I often joke on this blog that you should never sell apartment buildings. The main reason is that the transaction costs of selling real estate are high (brokerage commission, transfer tax, etc.). Also, in CA, there’s a major benefit to holding on as your rents increase, because your NOI margin increases (see here for more
The LA Fair Housing Coalition, a group that fights for landlords, has arranged a meeting for members with officials from the LA Housing Department’s REAP and code enforcement offices and the Eberly Company, which was recently hired as a landlord outreach contractor by the city. The idea is to give landlords a chance to explain
Am going to blast out a tasty small apartment flip deal at around 2pm PST today to the mailing list. I’m intimately familiar with the deal and I think it’s a winner for someone who can bring $500k in cash to cover acquisition and renovation. The upside is $60-125k in profits within six months or
How do you feel about giving your tenants part ownership of your apartment building for free? Pretty terrible, right? If you own a rent controlled building in Los Angeles and don’t raise your rents by the amount allowed by the city each year, you’re effectively giving your tenants a stake in your building for free.
Being a good broker is about keeping two different, competing ideas in your head at the same time: I am in business and want to maximize the amount of money I make; and I want to do the best possible job for my clients. It’s amazing how difficult some brokers find it to balance these