Tuesday, April 18, 2006
Did some looking at the ones in the area near the 1 fwy and Bundy then worked my way into West Los Angeles. Some of the nicely fixed up properties where priced in the high 800’s and looked rather nice.
But there was a 999 priced house on the hill that held onto my imagination. If you spent real money to fix that one up it could be another $1.5 million home. Great views. It is just so hard to pay 990k and think of it as a lot. Even for Mar Vista.
That one the listing agent will possibly be driving for a price reduction soon enough. Then I’ll be back for it with my builder friends in tow.
I roamed from
But one stood out… A builders investment hot property. Just listed. Priced Right. Good buildable lot. Small house of little more than 600 sqft ! That will nock over with a small little bobcat and one dumpster. On Ashwood in Mar
Build a nice house of 1800 to 2000 sqft and sell it for a tidy profit. The older homes are going for $899k in that area. A new one will easily be $1.150 to $1.25m In north Venice one APN away there are some rebuilds going for that and then some.
Build $ 370,000 – ($185per sqft x 2000)
Plus holding costs and permits etc. (30 to 40K)
Cost $1,150,000 sell for a 100k to 200k profit.
Not bad for one years work. I quickly called all the builders I know. They were all on vacation to the Colorado River or at
By Weds the listing agent had 7 offers by 5 pm. Good deals do not last once the word is really out. Just one Day!
I will track this as it closes and it is rebuilt to let you good readers know what/how/where a good market and quick actions can reward an investor. Teaming up with a Real Estate professional who is “In the Know” is the best way to score on this type of opportunity.
Monday, April 10, 2006
The westside of Los Angeles had several building booms over the years. So there are plenty of rental properties to serve the population that wishes to rent.
These are very good investment type assets. Safe. Secure. Revenue flows that can be counted on. Reasonable amount of security with limited amount of risk. If one appreciates the types of risks associated with a rental property... One can sleep soundly and confidently assured the values and revenue streams will increase over time.
Now that the old banking deregulation and the tide of funds has shifted from banks to the stock market to the Real Estate market... A run up has occurred. That in no way delutes the real value. It just gives the chicken littles a chance run saying "the bubble will pop" "the bubble will pop."
The Dot Com bubble did pop. But the difference is a flow of income and a real asset. Land. So there is back up to the land and real estate value. Not the same.