Another week of Real Estate Bliss!
Went to two fantastic real estate meetings this week. And had an interesting phone call or three. On Monday I talked to a fantastic gentleman about Solar Power! What better way to learn about new ways to increase your ROI then thinking outside of the box!
On Thursday I trundled up to Oakland. Man, it’s an epic journey sometimes to get up there taking way longer then you expect. Other times it’s quick and easy. I should have left a little sooner than I did because I did hit some traffic. Getting there early left me some time to wander around Oakland. It was amazing to see how a street can divide a ‘good’ neighborhood and a ‘iffy’ neighborhood! You see this a lot in Oakland where it is trying so hard to gentrify and become the new living place for San Franciscans.
I spent the day trolling around the Montclair neighborhood in the Northeast Oakland Hills. The business district looks like it should be one of those super touristy, hipster areas with coffee shops, art galleries, upscale bars, antique shops and all that stuff. Coffee Shops really were the only tick on that list; two local coffee places, a Starbucks and a Tully’s. Otherwise it was Realtor Offices; I counted 5 Boutique Realtor offices, 3 Pharmacies (2 National Brands, and an Old Time-y Pharmacy), Two Super Markets, and Restaurants that have been there for 30+ years. Up behind the commercial district was a string of 4-plexes. Amazingly enough in the area NO houses are for sale, but there are 4 Parcels of Land listed for sale.
After grabbing lunch, and walking around, I hopped into the car and began driving aimlessly. Apparently my little Fiat wanted to ascend into the Oakland Hills. Because we went up and around and through and by and past and into and every which way. It was pretty cool to see all those large, expensive houses sitting precariously on the slope of these hills. Brand new McMansions sitting next to old 50-60 even 70-year-old homes.
Leading into the meeting at a duplex purchased by one of the regular attendees of the meeting. It was great to hear how new investors were getting into it and using the ‘housing hack’. He’s bought the duplex for (rough numbers) $425,000, he’s got a tenant paying $1750, and he’s AirBnB’ing his extra room. He’s got finished basements that could easily be upgraded to being Mother-in-law units. Fortunately the area is zoned for higher density, and if he puts his extra cash into it, when he goes to refinance out to a conventional loan, he should be able to have 4 units. 2 @1750, and 2 @ 1200 or $5,600/mo! Pretty amazing numbers.
I met a wonderful person at this meetup, and she had a lead that I followed up on the very next day.
Friday was another “Young” Investment Group meeting. A Potluck. I’m not sure the idea was thought out well. But I’d suggest not doing a potluck for an REI meeting unless you are going to be at someone’s property and doing like a BBQ or something. This meeting they had a speaker who has a ton of experience in the market and spent a good amount of time talking about his experience and how he got to where he was. It was very much a ‘mindset’, or ‘newbie introduction’ meeting. I’m sure some of the newest REI folks gained some value from it. Met some interesting folks. There were only 5 returning members from the previous meeting. Myself, the organizer and his office staff, and one other person. Bi-weekly meetings seemed a good idea but I’m not positive that they work out. The one thing that I did get out of it was he does Real Estate Licensing class.
One adjustment I’ve made to my daily schedule this week: Check out HomePath.com and Auction.com every day. I’ll check one or two neighborhoods, or one or two counties and start processing any potential flips that are listed there.
And I’ve decided to get my License.