All Forum Posts by: Gary F.

This is all great advice.  I guess the biggest advantage to Airbnb is the advertising and brand name.

Aloha LA BPers.  I'm also seriously looking into ADUs. I'm in San Jose so codes are different but its still CA.  Its great that Gov Brown signed that bill because now cities have to comply.

What Ive learned thus far?  Check your city's code ordinance frequently and keep abreast of meetings with the planning department.  In San Jose, it seems they change codes every 6 months, usually for the better.  I've attended two community meetings and its great that they listen to us and are willing to adjust the codes to help us homeowners.  Previously we were restricted to one bedroom single story.  But now because of these meetings, we can now build two bedroom units, have two stories, and up to 800sf on a 6000sf lot.     

Aloha BPers. For those of you who've either built an accessory dwelling unit (ADU) and then sold, or have experience buying a property with an ADU, did those properties see a good ROI? For example, if the ADU cost $150k to build for a one-bedroom unit, did the property sell for at least that same $150k or more than comparable properties without an ADU?

Keeping this post alive. Since posting this, it seems the market has changed again. SFR sales are stabilizing in my area, DOMs slightly more, sales prices are at asking or maybe slightly higher as opposed to significantly over asking. One REA I spoke said that adding an ADU might take 2+ years to see ROI when selling, otherwise its a value added feature. Not so great anymore, to spend $160+ and not see that ROI back if selling immediately.

Has anyone seen differently?

Originally posted by @Jerry Murphy:

@Gary F. I have not done anything with it.  I basically heard enough stories of the city and county screwing people over when they try to do after the fact permits so I just left it. I have tenants in there who have been there for 8 years and pay on time.

At some point I am going to have to either sell this place or fix it up and get more rental income from it. But for now I do not want to attract unwanted attention from the city. Also, it is a condo and the condo association might be really difficult if they officially found out that I fixed the place up.  Plenty of neighbors have done so without permission but the condo association might just decide to say no this time. They can be whimsical. 

Oh, its a condo. If there's anything that violates the HOA bylaws then it may come up at time of sale or if some tenant complains about something. But being a condo, depending on what you did out of code or not within the bylaws I would think shouldn't be that bad, i.e. nothing structural or behind the walls like electrical or plumbing or removing load bearing walls?. Maybe more cosmetic?

Originally posted by @Caleb Heimsoth:

@Louis Collins

You can make good money but it’s Gonna take a while to get there

 What's "awhile"?  I'm looking into becoming an inspector as a career and for investing purposes myself.

I'm looking into this route too. Both as a career and for investing purposes. For you though, arent you going to be a bit time crunched if you're performing home appraisals and working a CPA service?  I mean those are both time intensive jobs and require several hundred hours for certifications. 

If I had the mind and commitment like you for being a CPA, I'd just focus on that as a job and pay for the appraisal services as needed or let the buyers/mortgage companies pay. The ARV is subjective (as is an appraisal too) and is more of a team decision, based on many different peoples opinions (contractors, real estate agents).

If you're going to wholesale, or have a cash buyer you dont need an appraiser anyways.  An appraisal would only be required if a potential buyer needs to qualify for a loan.  In which case, they can't use your report anyways if you're both the seller and appraiser as it would be a conflict of interest. The bank is going to want to use their own appraiser.

I hope to hear from others too.

I'm looking into either of these careers.  These both look like good careers.  Can anyone share their experiences?

What are some entry level jobs in RE? It seems many of them require a RE license, which I was planning to get anyways but wanted to get your ideas. My primary goal is to become an investor. But it takes time to build a team or strike that first deal. Is there something that could provide income immediately, even if it’s relatively low-paying at first I’m willing to start at the bottom since I’m a newbie

Excellent information But since I won’t be there daily I’ll need a PM.