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All Forum Posts by: Jian G.

Jian G. has started 14 posts and replied 99 times.

Post: Triplex in West Philly | Ugochukwu Opara, Realtor

Jian G.Posted
  • Rental Property Investor
  • San Diego, CA
  • Posts 102
  • Votes 43

@Ugochukwu Opara

Are you managing yourself or have management in place? Looks like it’s cash flowing 1k a month, what you get after management?

Post: House Hacking Research - Tell Me Your Story!

Jian G.Posted
  • Rental Property Investor
  • San Diego, CA
  • Posts 102
  • Votes 43
Originally posted by @Craig Curelop:

Hey everyone! 

I am doing research for a house hacking project and need some stories of fellow house hackers. Could you please reply to this thread with your house hacking story?

Please include your location, strategy (rent by room, Airbnb, duplex/triplex, etc.), and numbers associated with the deal. 

Thanks!

I haven't been active in REI in the last 10 years not until the last few month. We buy one house every year or one house every two years. Recently we are trying to accelerate our financial freedom goal so we have been very active on buying properties. At the end of next month, we will have added 9 more doors in a 3 month period and an increase of $6500/month in cash flow. Additionally, I have been living in a 4 bedroom house for over a year with 3 vacant rooms. our house can rent out for $3500 a month and I am renting out the other 3 rooms now which will give another $2175 a month to invest more aggressively in apartments. At the end of this year our goal is to add a total of 30 doors in California or 100 doors if we start doing out of states.

Post: First apartment deal, offered full price w/o looking at property

Jian G.Posted
  • Rental Property Investor
  • San Diego, CA
  • Posts 102
  • Votes 43

We found a 5 units about 6 hours of driving distance and the COC looks very good and we offered at asking price without seeing the property. We know it is in a bad area where people have low income but since it is a relatively small investment at $400k we want to get the offer accepted before the full under writing and flying out to visit the property. I did spend 2 hours looking at street view of every corner around that area and google recently updated in 2019. We have bought houses that we never seen the property and have yet step foot inside them. What are your thought? I just feel like it would be a waste of time and money if we don't get the offer accepted vs I can always back out after we are in contract if we find information that change the numbers.

Post: Search function for Pro, Filter not working for me...

Jian G.Posted
  • Rental Property Investor
  • San Diego, CA
  • Posts 102
  • Votes 43

We put an offer on a 5 units apartment in North-Cal today and it is likely that we will get it since we offered at full asking price and we have everything ready to close. I am trying to find some people in a certain city such as GC, handyman, property management and the filter it's not working for me. If i put in the city, state, and zip and selecting "property management" categories, it would just show random people from all over the place. I believe this is a search function for the Pro member. I can't seem to be able to find the people I am looking for. Any advice? 

Post: Can I evict my tenant to remodel the house & sell it in San Diego

Jian G.Posted
  • Rental Property Investor
  • San Diego, CA
  • Posts 102
  • Votes 43
Originally posted by @Account Closed:

It seems you have a fully rented 4-plex with good tenants .   What would the selling price be for it as now, i vs a remodel and selling a empty rental property?

 1.5 right now maybe, remodel and garage conversion adding 1/1 each unit would prob bring it close to 1.8-1.9 and with appreciation going at this rate, easy 2m in couple years since the market has not been emerge yet. and we bought it way below 1.5

Post: Rich Dad, Poor Dad--Is it too late?

Jian G.Posted
  • Rental Property Investor
  • San Diego, CA
  • Posts 102
  • Votes 43

@Adam Rudolph

Robert did say the housing will crash and he’s holding back but a lot of people I know didn’t stop investing. Remember investing with long term strategy is not speculating.

Post: Zero-Down Non-Recourse Loans for Multifamily Investments

Jian G.Posted
  • Rental Property Investor
  • San Diego, CA
  • Posts 102
  • Votes 43

@Ethan Wagner

If that’s the case, we would have toddlers with diapers running around as landlords lol

Post: Oregon is about to act statewide rent control - thoughts?

Jian G.Posted
  • Rental Property Investor
  • San Diego, CA
  • Posts 102
  • Votes 43

@Danny Grey run! They about to do that in San Diego smh...

Post: Anyone have experience w/ process of legally separating a duplex

Jian G.Posted
  • Rental Property Investor
  • San Diego, CA
  • Posts 102
  • Votes 43
Originally posted by @Justin R.:
Originally posted by @Jian G.:
Originally posted by @Matt Devincenzo:

Jian, I do this sort of work in the City of San Diego. If you want to send me info I can tell you what it is you need to do vs what you think you need to do. i.e. if you have legal parcels (legal and tax parcels are NOT necessarily the same), you can segregate them at the assessors office and sell separately with very little work required.

If you need to do a TPM or TPM waiver, then you can create separate legal lots or condos and sell separately. 

Also your plumbing questions, you may need a ROW permit to do separate taps...the tap itself is done by the City but you need a class A contractor to do the field work. But you are probably better off doing private submeters because the City and CWA fees for a new meter will be at a minimum $7,500...that doesn't include permit, engineering or contractor charges.

For what it is worth the DSD staff does not understand land use planning generally (some do). They are nearly always going to tell you you need everything because that is the 'safe' answer. Bring it all to today's standards and we know it is right vs just what needs to be done to accomplish your goal.

Hi Matt that’s really helpful, I been on the phone with the city all morning, it appears they know nothing and just transfer me from recorder to real estate to mapping to planning and zoning everyone just tell me to talk to somebody else. I saw the sub meter option in the city and there are companies that does this to do utilities bill back in larger apartment buildings. The planning told me to go in to the downtown office and talk to their surveyer/engineer department and need to hire an engineer. Does this sound right to you? 

Just a headsup: Don't rely on the City to tell you much of anything about what you can do here.  You can ask specific questions about specific portions of ordinances, but you can't ask for any advice or overall "will this work" questions - you'll continue to have the experience you've had so far.  That's what paid consultants are for.  :-)

After you've paid someone to help you figure out whether what you want it feasible, getting an approved TPM is a process 3 with the City.  The last three I've done (including one that involved no development - just legally separating two separate structures) have cost an average of about $22k in entitlement fees at the City and another $28k all in for private survey and engineering costs.  The construction docs, including City ROW review fees and physical construction cost for public improvements has varied greatly depending on - as @Matt Divencenzo (sorry, sp?) pointed out - site specifics.  Plan for at least 12 months.

My suggestion?  Find someone (maybe Matt?) who you can hire to do a project feasibility analysis for you.  In the past, I've paid about $1k for help in situations I can't handle myself.  From that, expect to know whether what you want to do is possible, what risks or unknowns you're likely to encounter, rough costs involved, order of things you need to do, and some ideas of timeline.

As an example, the City will make you replace the public sidewalk at your property unless it's functionally brand new already.  If that's the only public improvement you'll need to do, it will cost you maybe ~$1500 to have someone draft up the plan and process the permit, $1800 in ROW permit submittal fees, and maybe $10/sf for the concrete if it's part of other work at your property.  These are all things you probably want to know going in, but there's a hundred more.  If there's no real cost or time pressure, you can eventually navigate it yourself and save some of the upfront cost and effort.  I wouldn't recommend it (note: I tried that the first time).  :-)

As I said in one of the other posts, don't let this dissuade you.  Land use knowledge is a very valuable skill to have - it's opened up quite a few projects for me that others couldn't/wouldn't do.

Thank you Justin this is very insightful. I will keep looking into this and a feasibility test make a lot of sense. And I do agree with you that land use/zoning is about timing and taking the max use of it. 

Post: YOUR biggest hurdle to buying an APARTMENT COMPLEX in 2019 is...

Jian G.Posted
  • Rental Property Investor
  • San Diego, CA
  • Posts 102
  • Votes 43

@Scott Morongell

Agreed with all 3. Here in SoCal, lots of foreign money coming in. Lots of 1031 popping up in Long Beach. But can't blame the rich where else are they going to park their money when the economy takes a dive again. Those FHA 3%ers can't keep up the mortgage and people have cash aside going to start shopping like it's Christmas. I don't know if people 1031 out of states or into the opportunity zone right now. I would do that instead of going up in class A. There are a lot of opportunity zones from Central Valley to San Diego. Great vehicle for investor to get out of all gain tax.