So cal investor

17 Replies

@Aaron K.

Aaron, there are so many strategies but the one that appeals to me is buy, hold, and rent. I want to build a portfolio and be able to manage my properties.

My ultimate goal is to work for myself and I can spend time with my family. I will stay at my W2 job until I get achieve that goal

@Luis Torrico it is possible but not from a cash flow perspective, if you count cash flow + loan paydown 10% is elusive but possible in SoCal if you throw in appreciation 10% is well within reach.  My last in SoCal is a bit over 10% not including appreciation.  Cash flow depends on how much you put down and how expensive the property is so it isn't a great metric to compare across properties in SoCal which can easily range from $270k-$600k

@Luis Torrico

If you currently live in an expensive Market like most areas in SoCal, an ADU could be a smart investment opportunity. I live in Los Angeles, and it is nearly impossible to cash flow here. Consider converting your garage into a rental property, if possible.

Daniel

@Luis Torrico

A 10% return will be difficult there. A lot of people use it to park money which inflates the values.

Have you considered investing out of state? What about investing passively as a private lender on RE deals?

@Luis Torrico buy a duplex to start and house hack it then go from there. I do not recommend investing out of state for your first property. For total returning you should be doing over 10% here. Rent, appreciation, debt pay down.

Good luck

@Luis Torrico

You can find cash flow in Riverside and San Bernardino counties. Appreciation won’t be as much as LA county though. Just have to weigh the pros and cons. Don’t buy out of state your first property. It will be a hassle. Get your feet wet in your home state.

@Luis Torrico

House hacking a triplex in Riverside that had a bonus mobile home/travel trailer unit(4th-unit), renovated all three one by one doing a majority of the work our selves and now make about $1200/mo after mortgage and expenses and live for free, in my opinion house hacking is a great way to get started in so cal!