Yahoo Finance had a somewhat interesting article yesterday regarding the mass ownership of homes as rentals by big investment funds. In case you haven’t been following this issue: Tons of homeowners lost their homes during the Great Recession. Because there were so many vacant homes, prices dropped really far, particularly in certain western and southern … Continue reading “Some thoughts on the mass ownership of homes by investment funds”
Author: Moses Kagan
Sponsored post on the Eastsider
In lieu of writing here today, I’ve written a sponsored post on the Eastsider, a blog covering goings-on in most of the neighborhoods in which we are interested. Here’s the link. (Note: If you read Kagansblog regularly, the Eastsider post may be a bit repetitive.)
How rent control shapes lives
Today’s NY Times has an interesting piece about the effects certain types of affordable housing has on the lives of the people lucky enough to benefit from it. Of course, the main benefit is that the tenant is able to live in a neighborhood which would ordinarily be totally out of reach. But there is … Continue reading “How rent control shapes lives”
Inspection day
We’re checking out a 4plex we’re in escrow on today. It’s my kind of deal: Cheap on a $/sq ft basis Parking Outdoor space Up-and-coming area Just like everything else we buy, it’s going to be a hard slog to turn it into the kind of place that people will pay a lot of rent … Continue reading “Inspection day”
Welcome, Eastsiders!
Just a quick note to welcome readers who stumbled across my most recent post on the Eastsider. This blog is all about my experiences buying, renovating, managing and selling apartment buildings in Los Angeles. Because I tend to write about issues that arise in my business every day, the topics can range from taxation to … Continue reading “Welcome, Eastsiders!”
An interesting idea from Mayor Garcetti
Our new mayor has an interesting proposal: Phase out LA’s notorious gross receipts business tax. This would be a wonderful development for real estate investors in the city and an even better one for small business owners generally. What is the “gross receipts tax”? It’s a tax the City of LA charges all businesses on … Continue reading “An interesting idea from Mayor Garcetti”
Avoid the 5 biggest mistakes LA apartment investors make
Here they are, in no particular order: 1. Misunderstanding rent control – You’d be amazed at how many inquiries I get from people whose big idea is to buy a building with cheap rents, fix it up and raise the rents. Good idea, right? Not if you don’t have a plan for relocating the tenants. … Continue reading “Avoid the 5 biggest mistakes LA apartment investors make”
A plug for Mt. Washington
This blog usually covered apartment buildings. Today, however, I want to say something about single family homes. Generally speaking, I’m not a fan of single family homes as investments. Buying one is really a consumption decision and you really ought to do it only when you’re very confident that you will be able to generate … Continue reading “A plug for Mt. Washington”
How to permit a non-conforming unit
Agent: “I want to pitch this property to the Mid-City clients. 2 out of the 3 units will be delivered vacant at COE and there is some upside in the rents. The only problem is that the 3rd unit is unpermitted. How hard is it to legalize a rental unit retroactively?” Moses: “Depends on three factors: … Continue reading “How to permit a non-conforming unit”
Why most Angelenos waste water
Our on-going drought was a big part of Gov. Brown’s State of the State speech today. One of the iron-clad rules of conservation is that people only conserve when they directly feel the cost of not doing so. And yet, in LA, the majority of households do not pay their own water bills, and therefore … Continue reading “Why most Angelenos waste water”