All Forum Posts by: Nick Hedberg

@Arvi Carkanji has some great questions to help you screen out many agents. Full disclosure: I'm very biased... :-)  

I would always go with your gut. If something stinks and they are saying something that doesn't feel right. RUN.

• What is the 1% rule?
• Do you have any off market properties?
• What strategies do you use win in multiple offer scenarios?
• What techniques do you use to help me land a great deal?
• What criteria should I be using?
• What areas do you think will have the most potential appreciation and growth?

@Mikhail Malamud I would call Santa Monica and ask for the permits on the property. You probably need to do a records request for the permits.

When you get the home inspected, provide the permits to the inspector and ask him to identify any potentially unpermitted work. Your agent should be able to help pull title and give you some more background on the property, but only for major changes.

If you don’t have an agent, PM me and I can help.

https://www.smgov.net/Departments/PCD/Permits/Records-Request/

@Danny Gomez - Double closing is not required but it is an option. A contract can also be assigned for an assignment fee in California. For a double close you either have to bring funds to the table or get a bridge loan.

I use Tony Watson with Bob Hall and Associates. He is fantastic and works with many real estate investors, plus he owns properties. He also regularly speaks at events & seminars. I met him at one where he was speaking with Bruce Norris.

https://www.roberthalltaxes.com/team/tony-watson/

I love it! Either a multi-family or a condo will work, just make sure you can ADD VALUE. Buy a dump and spending your time fixing it up. A condo would be the easiest, but would have the least upside. If you do multi, I strongly recommend you buy in a non-rent controlled area like Hawthorne or Long Beach as others had mentioned. California is a tough state to be a landlord due to the laws that heavily favor tenants. Do you research and know the rules before you buy.

Either way you are on the right track. Keep hustling!

Hi @Sol Bier,

I would recommend Sondra Steffan: http://www.sondrasteffan.laltic.com/

I've worked with her for years and she is fantastic. Tons of tools that can help you build your business.

Nick

@Brian Cheng - I can tell you are a good guy by wanting to tell them. You are doing the respectable and professional thing by letting them know. This allows them to not waste their time (and money) on looking for properties for you. If you have a strong relationship with them then you should meet face to face or call them. If you don't know them very well then a text or email will suffice. Regardless you should let them know!

The script is simple, thank them for their work and tell them you aren't seeing properties that aren't meeting your criteria. As a result you have found another agent that invests and is a better fit.

It's just like breaking up with someone... just pull the bandaid off and get it over with.

Bringing up an old topic . . Any thoughts on how maintenance expenses vary in Tahoe compared to other areas? Snow removal, etc.

@Marcos Urvina - I've heard of someone converting a garage for as low as $30,000 doing the work themselves or $70k for a contractor to do it, but that's cheap. I was talking to someone and they spent $400k on their fancy 2 story ADU. Below is a website where people are averaging $297 per SF in Portland. I would expect LA to be higher. Many new builds are done for $300 - $350 a SF. I would expect ADUs to be in the same range.

Link: http://www.buildinganadu.com/cost-of-building-an-adu

@Amit Gupta - Michael is absolutely correct. It's possible and common in Santa Monica. Santa Monica has a tough permitting department and it can be quite pricey. Make sure to factor in long delays in the permitting process and for building out the addition. Also make sure you have a great contractor, they can be tough to come by.