Recent SF/East Bay Success Stories?

4 Replies

Hey Daniel,

Downtown San Jose is on fire right now as far as acquisitions. It is the heart of the Silicon Valley, but ironically one of the last communities that investors are looking at. An owner I know picked up a commercial property in DTSJ 4 years ago and now they have nearly $600K in equity at FMV. Most of the appreciation is due to recent larger mixed-use acquisition and development plays that have brought values up.

This is just one success story and there is a lot left on the plate in DTSJ as far as properties with an upside. Hopefully this helps inspire.

Cheers!

Hey Daniel, 

Not sure if you are buy and hold/flip/etc. but if you can get a property at the right price, there are definitely homeowners willing to pay market dollar that are actively looking.

To Ed's point, many of my close contacts have seen some real increases in equity of the past few years.

Daniel,

This kind of thread doesn't get a lot of responses because

1)  If you share your success, people say you're bragging.

2)  If you share your mistakes, people say you're stupid.

It's almost a lose-lose situation.  What the heck.  I'll share it anyways.  :0)

I'm a South Bay guy.  Bought a six all 2/1 unit apartment building in May of this year for $1.175MM.  Brought rents up 31%.  Just completed a cash-out refinance.  Appraisal came back at $1.55MM.  My partner and I put less than $3k into rehab on one of the units.

Currently in the process of refinance a 7-unit building, which also bought in May for $1.125MM.  Spent about $42k in rehab on 3 units so far.  Brought rents up 36%.  In the process of doing a cash-out refinance now.  Appraisal will be done this Thursday.  Had an unsolicited offer for $1.5MM two months after we bought it, but we turned it down.  Don't want to pay short-term capital gains, and there's no reason for us to sell.......yet.

Bought an 8-unit building in July for $1.225MM.  In the process of stabilizing the building.  So far we have brought rents up about 31%.  Looking to do a cash-out refinance early next year.  

Only if we could bring rents up to fair market rents.  God knows how much the value of these buildings would be.  

We have been turning down okay deals while others are jumping all over them and willing to pay higher prices then us.  Patience is the name of the game.  

As a side note, I believe I have scored big on a partnership with an East Bay guy I met here on BP.  We're going to make millions together.  That's for sure.  I guess I can count that as an East Bay Success.  :>)

Cheers.

Originally posted by @Account Closed :

Daniel,

This kind of thread doesn't get a lot of responses because

1)  If you share your success, people say you're bragging.

2)  If you share your mistakes, people say you're stupid.

It's almost a lose-lose situation.  What the heck.  I'll share it anyways.  :0)

I'm a South Bay guy.  Bought a six all 2/1 unit apartment building in May of this year for $1.175MM.  Brought rents up 31%.  Just completed a cash-out refinance.  Appraisal came back at $1.55MM.  My partner and I put less than $3k into rehab on one of the units.

Currently in the process of refinance a 7-unit building, which also bought in May for $1.125MM.  Spent about $42k in rehab on 3 units so far.  Brought rents up 36%.  In the process of doing a cash-out refinance now.  Appraisal will be done this Thursday.  Had an unsolicited offer for $1.5MM two months after we bought it, but we turned it down.  Don't want to pay short-term capital gains, and there's no reason for us to sell.......yet.

Bought an 8-unit building in July for $1.225MM.  In the process of stabilizing the building.  So far we have brought rents up about 31%.  Looking to do a cash-out refinance early next year.  

Only if we could bring rents up to fair market rents.  God knows how much the value of these buildings would be.  

We have been turning down okay deals while others are jumping all over them and willing to pay higher prices then us.  Patience is the name of the game.  

As a side note, I believe I have scored big on a partnership with an East Bay guy I met here on BP.  We're going to make millions together.  That's for sure.  I guess I can count that as an East Bay Success.  :>)

Cheers.

 Yep, totally bragging. j/k!  Sounds like some awesome deals!  Keep them coming.

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