All Forum Posts by: Sipan Y.

I'm looking for a real estate agent in Sacramento who is also an investor and has experience with ADUs—specifically someone familiar with local ADU regulations, how properties with ADUs are appraised, and preferably someone who has built ADUs before.

If you or someone you know fits this description, please reach out. Thanks!

Hey everyone,

I’m exploring the idea of a co-living investment strategy in Sacramento, CA and wanted to see if anyone here has experience with it.

If you’ve implemented co-living in Sacramento:

Which neighborhoods have worked best for this strategy?

Did you modify the layout of the building (e.g., add bedrooms, reconfigure space)? If so, how was that process?

Any insights on rental demand, tenant turnover, or local regulations?

Would love to hear your thoughts and experiences!

Thanks!

@Chris Pratt

Since single-family houses with ADUs are not considered commercial properties, they are not priced based on income or cap rate. To my knowledge, appraisers only consider 50% of the ADU's square footage when appraising a single-family house.

@Ko Kashiwagi My understanding is that one can still execute the BRRRR strategy and successfully cash out, but due to high interest rates, the rent may not cover the mortgage. I'm not sure how the BRRRR strategy would work when adding an ADU. As far as I know, appraisers do not include the total square footage of an ADU when appraising a single-family house and an ADU on the same lot.

Hey everyone,

I'm considering BRRRR (Buy, Rehab, Rent, Refinance, Repeat) in Sacramento and wanted to hear from investors who have successfully executed this strategy in the last two years. Given interest rate changes, property values, and lender requirements, I'm curious about:

How were your acquisition and rehab costs compared to your ARV?

Were you able to pull most or all of your capital out?

What lenders did you use for refinancing, and what terms did you get?

Any areas in Sacramento that worked particularly well (or didn’t)?

Any unexpected challenges you ran into?

I’d love to hear any insights or lessons learned! Thanks in advance for sharing your experiences.

@Michael Baum Thank you for the helpful information. I like Ashford and Gold Bar areas. I am sure properties on the water have lots of potential. 

@Savannah Holzer Thank you!

@Michael Baum Thank you! STR is allowed in both cities. Cascade mountains is another interesting market. Since you are from WA, I am wondering if you know how that market perform.

@Allen Duan Thank you, Allen 

Hello Everyone,

I’m considering investing in a short-term rental and have been researching areas outside Yosemite National Park. Specifically, the Groveland and Oakhurst regions seem promising if I can find the right deal.

I would love to hear from anyone with experience in short-term rentals in these areas. What do you like or dislike about them? Any insights or stories would be greatly appreciated!

Looking forward to hearing from you!