All Forum Posts by: Alberto Cioni

Hello

I am in the process to sell my investment rental house in Los Angeles. Now the rules have changed. I think and I am not require to pay a 3% commission to the buyer agent. 

I read that I should negotiate only the commission for our sale agent, our trustable real estate agent. For example I contacted Redfin and they are asking only for a 1.5% commission as a sale agent. 

Then the buyer agent with deal with the buyer for his commission.

Is this is correct? What is your experience?

Alberto, Landlord, Los Angeles

I am a landlord.

I have a duplex in Culver City in the Los Angeles county.  I never allowed the two unit tenants to park in the driveway. In the lease is written "no parking in the driveway". Only street parking.

Now I just built in the very back of this lot an ADU for my daughter and her boyfriend and I will allow her to park only one car at the very end of the driveway. She will not block the driveway for the two front tenants because her parking spot will be at the end of the driveway away from the two front unit tenants entrance. So they can access their place like they always did.

Is this OK? Or do you think they can complain? 

Thanks

Alberto, Culver City, California

Correct. They sell every 5-7 years so you lose the capital

Soon I will sell my 1.3M rental propriety and I'm looking to 1031 into a DST. One of the biggest complaints with DSTs is the high cost/fees associated with them. A big part seems to be the broker commission (8-12% from what I have seen). Is it possible for an investor to work directly with a DST sponsor and "save" some/all of the commission that would have been paid to a broker? It's a pretty big chunk for the amount I'm looking to invest.

Any suggestions would be appreciated.

I wish I am in WY. 

Unfortunately California is not a good state for our business and I will try to move out.

Here is my city, Culver City, CA, If you want to evict a tenant for the right reason, like construction, family member or for you, the landlord need to give them 3 months free rent plus $ 1000 for multi-complex with more than 4 units and half the amount for 3 or less units. This is CUBA o Venezuela!
So it was cheaper to give them a rebate for few months that fight and evict them.

I know in WY there are no such crazy tenant protection laws

Unit 1 will lose this small storage.

We settled for $ 250 rebate per month for the loss of this small storage.

And $ 700 rebate for the construction. I have no choice.

As Dan said and in particularly in Culver City, that from now on I will call CUBA City (Communist city council) the renters have too many rights. The rent control rules are crazy. If you want to evict a tenant for the right reason, like construction, family member or for you, the landlord need to give them 3 months free rent plus $ 1000 for multi-complex with more than 4 units and half the amount for 3 or less units. This is CUBA o Venezuela!

I think soon I will sell it with ADU included (high demand area mine) and invest in DST.

Hello Guys

I am building an ADU in the backyard of my Duplex in Los Angeles, Culver City area (close to Venice Beach). High demand area.

How much rebate to give to the tenants during the 6 months construction for the exterior of the house?

I checked online and I did not find any standards/rules.

The lady in the unit 2 facing the construction is working in the office most of the week and she pays a rent of $ 2750 per month;  we agree for a $ 300 rebate when we signed the lease few months ago. She is new.

The couple in the unite 1, separated from the construction by Unit 2, have been here for 4 years and they are asking more money because they are saying they are working from home. She is a therapist and need concentration she said. I told them that I rented a house and not an office space and they can go to work in their own office building (Hospital in her case). They are paying $ 3000 per month. They asked me a $ 1000 rebate.  I will offer them a rebate of $ 500-600 per month during the construction.

I want to keep them but at the same time I cannot offer what they asked.

ANY SUGGESTIONS?   

Tks

Alberto

Agree. My bonds will never give me so much and then the ADU will increase its value in the LA market....

Greg

you are right to add them.

But if you build a house you have to add the same costs of course. 

In my case the ADU is in Marina del Rey area in a Duplex lot that I am renting out now. I rented the one bedroom one bath few months ago for $ 2750. The renter is aware of the ADU.

So I will have a triplex. I am pretty sure I can rent it out for $ 3500 because is new and nice. Also They are building close by a new Cedar Sinai Hospital. And while S Monica is getting worst my area, called Silycon Beach is booming...

I see this a great deal for me. 

I read it. 

In West Los Angeles, where I am building my ADU, the rent for a 2 bed and 2 bath goes from $ 3500 to $ 4000 per month.

In some new complex 2 bed and 2 bath goes for $ 5000.

Since the cost to build is reasonable around max 250 K I think is a good deal.

Where do you buy a 2 bed / 2 bath in LA for $ 250K?  Impossible