All Forum Posts by: Rahul Bhatt

If it is your first investment property try to stay close I agree the number looks great out of state but you want to gain some confidence first.it is not paper money it comes with a good amount of work it would be nice to start with a  place you know. 

I was in the same boat been to a lot of meetups everyone says Deals are here :) there are some meetups in which they just keep talking about them self I hate them.   started meeting with like-minded people regularly. and create a tribe. Please ping me if interested. no formal agenda no master no guru :) just learning as a peer. 

https://www.biggerpockets.com/forums/521/topics/520271-real-estate-investment 

Great analysis thanks for posting. I agree it is getting out of reach, but as of now outer bay area is expanding and getting really hot places like tracy Modesto.somehow I heard from so many people when the crash happen it start from out side and than hit bay area. again all of us know crash  going to happen but not sure when :) . when we were starting 2017 I ahve seen many people forcasting 2017 crash but it seems most bullish year :) 

for the school rating and 2.3MM home  that is very intresting. but in general school ratings are on rise ? at least in Fremont. so after some time i think rating will not matter because every thing will be 10 here. 


Originally posted by @Sam Shueh:

I look for clues when the recession is ripe. The economists often show and talk about interest rates show short term(2 year) and long term (10 years). When the short term interest rate is higher than long term interest. The economists claimed they can predict an impending recession a few quarters in advance with high probability. 

The Yield Curve between 10 year and 10 year can be interpreted as a precursor to recessions (vertical gray columns) when the blue line crosses over horizontal line.  On the basis of above curve I see that two years away during 2018-2010 it will happen.  The degree of recession depends.  The dot com recession in 2000 hit SFBA Silicon Valley more than other cities. In fact, the high tech employers were got hit hard. The dot com start up companies all took a hit as the technology was not mature. Housing in these neighborhood took a 10% price erosion while service worker neighborhoods were barely affected. Highly educated workers took 1-2 years to find a similar or lower paid job.

The same neighborhood housing are artificially inflated today. How it will affect these areas depends on how severely the recession will be.  My opinion is a $2.9 M 2300 sf newer home TODAY on an average size lot in a rating 6 elementary school will not stay that prcie forever.

I welcome your opinion and comments.

Thanks

Sam Shueh

Let's be realistic it is expensive. but there is a reason for it people want to live here. I think there are some pockets in the bay area you can find breakeven or cash flow. one option is to do house hacking and then to transition to multifamily. hope it helps.

thanks man I will add you

 I am Rahul Bhatt I am an investor here in Bay area. I have invested in residential properties here in California and Ohio and some notes. 

I have gone through various real estate meet up most of them are not helpful for the new investor.  so I started meeting with a couple of folks casually on a cafe in Fremont and found it very useful. most of us do have some rentals trying to grow the portfolio. it is more interactive discussion the idea is to create a Tribe so that we can help each other in the success. we are concentrating on the multifamily discussion.It is about how to create a passive income in real estate with different things.

It is free to join but you have to be serious about your goal. as well there is no one here who is claiming to be the master :). we are all peers.Please PM me if you are interested.

depends do you want to give him debt or equity?

I kind of in different cam on the 401 k saving. read the book really great contents but it can not be apply to everyone. if you live in high tax rate like California maxing out 401k might not be worst idea . if you are here than you are earning more anyway just to survive.again everyone and there life circumstances are different. coming back to your question. I would rather keep them in cash of some liquid stable instrument than roth IRA.

I was in similar situations. the best options is to build passive cashflow. here are the options 1. buy cash flow property in cheaper market where you can go all cash or lower loan amount. 2. try to enter in commercials space 5+ units lender underwriting the property more than you. please inbox me if you have more questions

I have 10 rentals with cozi.co amazing service