All Forum Posts by: Twana Rasoul

@Ryan Rominger There are off market deals and many of the deals are on the mls believe it or not, you just have to know what opportunities to look for and be quick to tie up a property. Last year I purchased a duplex here in San Diego, on the MLS, for $300k to $400k below market value and had it tied up within 30 hours of it hitting the market. The agent that was selling it was not aware what the property was worth and I gave them all the terms they wanted to get them to accept my offer quickly. Within 12 hours of accepting my offer they received several offers, mostly cash, anywhere between $300k to $400k higher. That was a scenario where value was captured without doing physical work to the property.

 Thanks for chiming in, I always appreciate you insight and deep understanding of the local market here.  Cosmetic updates and/or adding adus have become a minimum requirement a lot of times to get something to not completely bleed one out on a monthly basis.

 Yes 3.5% down or any low money down option is usually for owner occupied purchases. 20-25% is whats typically required if not planning to occupy 

@Dale K Poyser San Diego may not be considered "landlord-friendly" — and that’s actually a good thing.

We have one of the strongest renter pools in the country and among the lowest eviction rates nationwide.
Markets often labeled as "landlord-friendly" may offer faster eviction processes, but that usually comes with a higher-risk tenant base — you may be evicting more often, not less. Fast evictions don’t make up for frequent turnover, missed rent, or property damage.

Now to Address low down and high mortgage payment
You can buy a $1M duplex in San Diego with just 3.5% down — around $35,000 — and get into a market that, based on the last 50+ years, appreciates at $50,000+ per year on average.

I’ve helped clients who:

• Put less than 5% down, moved into one unit past 12 months, and now pay less than they were renting for.
• Those that bought 24–48 months ago, and today they’re either living for free or even earning income by living in one unit and renting out the other.

This isn’t just about long-term equity although more wealth will be generated here than low cost areas, without question.
It’s about lowering your cost of living today, getting into a high-demand market, and letting your tenant help pay your mortgage.

@Becca F. Definitely, I'd rather have a few small multifamily than dozens of properties where I used to invest in the midwest and certainly the roi on paper in the low cost markets are not what typically happen in real life and one major capital expense can wipe away years of cashflow and with no significant appreciation.  

If you're living in Southern California—especially in San Diego—I highly recommend considering local real estate investing before jumping into cheaper out-of-state markets.

Why? Because while prices here are higher, the total return on investment, including appreciation and rent growth, is often significantly stronger over time. Simply put, more long-term wealth is built in high-demand, supply-constrained markets like San Diego than in many lower-cost areas.

For those just getting started, especially first-time buyers, the key is to leverage low money down loan options—whether it's 3.5% down with FHA, 5% down conventional, or even 0% down with a VA loan for military buyers. These programs make it surprisingly accessible to purchase a condo, single-family home, or ideally a 2–4 unit multifamily property to live in and start house hacking.

The biggest mistake I see? Buying a big single-family home as the first purchase. That large mortgage can make it much harder to save for a 20–25% down payment on a future investment property. But when you start with a house hack, you’re reducing your housing costs and building equity—positioning yourself for that "dream home" later on, but with far more flexibility and wealth.

And yes, while San Diego is competitive, BRRRR deals are still possible. I personally purchased two BRRRR properties here just last year. They're harder to find, but if you know what to look for and move quickly, they're out there—and they can still generate great returns right here in SoCal.

That’s exactly what I’ve done over the last decade. I started by house hacking with low-down-payment financing, slowly built up equity, and reinvested. Now, I’m finally beginning the search for that long-term “forever home.” It’s been a strategic, step-by-step journey—and I’m grateful to have a spouse who’s aligned with the long-term vision, because that support has made all the difference.

Truth is, you don’t need a ton of money to start investing in San Diego—just the willingness to make smart, sometimes unconventional choices. It’s about resisting societal pressure to "keep up" with others and focusing instead on what will actually build freedom and financial stability.

If you’re in SoCal and wondering how to get started the right way—or want to talk house hacking or BRRRR strategies—drop a comment or reach out via direct message. Happy to share what's worked for me and help others get started locally.

Welcome! I am a local small multifamily investor here in san diego (mostly 2-4 units) and used to invest out of state but sold everything off OOS a few years ago to purchase more here in SD. 

I purchased 2 more multifamily properties last year here in San Diego and added an ADU and currently in the design phase for a couple of more ADUs.

It is more difficult to make deals pencil but it is still possible and happening regularly.

I like the garage conversions for ADUs since you can typically complete a 1-bed, 1-bath conversion for around $90K–$110K. I recently completed one on a multifamily property and found it to be a cost-effective approach.

That said, there are a couple of additional factors to consider beyond the code differences between a garage conversion and new construction:

1. Coastal Overlay Zones – If your property is in a coastal overlay, building a ground-up ADU may require Coastal Commission review, which can add time and complexity to the process. A garage conversion, however, may not be subject to the same level of scrutiny.
2. Parking Considerations – Parking is becoming increasingly valuable, especially with the rise of high-density micro-units that often lack designated parking. Converting a garage means sacrificing covered parking, which could impact property value or tenant appeal in certain areas.

@Ken M. 

It’s understandable why so many investors focus on cash flow when evaluating real estate. After all, platforms like BiggerPockets were started by investors targeting Midwest and Southern markets, where properties are much cheaper, and cash flow is often the primary focus. However, cash flow is just one of several factors to consider during an evaluation.

San Diego, for example, is often overlooked, but it’s actually one of the best long-term cash-flowing markets in the U.S. Why? Because rents here tend to outpace inflation over time. Fun fact: cash flow is taxable, while equity appreciation is not. There are multiple ways to utilize equity without paying taxes, such as cash-out refinances, HELOCs, and 1031 exchanges, making appreciation a powerful wealth-building tool.

Many people lump all of California into one bucket, but it’s a massive state with many distinct markets. I can only speak to San Diego, but here, we have some of the lowest vacancy and eviction rates in the country. While tenant laws are tougher, the tenant pool is generally much higher quality. In contrast, when I owned properties in the Midwest, evictions were easy, but the tenant pool often made frequent evictions unavoidable.

That said, San Diego is a high-barrier-to-entry market and isn’t for everyone. It requires a solid understanding of real estate finance and long-term strategy