All Forum Posts by: Rob Brown

Vegas rentals are SFR in 89144 zip code in Summerlin. I used to own many of them in 89107 that I bought near Jones and Alta for $42k-$56k in 2011-2012 that rented for about $1k mo each.

I own two oceanfront properties in Mission Beach, and I've owned and operated properties here on the oceanfront since 2005. I'm a real estate broker in Mission Beach, I'm the Vice Chair of the Mission Beach Precise Planning Board, the past President of the Mission Bay Real Estate Association and I've been on the board of Mission Beach Town Council. I've focused on investor sales since I got my real estate license in 1999 in Las Vegas and San Diego and besides vacation rentals I focus on value-add apartment deals in Pacific Beach (near mission beach, both 92109) and single family house rentals in Las Vegas. Reach out if you want to talk shop about Mission Beach, PB, La Jolla or any coastal real estate in San Diego or Las Vegas real estate! 

I'm an investor and real estate broker specializing in Summerlin rentals since 1999. I strongly recommend Summerlin for the best tenant quality and profile in Las Vegas, and an easier time renting to a top quality tenant than other areas. The CAP rates are lower in Summerlin than other areas, however, occupancy remained higher than other areas and tenant quality and rents have been great since 1999 including pre 2008 and through the crash up until today.

@Stephan CAP rates are lower in San Diego than in Las Vegas. Investors accept the lower cap rates because they project higher rental rate increases and corresponding higher appreciation. Example: I cancelled a 15 unit deal in PB for 2.25m in 2006 because at that time the property brought in around 16k in gross rents and was going to barely break even with 1m down. Today the rents are @ 2400-2600 / door on that property and the value is around 5m. What will the value be in 2029? Hard to say, but we know San Diego is a supply constrained market with strong population and employment growth prospects in a great weather climate (with long term climate migration something to be considered) where it is VERY hard to build new apartment units and those that do get built are top of market Class A units so buying C and making them B+ in A areas is a proven model in SD. It is very hard to get good cap rates though in A areas. If I had bought a deal in Las Vegas in 2006, 1996, 1986 even though the entry CAP rate was much higher the IRR at sale 20+ years later is lower. That is something I don't see mentioned much on Bigger Pockets forums. I bought a lot of real estate for long term hold in Las Vegas 2010-2013. I love Las Vegas (my home town!) don't get me wrong, I plan to retire there (no state income tax, low cost of housing, all my friends and family there)! That being said, I think my coastal 92109 assets will outperform my Las Vegas assets over a 20 year hold as long as global warming or rent control / prop 13 repeal don't get in the way. The biggest headwinds against long term hold of units in SD are the prospect of rent control, prop 13 repeal (prop taxes no longer fixed with max 2% annual increases), etc. For Las Vegas the boom bust cycle will continue with long term rental rate increases and capital appreciation in core locations and around suburban hubs.

I bought a 3 unit in North Pacific Beach (92109) a 2 blocks to the beach at Tourmaline Surf Beach in 2017 and I've gotten rents up to 2400 a door from really under market rents when I bought it. 2/1 units and a 2/2 with private garages gated yards and patios. I've sold many Plex and apartment deals to clients in San Diego and Las Vegas and I have 20 years of full time real estate experience and a Master of Science in Real Estate from USD in San Diego! 

I am a real estate broker and investor who's been investing since 1999 when I bought my first property at 19. I have always had 80-90% of my total net worth invested in real estate and the rest liquid as a cash reserve besides maxing out my IRA, SEP IRA or Solo 401k for tax purposes. I've been reading a lot more the past few years, and I've gotten really into all of the books, podcast, and blogs in the FinCon community. I have come to believe I should have a substantial portion of my net worth invested in a Schwab Total Stock Market Index Fund (SWTSX) or Vanguard Total Stock Market Index Fund (VTSAX). My questions is, what % of a real estate investor's net worth should be in index funds and bonds, and what % in real estate? I'm considering 1. selling a property to diversify versus just 2. not buying any more real estate and investing only in Index Funds and Bonds until I get to the asset allocation of 50% real estate 50% equities and bonds, however, because of my substantial equity in R.E. it could take 10-20 years to get to 50-50 without selling a property even if I'm investing 50% of my net income. What does the community think about this?

I've been a licensed real estate broker in Las Vegas, and an active investor myself since 1999. I personally buy in Summerlin, the southwest, or 89107. In the crash, I was buying houses in 89107 (I stayed south of 95 only) for around 50k all in that would rent for 1000 mo. Now, those same homes are going 175k if you get a good deal on a 4/2 or a 3/2 depending on the condition and the rents haven't gone up much since 2012 in that neighborhood if you want the best tenants you can get there. You have to go into rough areas to get 1%. I would only buy a plex deal if I was speculating on area improvement around UNLV / Maryland Parkway corridor or the Downtown area. Stay away from the D neighborhoods in Vegas, it is hard to manage. The last property I bought was in Summerlin a 3/2 1254 foot one story for 251k in late 2017 with a 4k seller credit fully remodeled and it is rented for 1395 so def not a 1%er. That being said, I could sell it today for 279k+ and the trajectory is up. I expect in a recession Vegas would dip as it always has and you'll be able to pick up a similar Summerlin property closer to 200-225k or 89017 closer to 125-145k again. Who is to say if the recession is next year or 2+ years out; I just keep buying cash flow positive good areas and stay liquid for downturns and you'll do well! Don't try to time it. 

I'm a Vegas native and real estate investor and broker in both San Diego and Las Vegas. I would suggest living nearby Downtown Summerlin, it's arguably the best part of Las Vegas. Anything around 215 and Sahara or 215 and Charleston is great. The last property I bought was a 250k single family 3/2 house around 1250 feet off Far Hills and the 215 3 exits north of Downtown Summerlin that rents for 1395. Let me know if you need any advice, I've owned and operated rentals in Summerlin since 1999 and I've also invested in commercial real estate (shopping centers, apartments) in LV! Rob 

I would focus on multi family in Normal Heights, City Heights, Sherman Heights, Golden Hill, Oceanside and Imperial Beach if you want areas that are rapidly gentrifying and close to the core / coast.