All Forum Posts by: Scott Williams

Based off the areas history, (I would not only for hidden gem) unless you can pay down the debt substantially due to this area isn't as stable as it would seem and the tenant quality seems to be sub par based off what my wife and I have seen/heard from those operating in the area. The market is saturated with rentals, limited in certain areas(over priced), my wife and I are headed up there ourselves but we won't be buying. We have family that is stuck with two properties they can't unload, even renting them is rough. ROI is limited and it takes a small downturn in the economy at the micro or macro level and that dwindles even more. Especially with the flash point in the Middle East right now. With all that said if you find a gem then it is worth seriously considering but there is a difference between riverside, murrieta and Temecula. The further south and closer to Camp Pendleton/San Diego the better likely to pull military family's/government tenants or even San Diegians who worth on the northern edge who make the drive for work. Location is everything, when it comes to the desert region of SoCal. Once again though global and US economics heavily influence this area, since a lot of people who live are commuting vast distances (40-60) miles for work.

@Greg Scott, @Dan H., @James Call I appreciate your input, I have been flip flopping on to sell or not. It is hard to take the profit made here and invest locally in SoCal due to the cost it. High cost which equals Higher perceived risk(especially for the wife). Being new to it makes me nervous but I am open to it if I can find a good deal. I understand out of state could pull better numbers but without an established network in those areas and being military it limits my ability to go out and establish one. I want to maximize my returns any advice or mentorship is welcomed in either operating outside of California or @Dan H. tips for success operating in CA.

Good Afternoon,

Looking for some friendly advice or what others would do in my situation.

Currently living in a home I purchased in 2013 at 400k, however, getting ready to move in the next few months. Home is located in San Diego more specifically Spring Valley. Owe around 336k at 4.75% paying 2443 a month to escrow (600 approx to insurance/taxes) home valued between 585k-646k(I like to stick to lower try to be conservative). Projected rent for this house would be 2700 on the lower end and 3100 on the high end, I think given the location of the house and view can pull 2900 a month however sticking to my theme of conservative say I only pull 2700. Being this would be my first rental and managing it myself (to cut property management cost) I am nervous that I am missing data points and I'll end up in the negative(I can swallow a small negative in return for long term gain). Would you keep it as a rental or sell?

Greetings everyone. I am not new to the real estate world from the aspect of observing, watching and even from time to time offering my thoughts on some real estate situations. I grew up watching my dad invest and try various different forms of real estate investment from development to flipping to rentals. So I have seen the ups and down, my brother recently has got involved purchasing a couple places with decent returns. So this really is something my family has taken as a passion and we enjoy talking about it, for me I have huge aspirations but we'll see in time if that happens. I have tried to get my family to join forces to join me in the SoCal market but they are content in their comfort zone right now. My father has been trying to get me to take a more active approach and he thinks out of the three of us I am the most likely to truly accomplish something within this world. I have been hesitant to jump in one reason is I am not keen on anything outside of perfection and this game is a game of risk % so it has delayed me especially living in southern California it is extremely expensive to get involved own here and a mistake here is huge. I was able to purchase a SFR as the market was taking a turn up, bought at 400k now valued between 585k-620k (I stick to the lower end so 585k). I am active duty military and my wife is an attorney (right now stay at home mom with our son). I have decided to get more active on here, hoping to find and build relationships/connections/network to help my real estate ventures evolve from more of a sideline approach to more involved player. As I start to become more active, I find myself asking more questions finding more risk and wondering is my choices the right ones especially when your family is putting their trust in you. One is do I stay and operate in SD or do I go out of state, I have family that is willing to help with out of state stuff since they are located outside of CA. Overall, my objective is to supplement my income so when I retire my family isn't hit with a huge financial impact and I can focus more on this as a career. I welcome advice or just new connections that could help down the road.