All Forum Posts by: Polina Ryshakov

Quote from @Anthony Legg:

Hey BP community I’m a young real estate agent just starting out my career. I wanted to ask any experienced agents what do you do to get a thorough understanding of your local market so you can provide the most value to a client and my second question is why do you think it is that so many agents get started and give up so easily and why is there so many ****** agents running around. 
Thanks 

Check out Sundae Marketplace where budding young investors like you can find, win, and close on exclusive and vetted investment properties. Our Investor blog is also a great resource to catch up on investing trends and real estate education. Good luck!

Check out Sundae Marketplace where budding young investors like you can find, win, and close on exclusive and vetted investment properties. Our Investor blog is also a great resource to catch up on investing trends and real estate education. Good luck!  

Quote from @Stephen Bernard:

Quote from @Stephen Bernard:

Option 2: You probably have some stellar equity in the property, and it's still a great time to take advantage of that. With real estate prevalently run by principles of supply and demand,  the current value of your home isn't going anywhere. If anything, it will continue to appreciate although at a margin of what you've seen over the last several years. As rates rise, less buyers are in the market; but those that are, are typically better qualified and stronger. As such, if you were to consider taking it to market I'd caveat that you might be prepared to make concessions. 'As-Is' and off market is a way to save some heartache. 

In my opinion, we are on the precipice of a shift that will open opportunities to investors by discouraging normal competition. I think you should turn "one door" (your current sfh) into "two" or more doors; taking the equity out of this property and inserting it into a new investment in San Diego.

Conclusion: This is a great play if you are looking to ramp up your investment strategy. Some investors like the 10 units they own and want to own them until they're all paid off. Others will use each of those 10 units as a stepping stone to 20 units etc. etc. It comes down to your personal goals and desires!

 @David Codelli I would also caveat that if you were to consider option 2, you should do it with a local firm rather a big-name with a ridiculous marketing budget. You'll be covered in fees before you know it and just another cog for them to churn; a boutique business experience will help you get the maximum value with the minimum headache. I've worked with a good one in San Diego if you need a recommendation!

 Sundae doesn't charge any fees to the seller, and we have local market experts out ready to help you sell however you need! 

Is timing really everything with real estate investment deals? 

Sales of single-family homes are up from last year and prices are reaching new highs. With inventory depleting month after month & unable to keep up with demand, what does this mean for real estate investing? 

While first-time buyers face difficulties entering the market, seasoned owners are snapping up second homes. When it comes to the importance of timing and making money, property investment is similar to other kinds of investing, however investing in real estate over stocks has different advantages. 

The year 2021 holds its share of uncertainties, with the country and world grappling with what a post-COVID world might look like. It’s natural to ask how this particular time affects real estate investment. National rents are rising fast and that has has sparked a buying frenzy among investors, I would consider these four factors when deciding if now is a good time to get into property investing. 

1) The health of the economy and how it relates to the housing market

The terrain looks promising for the real estate market in general. The one downside for investors is that with relatively low inventory, home sale prices are up. This puts a strain on affordability for investors looking to buy and create income either through renting or fixing and flipping. That said, with today’s low interest rates, it’s important to consider that your overall monthly debt payments may still allow you to make money on your real estate property investment.

2) Your personal financial situation and interest rates

If you’ll be using financing, take a look at interest rates when thinking about timing on property investment purchases. No matter which type of financing you choose, the lower your interest rate, the higher your potential return.

3) Property investing = location, location, location

There is no escaping the one ruling tenet of real estate — location :) Even with many U.S. jobs going remote, renters still want to live in homes that offer access to the things they find important and make their work and play lives easier. Among the considerations are (a) the accessibility of public transportation (b) the access to freeways for commuters (c) the walkability of the area and its nearness to cafes, restaurants, parks, and grocery stores.

4) Cash flow is king

Make sure you figure out the prospective property’s projected cash flow. Its not as simple as finding the difference between your mortgage or lender payment and the project rent. Run all the numbers, from property taxes to expected maintenance to know exactly how much you’ll make each month off the property. 

That was my take, what factors would you consider before taking the plunge in the current market conditions ? 

Real Estate is generally viewed as a good asset when it comes to inflation, but often real estate is not included in the basket of goods that measures inflation, you may ask why, because we do not buy a house every month. The above graph shows what owners think they can get in rent for their house (this information was gathered through a survey). 

You can see how it tracks relative to apartment rents, its understated in the inflation numbers reported. Yes interest rates are low and so is the monthly loan payment, but the costs to keep up the house and taxes are going up, so this data point is appears lower than it should be. What's your take? 

It’s painful to see people pulling back from the market in fears of overpaying because of false narrative that affordability is declining. No economic theory, and no policy works perfectly in isolation. It’s not accurate to use median household income to measure affordability. You may ask why, it’s not a good measure because it doesn’t account for savings or passive income or profit from the stock market. Median household income reported by census only measures wages. And rarely do stabs at measuring affordability use real vs. nominal dollars.

You are welcome, like they say "Data will talk to you if you are willing to listen" :)  

If you want to buy a home, don’t let the headlines about affordability discourage you. You may not get the deal your friend got last year, but you will get a better deal than your parents did 20 years ago and your grandparents did 40 years ago :) 

Facts can be stranger than fiction! 

As a property investor do you need a real estate investment attorney? 

Hiring a real estate investment attorney depends on a few factors. These include where you’re buying, complexity of the transaction. Answering the following questionnaire can help you decide.

Property Location: Some States often mandate the presence of an attorney. If you’re buying property in a state such as New York or Georgia, you won’t have a choice but to hire a lawyer.

What will real estate attorney do for you?: Foremost a real estate investment lawyer can help explain to you every part of the buying process, including financing like Tax liabilities. A good real estate investment attorney makes the process seamless—in the end saving you time and money and avoiding complications down the road.

You might need a real estate investment attorney if you are 

• a) New to real estate and/or real estate investment.
• b) Your real estate investment deal is complicated 
• c) Your financing is coming outside of a traditional bank loan 
• d) If the sale is a short sale or foreclosure
  
• e) You need help negotiating a contract, concessions, or other aspects of the deal.
• f) You want advice on Tax implications.

Of course there are many more reasons that I haven't listed it here. Do keep in mind the attorney you hire is familiar with real estate investment properties. The  key is to find a real estate investment attorney who you can work with as part of your business for years down the line.

Always remember patience and planning are essential in RE Investing, always seek professional help if you don’t want to find yourself in a bad investment.

 Signs of inflation are everywhere. The sticker shock is real: From grocery stores to gas stations, you can't escape it.

And there are good arguments on both sides of the ‘will inflation stay or go?' debate. In fact, June marks the third straight month of core inflation surge, making those levels the highest they’ve been since 1992.

But what is in store for Real estate? Historically residential real estate has proved to be a haven during periods of high inflation. Real estate has the ability to earn income through rental payments that can be adjusted as prices go up — a boon for investors or homeowners who choose to rent. As inflation numbers go up and prices for other needs go up, fixed monthly mortgage payments for the previously purchased property remain the same. Not only that, but real estate has the ability to earn income through rental payments that can be adjusted as prices go up — a boon for investors or homeowners who choose to rent. That’s why single-family rental operators are deploying billions of dollars to buy rentals. The best and simplest concept to understand is hotels. They have nightly lease terms. If inflation rises, hotels can immediately adjust rates. While yearly rent can’t be adjusted quite as quickly as a night’s hotel room, it does respond to market forces.