Rentals

[Yeshudas Nair]

I am a complete newbie in Real estates.

I saw this property listed on Zillow for $1 Million at San Francisco CA.

http://www.zillow.com/homedetails/333-Bush-St-APT-...

I had a concern,
If i bring such kind of expensive condo for a million dollar, is it easy to get a tenant ?
or if i don't get a tenant, how should i make myself secure from not getting doomed due to this property? Is it a good investment that could go north?
because i can see that i need to pay the taxes and all the maintenance costs and for that i think i should get a tenant to pay it off, with profits too.

[Ishaan Misra]

@Yeshudas Nair thanks for sharing your story!

I would agree with the other posters in this forum and say that a $1M property in SF is probably not the best option for your first RE investment. 

However, I still think that looking at investing in rental RE in the SF Bay Area makes sense given the extremely strong rental market (high rents, high quality tenants, consistent long-term income and job growth despite monthly/quarterly fluctuations). I would suggest looking at SFHs and MFHs in Silicon Valley towns such as San Jose, Fremont, Oakland, Gilroy and perhaps even Mountain View. These are locations where you can find better value in terms of the purchase price but still benefit from the strength of the overall economics of the area. I am actually working with another investor right now who is looking to invest in these areas so please PM me if you'd like to discuss this further.

P.S. If you are investing from India, I would also recommend thinking about how you will be able to manage the property from such a distance. I have experience in this area so, again, please PM me if you'd like to discuss further.

Best of luck!

IM