Caravan Day and few gems

Many remodels of the basic fix and polish were on the market. Beautifully staged and full of nice bath fixtures as well as interesting and warm colors.

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.

Last Tuesday on Caravan found a good Investment for a builder

Doing the regular RE Agent/Broker caravan is the very important path to really getting the feel of what is available. It is what keeps us RE Professionals hot on the trends and closest to the inventory that is constantly changing.

I roamed from Santa Monica to West LA to Westside Village to Palms and then to the Mar Vista and northern edge of Venice this day. Found that the items I had selected included a few that were very well priced for the benefits and livability.

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 Vista. A Great deal at $659,000. Very hot.

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.

Lot: $ 659,000

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 Catalina Island with boats and family. Dooh.

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.

Los Angeles has so much to offer.

Those many great things are there for the tenants and homeowners who share the city.

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.