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Julie Summons
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Suggestion for a Newbie in San Diego

Julie Summons
Posted

New to BP but not new to San Diego. My Ultimate Goal: Build a portfolio of $10k+ passive income (net) and live by the beach in San Diego within 10-12 years (and "retire"). I have a decent full time job, can qualify for a good loan, no debt, have $200k seed money.  Can purchase something now worth $1+M.  Now just trying to figure out where to start. 

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Dan H.
  • Investor
  • Poway, CA
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Dan H.
  • Investor
  • Poway, CA
Replied

@Julie Summons

I hear all the time that San Diego is not good for cash flow but what they really mean is that the initial cash flow is not great.  

My San Diego, per door, cash flow is great. Average rents in San Diego for SFR have increased almost $500 in the last 3 years and for apartments over $500 in last 5 years. This implies a cash neutral purchase of a SFR from 3 years ago would have nearly $500 positive cash flow today.

I suspect as you hit $10k month cash flow you will find it does not go as far in San Diego as you may suspect.  Certainly it will not be enough to live by the beach in San Diego.  

Good luck

  • Dan H.
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