All Forum Posts by: Shervin Golgiri

I'm facing a bit of a dilemma and could use some advice from this knowledgeable community. I'm considering two investment options and am torn between them:

1. Building an ADU in Berkeley: I have the opportunity to build a 316 sqft ADU in Berkeley, CA, which I could rent out for around $2,000 a month. The construction cost is estimated to be around $180,000.
2. Buying a Property in the Midwest: Alternatively, I could take the $180,000 and buy a property (or properties) in the Midwest, where the rental market is more affordable. The monthly rent would likely be lower, but the entry costs and potential regulatory hurdles might also be less.

Here are my main considerations:

• Rental Income: Higher in Berkeley ($2k/month) vs. potentially lower in the Midwest.
• Appreciation: Likely higher in Berkeley.
• Management: Easier to manage the ADU since it's close to home, but more regulatory headaches.
• Diversification and Simplicity: Potentially less hassle with a property in the Midwest.

Given these factors, what would you recommend? Has anyone had experience with either option and can share insights on rental yields, appreciation, management challenges, or any other considerations I might be missing? Thanks in advance for your thoughts!

Hi all! I am new to this community and I'm so excited to learn a lot of things! My husband and I will be ready to buy a home in the next 6 months, but we decided that we want an investment property instead. However, since we don't have any experience in rentals, we don't know if we should buy a single home and get it rented out or buy a multiplex. I feel like if we buy a multiplex, it becomes too risky with a lot of maintenance and possible vacancies. On the other hand, if the single home doesn't get rented out, we can just move in there too! 

What are the things you should consider in buying your first home rental property? Thanks for all your answers! 

Hello all! I have heard a lot of investors investing out of state like Ohio, Memphis, Texas, Seattle, etc, but rarely they say they have apartments and anything similar in nature, in California. I live in California, and I know property prices are very high. Is it not smart to start in California because of this? Why do investors not consider CA in their investing? Where can I get information about investing out of state and learning the differences and advantages? 

Hello Everyone,

I have some experience with real estate investing, mainly house flipping here in the Bay Area, CA. I currently have no rental properties but definitely want some. I work full-time in the Bay Area and earn a strong income (Range is $180k-$240k based on how much OT I work). I am a first responder with essentially endless overtime. I am married with 2 kids and about to have a third soon.

My sister lives in the KCMO area, specifically in Lees Summit. I am considering buying a starter home for my family (around $300k), living in it for a year, and then renting it out while buying a larger home for our family, like a 5-bedroom in the high $400k to low $500k range. I can comfortably afford both the starter home and the more expensive home with my income, given my DTI is basically zero. My plan is to utilize the 5% down payment available through conventional loans.

I would essentially mega-commute for the first year or two, working about 10-day stretches and then having equal time off, using my PTO strategically to gain more time off. I also get baby bonding through CA, which is paid family leave, and I plan to use this strategically to spend more time at home.

When I buy the starter home, based on my calculations, I'd be saving around $6-7k per month. Even with the larger home, I'd save around $4k, depending on how much overtime I work.

I am tired of paying high rent in the Bay Area, along with high utility bills. I feel that even if I work less, my money will go further and I can save more. This would only be a 1-2 year plan as I work on building other income streams to leave my first responder job.

I also want to acquire lots of SFH and small MFH over there using the BRRRR method as I build more connections.

Thoughts on this plan?

P.S. Don't worry, flights would essentially be free (I have tons of points and credit card churn), and I’d have a free place to stay when I am working in California.

Hey Everyone! Looking to purchase 1-2 single family homes this year and trying to determine whether to self-manage or hire a property manager. Properties will be close by (30 mins) and currently do have the time to my knowledge of what it would take to self-manage. What risk do you put yourself in when you self-manage? How do you decrease your risk as a landlord. If I was to hire a property management company, who do you recommend that serves North Texas? Any other insight that you can provide would be greatly appreciated.

Not sure what the point of this post was with the incorrect information. Always was a choice, always was a negotiation....? 
Maybe I'm misunderstanding.

@Shervin Golgiri Seller not paying buyers agent commission wont have any bearing on finding qualified buyers in a sellers market .  The buyers will just have to negotiate with their agent on what fee they will be paid and how it will be paid . 

I just sold my house , agreed on a price but told the buyers agent to add their commission to the sales price in a fixed dollar amount . The agent now had to go back and negotiate with their client for $$$ . I got push back from the buyers agent asking me if I was going to tank this deal for a bit over 10 grand , I told him , no , but you are .