I have been approved for $425k. Can't seem to find anything at that price for a multi-family nor for a single family. However, I'm able to afford a condo.... Opinions?
Los Angeles, CA · Member since 2021 · 20 posts · 34 votes
4y
@Jorge Raygoza
There are plenty of condos in Inglewood for that price range. I personally wouldn’t buy investment property in LA city unless you enjoy paying your tenants at least $10k to get them to move out every time you want to evict a bad tenant. All my rental HOUSES are in Bakersfield. Much better landlord climate, tenants rights in LA county are off the chains in favor of the tenants. & the small landlords get seriously burned, I got stories for days. U gotta be a big institutional investment company to make any money in the LA rental market. & the pro bono (free) tenants rights advocates are more than happy to represent dead beat tenants because when they win the case against the inexperienced beginner landlord (you), the judge usually ends up ordering the landlord to pay all the legal costs for the tenants lawyer, plus the relocation money for the tenant, After not paying you rent for 3 to 6 months. Hey good luck finding that investment property…
Real Estate Agent · Brentwood, CA · Member since 2021 · 34 posts · 21 votes
4y
****, I wish too . I would look on the outskirts of LA, I had a homie of mine who got a 5 bedroom house in Bakersfield, CA for 280K. Lots of folks who are tired of dealing with LA bs are moving out there.
Los Angeles, CA · Member since 2021 · 20 posts · 34 votes
4y
@Jorge Raygoza
There are plenty of condos in Inglewood for that price range. I personally wouldn’t buy investment property in LA city unless you enjoy paying your tenants at least $10k to get them to move out every time you want to evict a bad tenant. All my rental HOUSES are in Bakersfield. Much better landlord climate, tenants rights in LA county are off the chains in favor of the tenants. & the small landlords get seriously burned, I got stories for days. U gotta be a big institutional investment company to make any money in the LA rental market. & the pro bono (free) tenants rights advocates are more than happy to represent dead beat tenants because when they win the case against the inexperienced beginner landlord (you), the judge usually ends up ordering the landlord to pay all the legal costs for the tenants lawyer, plus the relocation money for the tenant, After not paying you rent for 3 to 6 months. Hey good luck finding that investment property…
I have been approved for $425k. Can't seem to find anything at that price for a multi-family nor for a single family. However, I'm able to afford a condo.... Opinions?
So generally speaking, condos have HOA's with HOA dues and HOA rules which can hinder your cash flow and make repairs/upgrades more difficult, then there is the risk of HOA assessments for anything that could happen (legal issues, new roof replacements, etc.) Also, (and generally speaking again), condos crash harder and faster in downturns and appreciate slower in up times so keep that in mind.
If you can not take down anything more than $500k as of today, you can go after private money, investment partners, seller financing (which can include subject to purchases), or invest in a syndication. You have many options available out there, so you must open your eyes and ears to the possibilities and go after what makes sense for YOU.
Real Estate Agent · Brentwood, CA · Member since 2021 · 34 posts · 21 votes
4y
@Edward Tamayo Bakersfield is lit af. My friend and his dad invest in that area and are doing great. Great opportunity there and yes I agree, lots of landlords in LA are getting burned, but at the same time, some of them couldn't put their egos aside and try to go against the city or did everything they can to evict a tenant and ended up paying a lot. Yet several didn't treat their tenants right or didn't bother to reinvest their money to keep up with change/ worst case scenarios. How I see it, it's an investment. If your investment ain't maximizing then move to a different asset class or area. I'll never understand why people want to stay/invest in LA especially seeing the change so fast and the sh*t that's going on. I'm pretty sure they didn't expect for this whole ronni rona thing to happen but it sure did test the survival of the fittest in the multifamily area.