All Forum Posts by: Nathaniel Garcia

I sent you a message. Thanks for reaching out to connect. The market really is moving really fast and the prices are eye-watering on SFH. Right now my focus is going to be condos unless I can find a SFH that's in terrible shape, barely qualifies for conventional financing, and fits the math for a flip.

Thanks for sending this over. Having these numbers handy is really useful. I've gone over these at a high level with some agents but I'm analytical so I like to drill into the details.

I was talking about the sales market. I was incorrect about that. The data it is based on was from RedFin and Zillow which I was told by an agent is incorrect. Right now SFH are at 9 days and Condos are at 18 days island wide. There's about 1 month of SFH inventory about 3.5-3.8 months of Condo inventory. Things are moving fast.

We're talking about the same person. I'm going to be catching up with him Monday while I'm visiting Oahu.

@Carlos Ptriawan Depends if you're doing condos or SFH. For condos it would seem that LH condos are best flipped in the Waikiki area assuming there are the right terms to that LH. For FS condos I think it would be a building to building evaluation. I'm sure a local agent could circle areas that would be most ideal but I'm sure it would be dependant on budget.

For SFH Kailua would be great if you've got serious amounts of capital while Ewa Gentry, Ewa Beach, Waianae, Makaha are more approachable if you consider $400k+ approachable. 

@David Gotsill That's exciting. Working using heavy machinery like that is exciting. Perhaps it runs more on the fine line of excitement / anxiety. Had I found a way to do real estate investing in Japan I would have tried a lot harder to get another visa to stay. Right now my best way back is career progression with my current job. In the meantime, I want to build up my investments so going back is even easier financially.

I put a time slot on my calendar to follow up 03/22/21 with you here on BP. I look forward to connecting. I'm interested to hear what life's been like for you in western Japan.

@John Rankin I'm always interested in learning about the market, best places to buy, contractors, etc. I've been researching Leaseholds and how to make them work for cashflow if they are within the right zoning. They aren't my focus right now but I do have some interest. I can't tell how much competition there is for these properties by comparison to Fee Simple. They clearly are a financing challenge and have more cost/risk variables than fee simple properties.

Are you actively investing in Hawaii currently or is your focus elsewhere? 

@David Gotsill Thanks for the welcome. I'd love to connect at some point via Zoom if you have the time to hear about how you do what you do from Japan. My goal is to get back to Japan within the next 5 years and continue investing from there. Are you currently doing investing into Japanese real estate or US based investing exclusively?

I found the real estate market to be very intimidating in Japan. The costs and complicaitons of earthquakes, land vs building values, the decreasing population deflating demand for housing, and the level of Japanese required to even read and understand basic rules and regulations. 

Does Kiley invest in Hawaii?

@Keola Nishikawa I'm excited for the change of pace in life and the challenge of investing on Oahu. Life in Japan has been good but Hawaii seems like a great next step. 

I get it conventional cashflow investing like you'd find in Cleveland or Detroit doesn't exist on Oahu. It's not a place where it's cheaper to own than to rent and as a result the math is upside down. I'm looking for debt coverage. I'd consider net zero on a property to be a win. Appreciation in places like Hawaii and California are the play.

I think there is a unique opportunity with Leaseholds in zones that allow STR could be a cashflow play. I realize most people want to stay away from LH properties given the unknowns and variables. It's not my current focus but I'll be looking into it more.

The live in flip / house hack is an approach I'm going to take to get going and build up the capital to have what I need for bigger projects. Networking with people is also something I want to do so I can get experience working together on projects with people and being involved in things I couldn't do solo.

@Carlos Ptriawan I get it. Sacramento has some really nice appreciation potential and even cashflow in the right areas. For the time being I want to put my money where I am living because I can benefit from leveraging a primary residence at 3% and doing some of the labor myself (paint, flooring, drywall, plumbing, etc). I fully appreciate that Hawaii, specifically Oahu, is going to be a much more challenging venture than Sacramento. I also realize the margins are most likely slimmer. I've lived in Sacramento and it's suburbs 26+ years. At some point I'll put my knowledge of the area to good use. 

I didn't pick Oahu because I think it's the best market in the country to do investing or because it's easier than most places. I picked it because for my own personal reasons it's where I want to live and I'm committed to learning and succeeding in that market. I had considered Sacramento, Dallas, Detroit, and Cincinnati but I knew I wouldn't be happy living in those places right now. I've realized investing in your happiness before you try to invest in something else will go along way towards making those investments a success. Obviously you need to make wise and sound investments but when things get hard, markets fluctuate, and the best laid plans are tested having invested in yourself will go a long way to ensuring you endure, survive and come out the otherside better than when you started.

Oahu here I come.