All Forum Posts by: David Friedman

The owner could back out anyways if you try to renegotiate, but you could attempt to negotiate the price down further. Wood foundations are the easiest to fix. If it's concrete, then it will be quite a bit more work. 

A stain is not wear and tear. If you have to replace the carpet, the cost will probably be above his/her deposit. If it were me, I would keep the entire deposit.

Hi @Anshul Jain! Welcome to BP. Have you considered investing in the Inland Empire? Many people tout investing out of state, but if **** really hits the fan, you might want to consider driving an hour away instead of having to fly to a different state to handle a problem.

Did it say in their contract that the units would be delivered vacant? Worst case scenario, you pay a lawyer $2,000 to serve and evict both tenants.

You should keep the status of the property being a duplex, but make the floorplan livable for your family. Then, when you sell it, you've retained the duplex status. Sounds like once you revert to a SFH, there is no going back. Normally, especially in Pasadena where there isn't rent control, more units equals higher value.

I live in Studio City, not too far from Woodland Hills. What locations are you looking for a multi family properties? What do you need in a partner? We flip over 100 homes a year including multi family and commercial.

@Patrick Fraire I am definitely biased! I grew up in Yucaipa and went to Redlands High School. Graduated from CSUSB. Go Yotes!

While I agree with you on your theory of established, but up and coming, I consider up and coming to be more C and B class neighborhoods. My age and propensity to deal with those neighborhoods for a high risk, high return reward is one factor. The second factor for me is the amount of money you can pump into a neighborhood to turn it around. Redlands is established and thus, buying a 4 unit there will cost you $600-800,000. I can buy 8-10 units in San Bernardino for that price. My strategy, is to buy enough of those units in one area to have more control of the area and the tenants.

I respect anybody that can find a niche and do well in real estate, so props to you for finding a strategy that makes you money. In the end I mean no disrespect. Just a sharing of minds.

@Patrick Fraire I feel like this is a very closed off view of San Bernardino County. Redlands is nice, but there are many other cities in the San Bernardino with strong job centers like Ontario, Upland, Rancho Cucamonga. Also, I guarantee you, your returns are lower than someone who invests in up and coming areas. Redlands is a known place at this point. The appreciation % over the long term isn’t going to appeal to value-add investors. If you are looking for something easy for the same return that you can get in the stock market, Redlands is your place.

I’ve flipped in Redlands before and if you or the previous owner tore down a garage without permits and the city finds out, they will most likely require you to rebuild it to today’s code. Building a garage or a carport is very easy. Probably $15,000 for the garage and another $5,000 in city fees, architectural drawings, etc. Redlands is pretty serious about this stuff. On the other hand, the city is missing a lot of documents on older houses and they may have a hard time proving there was a garage. I think it’s worth to have for your tenants, but most likely no one will know.

Hi @Pete Cardamone! Welcome to BP.

We work with a lot of investors, who have full-time jobs and don’t necessarily have the time to flip houses.

It’s expensive to flip in California, so we pair investor funds with ours and that is how we have grown to doing over 100 flips a year between San Bernardino to Los Angeles.

We have over 30 tried and tested contractors that work on our properties year round.

Our in-house brokerage markets and sells the property saving you significant agent costs.

Private message me if you’d like to discuss more. Best of luck in whatever you do!!!