Investor from Santa Cruz California

Investor from Santa Cruz California

Jeff LanghamBusiness Member
Realtor · Carmel-By-The-Sea, CA · Member since 2016 · 54 posts · 25 votes

I am originally from the East Bay area of California and got into real estate investing after being stationed at Dyess Air Force Base, in Abilene Texas.  I have owned a rental in Abilene since 2010 and am looking to invest in any area that makes sense and makes reliable cash flow of $300 or more per month with at least a 12% cash-on-cash return and near or above the 2% rule.  Ideally, I would prefer to own properties in places that my family and I would like to vacation, hunt, and fish, for example, Eureka California, Portland Oregon, Seattle Washington, Homer/Kenai Peninsula Alaska, and Poipu Kauai.  In between leases and after the rentals have been paid off, the goal is for my family and I to enjoy these properties and have lifelong memories while achieving financial independence.  However, in those locations, currently, I have not been successful in finding deals that would meet my cash flow and cash-on-cash return parameters.

We are still searching for our permanent residence in Aptos or Soquel California and would like to own a house with an ocean view for renting during holiday weekends on Airbnb or something to that effect.  Eventually, my goal is to have at least 50 units and realize that finding a mentor that has accomplished these goals and are looking to pay it forward is key.

Jeff Langham, MBA, Realtor®518 Reviews
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  • Investor · Austin, TX · Member since 2014 · 83 posts · 39 votes
    9y
    Small world, I have an ex from Soquel... it's a wonderful little city. I used to travel there often while in college. Sounds like you've got similar aspirations to myself. Cheers!
  • Jo-Ann LapinPro Member
    Loan Officer · Tustin, CA · Member since 2015 · 3k+ posts · 713 votes
    9y

    Welcome and thank you for the introduction and thank you for your service. Happy to assist and answer questions.

  • Rental Property Investor · Las Palmas de Gran Canaria · Member since 2014 · 220 posts · 256 votes
    9y

    Hey buddy, welcome to BP. There is a strong local community, and while the market in town is kinda bananas right now, in a couple years when the cycle works itself out, it will be a prime place to pick up a long term hold. 

    As for finding a mentor, if you haven't checked them out, there are two real estate meetups in town and one in monterey. The formal sit down monthly (pitch fest) meetup is through thunderbird, mine is a no-pitch no format beer evening once a quarter, and I think the monterey one is as well. You can find them on meetup (I'd include the link but they get mad - go figure).

    Since you are talking about vacation rental, there is a thread about doing so in town: https://www.biggerpockets.com/forums/311/topics/412398-is-short-term-rental-allowed-now-in-santa-cruz?page=1#p2586678

    I look forward to meeting you.

  • Roseville, CA · Member since 2016 · 15 posts · 9 votes
    9y

    Welcome from Northern California. :)

  • Andrew SyriosPro Member
    Moderator
    Residential Real Estate Investor · Kansas City, MO · Member since 2014 · 10k+ posts · 5k+ votes
    9y

    Welcome to BiggerPockets Jeff and good luck investing!

  • Rental Property Investor · La Quinta, CA · Member since 2014 · 1k+ posts · 779 votes
    9y

    Sounds like changes may be coming for how short term rentals are regulated, in the larger Santa Cruz area.  Might want to make sure it doesn't look like Aptos or Soquel are going to change their restrictions if that is an important part of your plan.

  • Jeff LanghamBusiness Member
    OP
    Realtor · Carmel-By-The-Sea, CA · Member since 2016 · 54 posts · 25 votes
    9y

    Thanks for the warm welcome everyone.

    @Shane Pearlman, I have heard from Robert Kiyosaki on the Real Estate Guys podcast and just got Jim Rickard's Book "The Road to Ruin" to learn more about the impending correction/crash. I'm debating whether it's best to just wait and stay cash versus investing at the moment.

    I appreciate the info on the meetups.  I'm surely going to explore them and have already RVSP's tonight's meetup at Thunderbird. I tried finding the other meetups in Santa Cruz and Monterey but couldn't find them.  Could please you private message me the info?

    Also, thanks for the links on vacation rentals in the area.  

    Jeff Langham, MBA, Realtor®518 Reviews
  • Professional · Carlsbad, CA · Member since 2012 · 12k+ posts · 1k+ votes
    9y

    @Jeff Langham

    Welcome to Bigger Pockets. You are at the right place to learn about real estate investing.

  • Professional · Soquel, CA · Member since 2016 · 2 posts · 0 votes
    9y

    Hi Jeff

    welcome to this area. I own a Soquel based property management firm for residential rentals. We do only long term rentals but I am happy to look around for you. Contact me if you have questions!

    I am also a member and sponsor of the Santa Cruz Real Estate Investment Group hosted by Mike Young in Capitola. This could be a good way to connect with peers. We meet once a month on Tuesday 6.30 pm - 8.30 pm.

    Cheers, Johannes

  • Jeff LanghamBusiness Member
    OP
    Realtor · Carmel-By-The-Sea, CA · Member since 2016 · 54 posts · 25 votes
    9y

    @Johannes Kornacher thanks for keeping an eye out for me. I am a fan of the buy and hold strategy. I just attended Mike Young's REI meeting. It was very interesting and I plan to continue going. I hope to see you there.

    Jeff Langham, MBA, Realtor®518 Reviews
  • Investor · Sacramento, CA · Member since 2016 · 57 posts · 53 votes
    9y
    Just moved to Danville from Capitola! Just "hacked"/flipped our house down by New Brighton Beach. I'm in a similar boat. Was in the Army. Own in Savannah, GA and will likely stick to areas where I know the streets. Also, I know 2% is a good rule of thumb, but where the heck can you buy a $100,000 house that rents for $2,000 per month? I'm ok with 1%. $100,000 home, with $80,000 loan, is about $500 PITI. If I can rent it for $1000-$1200 I'm making at least $400/month after paying the PM. I'm good with that all day!
  • Solo 401k Expert · Anaheim Hills, CA · Member since 2012 · 18k+ posts · 6k+ votes
    9y

    @Jeff Langham

    Welcome to the BP family! Here are some recommendations for you:

    Find and connect with other BP members that are in your area: http://www.biggerpockets.com/meet
    Set up keyword alerts to be notified of the topics that interest you: http://www.biggerpockets.com/alerts
    Read Beginner’s Guide: http://www.biggerpockets.com/real-estate-investing
    Check out BP Podcasts: http://www.biggerpockets.com/renewsblog/category/podcast/

    Wishing you the best!

  • Jeff LanghamBusiness Member
    OP
    Realtor · Carmel-By-The-Sea, CA · Member since 2016 · 54 posts · 25 votes
    9y

    @Eric Upchurch Danville is a great area.  Finding properties that fit the 2% rule that are in decent areas is challenging and of course finding them in California is nearly impossible.  I am looking out of state; there are several in the 2% range but the decent areas are usually in the 1% range.  If anyone has any 2%ers that are in decent areas, please let me know.

    Jeff Langham, MBA, Realtor®518 Reviews
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