All Forum Posts by: Shiva Bhaskar

Hi Hector, check on which rent control law applies. If you're looking in Inland Empire, the state rent control will apply to most pre 2006 multifamily builds. Does not apply to single family unless you own 10 or more, or own through corporations etc. You can raise rent by 5% per year plus inflation (whatever that is indexed at, usually 2%). So, 7% total, on the multifamily properties.  

If you're investing in Los Angeles, you have LA city rent control on 1978 and before builds (this law is known as LARSO), LA County rent control for unincorporated areas, and also rent control for cities like Santa Monica. You'll want to check which applies.

My advice would be to send notice of rent increases to tenants according to legal requirements, typically 60 days before the lease is expiring. It would not hurt to do it even 75 to 90 days ahead. This is both a courtesy to the tenants, and lets you plan ahead, if you're going to need to find a new tenant. 

Keep in mind that paying tenants to move (a tenant buyout) is always an option. In city of Los Angeles, landlords do this quite often. 
 

It sucks when this happens. I'd be curious as to whether the other agent found something which you didn't. That would be great learning. I'll also share a story. I was an agent many years ago. I knew another agent, who showed a bunch of rentals to these two young women, who were moving into New York City. They liked working with him. 

He failed, however, to show them 2 that might have been of interest, and the rented one of those. He felt really bad. The thing was, these two really liked him. He congratulated them, and suggested that they let him know when they had friends who needed help. He got 4 deals that summer out of friends of theirs, whom they referred. Some of those friends sent friends, and you get where this is going. learn what you can, and remember you'll have other clients who will rave about how great you are. Go find those people. 

Agree with all of this. 

I share the same concerns, especially on people doing cash outs on single family, non rental properties. My focus is multifamily, and most investors in this category (I hope at least) are savvy enough to save most of the money for future acquisitions and keep some reserves. I think plenty of single family investors are savvy in this way as well. 

I do worry about the folks overleveraging to spend on boats and vacations and so on. I don't think this is 2008, but it is an issue. 

Our team is closing soon on a 10 unit in LA (county, unincorporated) which we acquired directly from the seller. Took a lot of work, but it can be done. Happy to chat about this. 

One of the most lucrative ways to invest in real estate, is to purchase properties through probate sales. Yet, the probate process remains shrouded in mystery, and many investors don't know how to access these opportunities.

To demystify the probate investing process, we've invited a very special guest. Ms. Denise Moore is a trusts, estate and probate attorney with decades of experience in this field. Denise has assisted members of the LME Investments executive team with probate issues, and is an expert on the topic.

You won't want to miss this value-packed event! Please note that this meetup is held through Zoom.

Hi Ted, fellow LA investor. at first glance, looks high. The only thing I could think of was all units are 3 or 4 beds, but that is not super common with quads. I would investigate further as to what is going on. 

 Hi Allen,

I am a local investor(well, LA County, but not those specific areas), and have a few thoughts. 

1. Are you planning on living there for the long term? If so, I hesitate to suggest anyone waive an appraisal, but if we're talking 10 years or longer, I think you'll be fine. 

2. This is inevitable. I don't even know if it's "bad" that there be some emotions involved. You and your family will be living there, and I've always thought of a primary as a home first, and investment second. That isn't to say we should buy a bad deal, but my primary focus would be if you and your family have a place you're excited to call home. 

3. I would be very hesitant to ever waive an inspection contingency, unless we're talking a very new build or gut rehab. Even then, I would hesitate, since I've seen the mediocre work done on some of the flips in LA. As far as "overpay", I don't know that over asking is overpaying in the areas you mentioned. If you really can't see a 10 year horizon for this property, then don't buy it. 

4. Pasadena is always hot. I was waiting to see La Canada Cresenta on the list, that is the other one one that has blown up. 

Can I suggest you might also want to consider other parts of SGV? I know Pasadena and South Pasadena are hipper than say, Arcadia or Monterey Park, but those two areas have wonderful schools, though you might end up paying more in some cases. I have friends who grew up there and did very well.  If having good schools are a priority (I don't know anyone who would say it's not) not sure where work is for you and your wife. I would also look a bit further away, at Diamond Bar, Rowland Heights, Walnut, and perhaps Cerritos as well. Diamond Bar High School and Whitney High School are amongst the very best in LA County.

We know the real estate investment market is very competitive. How do you get an edge? One less-known is by investing in properties which are owned by individuals or companies in bankruptcy proceedings.

How do you get access to these opportunities, and figure out whether they make for good investments? To answer those questions, and share more insights, we've invited Mr. Jonathan Vaknin, Esq.

Jonathan is a California-based bankruptcy attorney, with more than 12 years of practice experience. Jonathan will share some details about how the bankruptcy process works, and then dive into how investors can gain access to properties which are in bankruptcy court proceedings. This will be a highly informative session, with lots of practical advice. We look forward to seeing you there!

Hi Jennifer. Am interested. We host one as well and it's been a lot of fun - interested in checking yours out!