All Forum Posts by: Ryan Hopkins

@Noam Birnbaum there are a whole slew of issues you have to deal with, especially in secondary units and in Alameda county. Zoning, setbacks, HOA restrictions, utilities (sewer, electrical, hvac) are all going to determine if something like this is even feasible let only financially possible. Have you done any leg work to that effect?

Of course you can attempt to go the inexpensive route and purchase existing plans or have the builder draw them up (if he provides that service) but your construction costs alone (not including soft costs) will be at at least $300/ft. If the house is in Oakland that drives up pricing and contractors are beyond busy right now so ones that are giving you inexpensive bids are either not good at what they do or they are simply trying to win the job by specing low cost building and then in come the change orders. 

My advice would be to do your leg work, find out as much as you can before even considering this as an option, be very realistic with you numbers so construction doesn't lag and become a headache. SIP panels are great in theory, not so much in other ways. Prefab in general has yet to prove itself more cost effective and depending on your lot can be a nightmare to install. Tiny homes are interesting enough to maybe work in Oakland...depends on what you are looking to get out of this. You can go buck wild and get a yurt...I wouldn't advise. Not sure what other options as the site needs more analysis.

On the bright side you are right to try to introduce passive cash flow especially in Oakland. You are adding value to the property so don't forget to include that in your analysis. Talk to a local real estate agent to understand what the norm is in your area for rent and for finishes and square footage. 

If you'd like to chat more feel free to contact me as I work in the bay and am married to a real estate agent!

Best of luck on this journey!

@JaNae Anderson this really depends on your needs/risk management. The market in the bay has slowed, but it is the Bay Area so the odds of another all out disaster are slim but not non existent. Keep in mind that when the market hit the fan, Vallejo was one of the cities to file bankruptcy. If you have equity built up and know the market is on 10 year cycles (roughly) I would sell, but that's just my opinion. Both my wife and I work and live in the bay and have done some work in the Vallejo area, so this advice isn't coming from no knowledge of the bay areas market. If you'd like, tap in @Heather Hopkins and she can help home your ideas a bit more to see what our current situation is. Good luck!!

Hi @Steven Davis and welcome to the world of REI. Based of the comments you have made I feel the excitement in your voice. The opportunities truly are limitless and again, based off your more conservative sounding approach, you will find yourself in a pinch less often. Keep updating on your successes, start and stay active with your local clubs and feel free to reach out any time. I am also in the Bay Area and understand your struggles on cash flow. If you are in need of real estate help (my partner writes a mean offer) or future partners, send a message! Would love to hear more about your strategies and criteria!

Welcome @Elaine Kowalski ! My partner and I are always looking for good JV partners in the area. Glad you spoke up about that. Let's grab some coffee to see if there are future opportunities for us. Enjoy BP!

@Chris Mason

In the East Bay there are a plethora of mid-rises going in. If I were you I would contact a local realtor and inquire about this possibility. I would be more than willing to set you up with my local realtor as I know she has the market cornered on mid-rises that are not even currently available to the public.

Feel free to reach out.

@josh Wallace welcome to the encyclopedia black hole of never ending REI knowledge!

In regards to your area, I used to live in marina del Rey and understand your thoughts...prices are high. I agree with what has been said before, start small and get your feet wet before you delve into non liquid properties. 

I would stick with sfr, maybe even a quick flip to increase capital and focus on building confidence initially before you get wrapped up in something more complicated.

As everyone has said before, welcome and feel free to reach out!

I have a few you may be interested in, scale dependent of course. Send me a message for more information!

Welcome to BP. I'm also in the area and have done a fair amount of reading on BP.

Best advice I have thus far is focus on a zip code/area and run as many comps to begin understanding where the market is going. As many will say, creating a positive cash flow renting is rough in this area...but it can be done. 

My wife is an investment realtor in the Bay Area and I am an architect, so feel free to reach out for more info.

Good luck and welcome!

Welcome @Christopher Arnold! 

I am also quite new to the community. Great resource to begin your training in the field. I live in the Bay Area and am looking to move over to the NC area. Let's connect!