All Forum Posts by: Ori Skloot

Hi Dustin,

Still doing my due diligence.  I have a few leads and I've been learning a lot about the market down here.  I think there are some very good opportunities, but I am aware that I am well out of my field of experience here so I'm taking it slow.   I do have some contacts at this point, a couple of them are people who are realtors who also do property management in Cancun area.   We have vacationed in Bacalar twice and loved it.  They were building a house right next to the one we rented right on the lake.  Completely isolated and beautiful.  I heard from the guard (so not sure how accurate is the information) that they are selling the new house for $350k, which seems like a great price to me.  We stayed at an identical house that we rented for $500 per night.

What type of property is your friend looking for?  Why is he looking in this area and not DF?

Hi Joey,

I have lots of contractor colleagues that do work in San Francisco.  If you care to post more details about your project: sqft size, any foundation work, budget, etc. that would help me tell you if anyone would be interested.  Pro-tip: don't be afraid of sharing your budget up front, it will save you and your future contractor a lot of time. 

Thanks for the info @Chris Mason...now we just need all those Covid-19 loan overlays to relax.

@Mark Altin you can certainly look up lots of macro data about crime, schools, income, etc. in different parts of Oakland pretty easily by doing some quick web searches.  Nothing will substitute actually knowing the area, as the areas where most investors are looking these days in Oakland can vary greatly from one block to the next.  A lot of folks are looking at East Oakland because the numbers still work.  Especially if you are going to live in one of the units, you may get some good numbers if you move in to a unit that is significantly under-market because of rent control.  I think @Brian Garlington has found that kind of deal for his clients where they end up living "for free" in a building they own.  I agree with @Angelou Masters that rent control can be a major PITA, but I wouldn't let it discourage you from looking in Oakland.  My 2 cents.

Thanks @Paul Shannon and @Bob Langworthy, those are great rates!   Paul I'm looking for something similar to the structure you setup with a step-down of the interest rate as work is completed.  Bob, I assume that because the office building is stabilized and that you have a rental history that you got that great rate.  Probably won't apply to us in our situation.

Hi folks,

I have a property in Richmond, CA that currently has several warehouses but the zoning has been changed to high density residential. I have plans to develop 10 live/work lofts and want to get a $2.1M construction loan that will then convert into a standard loan once the property is stabilized.  

I have had some preliminary conversations with BridgeBank, Fremont Bank and Heritage Bank.   One bank said 80% loan to cost at around 5%.  Another said 65% loan to value but at 4%.   This is once the property is stabilized.  

Anyone have any info on recent commercial loans they got in the SF Bay Area and the type of rate and terms?  Any recommendations for other banks to talk with?

Thanks!

Ori

I agree with @Darius Ogloza.  In 2017 I sold all of my out of state investments and 1031 exchanged into buying in the East Bay.  Buying locally and controlling the property yourself Is a much better way to learn about real estate and capitalize on appreciation.  Don’t get discouraged by making many offers that are rejected.  On the first property I bought I visited over 100 properties and put offers in on around 20-30 of them.  Finally one of my offers was accepted and I own that property today (with over $1M in equity appreciation).  Don’t give up!

@Hayden H. awesome work!   You pulled it off nicely even with all the curve balls.  

@Arlen Chou you said that much more eloquently than I did.  LOL. 

Depending on how the water lines for each apartment connect to the meter, it may be an easy solution to submeter the water lines on your side of the meter.  The submeters are cheap ($125 per meter) and simple to install.  You can have someone manually read them or have them connected to the cloud, and then you charge back the tenants’ actual water consumption.