and explain what you are looking for and ask to be added to their buyer's list. It is the way I have picked up some properties that are averaging 15-17% CoC with enough equity to pull out now that they are stabilized to buy another one.

Deal.... If you don't want it.  I will happily buy it.

If you do buy it... double your rehab budget.

You may not need to spend it right away but that first year with a tenant in it, I bet a fair number of unforeseen repairs will start showing up.

I would agree.  Try to get them on a bank account autopay system.

I have also had renters deposit cash directly into my account .

There is also this option where they can pay at local shops like 7-11

http://paynearme.com/en/

Sorry, I don't know much about the Sacramento markets.

Greetings Nikoletta,

I am also in Slow-noma and deals can be hard to come by now a days but they are still out there. If you are comfortable with borrowing capital either from family, friends, banks, or private individuals or are flushed with $800K; then you can can land a deal here. Personally I believe it is more about getting your feet wet based on your budget. If you have any sort of a network outside of the Yeah-area, see what the market is like where they are. See who they may know there to help you build a team of agents, GCs, PMs, etc. Also, call a wholesaler (Any "I buy houses for Cash" ads you may see around) in that market and introduce yourself as a buyer and let them know what you are looking for. Once you start analyzing deals you may find some interesting ideas start to happen. Start at analyzing one a day and work up to ten of more a day. It gets quicker the more you do. Look up any area you are considering and analyze the lower priced MLS listings for practice.

But most of all..... know you first.  

Do you need to be able to drive by your rental every week, day, hour???

Are you okay with just phone and texted picture updates on a rehab?

How far are you willing to drive or fly to inspect your property? 

Read everything you can about REI.

Think about how it may fit with your personality and eventually, you will find a good fit.

Best of luck.