All Forum Posts by: Matt K.

This approach wouldn't really make sense in a lot of markets. New homes in theory would command a premium, but that doesn't mean the neighborhood could/would support it. There are infill projects where this does happen, that would be an exception.

You would also have to account for time, it can be slow to get permits (if even allowed) and then you'd still have build time.

You would be better off making agressive offers on the property that would account for the potential decrease in value. And since this is assumed to be a rental, you could also spend the extra effort to really dial in the exact rents vs ballparking it.

0 Votes

San Francisco, California

Quote from @Elizabeth Cavanagh:

Quote from @Michael Baum:

Hey @Elizabeth Cavanagh, so I don't doubt there will be some demand. I do believe that the tech industry has moved towards a remote work type strategy, but there will always be folks traveling to and from the area. Just not sure if they will stay 30+ days at a time.

When I was working I would travel to various sites to train or teach folks, work on demos etc but I rarely stayed more than 2 weeks at a time. That included the area you are talking about.

What is the average purchase price for a place there? I can't imagine there are many bargains. Have you calculated what you could expect for nightly rate for 30+ day stays?

@Michael Baum I think I could get around $2500/month for a 30+ day rental. Purchase price would be around $365k and I have calculated the other costs (HOA, property tax, insurance, maintenance...) - I'm trying to talk to someone who is in this space to see if the $2500/month for a 1 bed/1 bath is what's advertised as available or what investors are actually getting for rent from MTR. And yes, you're right, there are very few bargains! Thanks.

I might have a contact for you, they operate in that space and post here sometimes as well. Let me see if I can get you an intro.

If you're ok with 2500 you might also be close to a traditional rental. By time you figure in the added expenses of mid term rental and potential vacancy/turnover a regular rental at slightly lower rate could also work out the same. But that's going to really depend on where the condos are as it can change quite a bit depending on location.

Feel free to message, happy to help out I'm local.

1 Vote

San Francisco, California

Quote from @Matt Devincenzo:

I'm not familiar with KCMO, but typically those zoning 'clarifiers' are for what are known as overlay districts. It's a footnote to the standard zoning rules essentially. I did a search on KCMO for overlay and it's the Wornall Homestead Overlay District is my guess.

Thank you, this makes way more sense now... And thank you even more for the actual links.

0 Votes

Kansas City, Missouri

Doing a bit of digging, but coming up with a question I can't exactly figure out.

There's this flow chart, mentions no STR permitted in "R-6(WHO)". I'm familiar with R-6 zoning, from what I can see STR are permitted within that. What I can't seem to find an answer to is the WHO part lol...any thoughts?

0 Votes

Kansas City, Missouri

I went to KC, got annoyed I couldn't find people I liked working with so made the connections myself haha. Was a huge pain but paid off now, lot of sharks that see $$ when someone from CA.

Happy to share my experience and answer any qu questions.

1 Vote

San Francisco, California

Quote from @CJ Wilson:

Quote from @Matt K.:

Quote from @CJ Wilson:

Hi BP!

I’m researching the schools in a zip code I’m interested in using www.greatschools.org. Do you generally include the charter schools in your analysis or mostly focus on public?

It'd depend on the value you're placing in the schools. Most places have a popular school/district with the residents, but it's not always reflected in the ratings. You'd have to dig on social media and local blogs etc.

But generally speaking as long as the schools aren't actually terrible, it likely won't have a huge impact on the property or it's already priced in.

Ok thanks. I'm looking in West Oakland where the public schools seemed to be rated pretty poorly. You mentioned checking social media or local blogs, how do you go about finding that information?

Google, next door, Facebook....

But what's your play here? Why you targeting schools for a value add to the property? West Oakland is plenty popular with working professionals where school isn't as important as commute/social (food, nightlife, stuff to do).

Just search west Oakland blogs and add schools at the end if you want more focused on that. You're looking for schools that have a strong sense of community, where people would want to move into a rental to go to...

0 Votes

Oakland, California

Quote from @Amery Castaneda:

Hello All,

I'm hoping on here to ask some questions regarding a situation I came across with. I have a family member that rents out a duplex he has been notified that the owner wants to sell the property. Not sure what the condition of the other duplex is but the duplex where my family lives in needs work done its a 3 bedroom and 1 bath. It needs a whole new carpet and the kitchen needs to be remodeled for sure, it probably needs new windows as well. The backyard is near Bart train tracks so it will need a new fence to block from outside viewing inside. The bathroom was recently remodeled. This duplex will be going up for sale around 700k.

I'm new to all the investing stuff have no properties but want to jump on this deal with my husband and my uncle that rents out this duplex. This deal is not on the market yet. However, I don't think the price the seller is asking for is good for what the duplex needs to be repaired for.

Any suggestions on how to handle this? What will be my best route? Me and my husband have gotten pre-approved for 550k. The seller is an elderly lady that potentially wants to sell and get rid of home. There is a tenant already on the other duplex.

Should I get and appraisal to see how much the duplex is really worth then submit an offer after the appraisal?

Everyone is welcomed to comment thank you!

Don't get an appraisal, that would be waste of money as you'd need to do another one once it went to underwriting if you got it.

Message me and I can help you out with everything.

0 Votes

Oakland, California

Quote from @Matt A.:

I own a one single unit condo in Oakland, CA and am having trouble finding an attorney to hire to assist me with the following three things. The ones I reached out to only seem to work on large multi-unit buildings, not single unit condos. Any recommendations toward an attorney I can hire for a small single unit condo project like this?

1. Review contractor's contract (before I sign it) for the renovation I plan to have done on my condo. The review is mainly to verify the contractor can't charge me more than the amount I believe I agreed upon with them.

2. Verify that once the above renovation is done (and I've installed various appliances I have in mind), the condo will be up to code enough to be able to rent out to a tenant. If the attorney can not verify this themself, I'd probably have them verify whichever property management company I hire is certified to verify this.

3. Verify I'm using the correct lease paperwork to rent out the unit. If the attorney can not verify this themself, I'd probably have them verify whichever property management company I hire is certified to verify this.

Thank you!

You don't really need a attorney for the first item. Most contracts like this aren't that complicated and it wouldn't be that hard to see the risks in them. Where there specific parts you had concerns about?

Second item going to fall on the licensed contractor. They'll be responsible for the work/permits. The city would then verify it's up to code. You could source this out to a home inspector if you wanted a second opinion.

Third item, you could just have the property management company do it (if you are using one). You should also check with your HOA to see if they have an addendum or if you're not using prop management you could ask them for a lease as well. If that fails you could always fall back to an attorney to draft one for you, but there's so many resources out there you wouldn't really need this. Oakland is pretty tenant friendly, so even the best lease isn't going to undo that. With that said, you still want to make sure you have a legal contract, not something pulled out of thin air.

0 Votes

Oakland, California

Quote from @CJ Wilson:

Hi BP!

I’m researching the schools in a zip code I’m interested in using www.greatschools.org. Do you generally include the charter schools in your analysis or mostly focus on public?

But generally speaking as long as the schools aren't actually terrible, it likely won't have a huge impact on the property or it's already priced in.

0 Votes

Oakland, California

All Forum Posts by: Matt K.

Matt K. has started 11 posts and replied 3833 times.

Post: Multifamily Creative Deal in San Francisco

Post: New Home Build Cost Comparison Tactic

Post: Anyone doing MTRs in Walnut Creek, CA area?

Post: Zoning Help/Question: What is R6 (WHO)?

Post: Zoning Help/Question: What is R6 (WHO)?

Post: Bay Area out of state investors?

Post: Include Charter When Analyzing School Districts?

Post: Duplex for sale in San Leandro CA

Post: Need lawyer to review construction contract and residential lease

Post: Include Charter When Analyzing School Districts?