All Forum Posts by: Peter Chester

As a Santa Cruz resident I worry about this a lot. I think you have a good idea. 1031 to something that you have researched that you feel more confident in. 

I personally would not buy property in the fire zone or where I see real risk of sea water / flood damage. But I’m also not convinced that all of Santa Cruz should be written off. My house is pretty unlikely to get hit by fire or sea water in the next 100 years so I’m optimistic my area’s insurance won’t go too wild any time soon. And I’m about a mile from the ocean which is still close enough to surf frequently. 

Climate change is a serious variable and definitely should be accounted for to the best of your ability in your investment strategy.

I'm reviewing an operating agreement for a project and noticed a clause affording a budget of $100/h for a property manager. I'm so used to seeing property management discussed as a % of rents or turnover fees that I'm not really sure what to make of this.

Do property management companies typically have an hourly rate? What's a typical multiunit hourly rate in the SF Bay Area?

Our good friend Datta Khalsa who runs Main Street Realtors often has a series of such lost on his inventory.

http://www.mainstrealtors.com/agent_DattaKhalsa.ph...

He's the first guy I'd go to if I was looking for a woodland lot in Santa Cruz.

I'm in Shane's boat. Seconding the call for a solid local general contractor if anyone has a recommendation. 

thanks Leslie! @shane Pearlman and I are out of town on that date. I look forward to seeing you next time!

Likewise @Account Closed for putting this together.

@Account Closed- Thanks for the wonderful breakdown of perspective! The part that I'm trying to get at is where you wrote "We agreed on how much the partner would pay me on each deal for the work that I put in. All in all, it has to be the dollar amount or percentage that both of you guys believe it's fair."

How do you formulate or think about that agreement?

@Michael Worley- That is a very helpful insight. Actually, there's enough trust in our relationship that Shane's probably going to have all the money in an LLC to his own name, get the property, and then add me to the LLC. Have you heard of people doing that? You think there's anything to worry about with that approach (aside the obvious need for serious trust in your partner)?

@Jeff Greenberg - I totally get where you're coming from. I'm starting by acknowledging that this will not be an even relationship. I figure if we can find a way to articulate how it's not even then it makes our future interactions really easy. Shane and I are also business partners in web tech where we really are even and we happily proceed with a 50/50 split.

Thanks @Jeff Greenberg. That's how we roll with our web business. The problem in this case is that we're really not 50/50 and we're trying to figure out how to articulate how far off we are.