Real estate General topic

[Jstpssng]

I knew a landlord who evicted a tenant for nonpayment. When it came time to clean up he discovered she had dumped cat litter down the drilled well. He moved the trailer out and that lot set empty for 15 years.

 

[tradosaurus]

My wife and I drove by a house for sale down the road from us.
1900 ft2 with 6 acres in an ok location
House built in 1960s and everything in it dated.
They are asking $200k.
Back in 2017 we paid $250k for a 2500ft2 house that was well kept and 45 acres for $250k.
I guess our property is worth at least $600k.

 

[paulsharvey]

My wife and I drove by a house for sale down the road from us.
1900 ft2 with 6 acres in an ok location
House built in 1960s and everything in it dated.
They are asking $200k.
Back in 2017 we paid $250k for a 2500ft2 house that was well kept and 45 acres for $250k.
I guess our property is worth at least $600k.

Honestly, your probably is worth that, depending on property, location, markets, ect.

 

[CloverKnollFarms]

True. We built on 8 acres in 2018 for $275k. Now sitting on about $500k.

That's life.

 

[tradosaurus]

True. We built on 8 acres in 2018 for $275k. Now sitting on about $500k.

That's life.

My house was built in 1973 but will taken care of.
Your house would be worth more per sq ft given how new it is.

 

[caver]

My folks tried rental property back in the 70's. Rural area then but now has subdivisions next door. They were late on rent so dad went by to collect. Husband and Wife no kids. Dad said it looked like a bowl of soap was slung half way around the room and had dried on the walls. I think they fought a lot. parents got rid of them and sold that place never to buy rental property again.

 

[ultrarunner]

I can manage rentals but what has happened in the last 20 years to housing providers to get bad tenants out is a travesty.

I use to be able to simply not renew the lease but those days are over.

Unlawful Detainer actions resolved in weeks and now 6 to 12 months and even longer.

Security deposits limited now to one month… forbidden to run criminal background, can’t say no to tenant running a daycare business or having pets… I mean companion animals with MD note, etc.

Wonder why we hear about shortage of housing and my first thought is who would willingly enter the business knowing the risks?

Like many regulations that start out small the reality is over 40 or 50 years they grow to be all encompassing.

I’m glad I shifted from housing provider to commercial for the most part…

I’m not alone in that I know many that refuse to own anything with a bed…

That said I have good renters on balance, some going back decades but it only takes 1 or 2 tenants from hell to change one’s prospective… and the pandemic years of government eviction prohibition laid it all bare.

 

[2manyrocks]

True. We built on 8 acres in 2018 for $275k. Now sitting on about $500k.

That's life.

That is the effect of increasing the money supply since 2019 at a pace not seen since the federal reserve was created. A 5 gallon bucket used to be .99 and they are now 4.99.

 

[ultrarunner]

That is the effect of increasing the money supply since 2019 at a pace not seen since the federal reserve was created. A 5 gallon bucket used to be .99 and they are now 4.99.

Ain’t that the truth…

Prices are all over the place but the increases mostly dramatic.

Many trips to the hardware store I walk out with a bag and spent $100

I’ve never been good at forecasting but my daily in box overflows with local real estate price reductions.

I’m sure there are many factors, higher rate to borrow, more inventory to choose, location not in high demand, new laws for buyers, sellers and brokers… etc.

 

[Jstpssng]

Wonder why we hear about shortage of housing and my first thought is who would willingly enter the business knowing the risks?

You left out optional rent payments during the COVID era.

 

[MAX-24-Dean]

That is the effect of increasing the money supply since 2019 at a pace not seen since the federal reserve was created. A 5 gallon bucket used to be .99 and they are now 4.99.

Maybe soon, that a five gallon bucket filled with dollar bills will have more value than the money in it.

 

[ultrarunner]

With prices falling (Here) and rates easing I would think it would be news worthy and spur buyers?

Location translated into demand is the market fundamental.

Prices don't go up without willing and able buyers... yet the news often spins this as a bad thing?

Time has taught me is cyclical nature of Bay Area Real Estate... and many only become motivated after they see values trending up as in buy now before they go up more.

A grocery clerk that bought 5 homes in the lead up to the crash of 2009-12 told me today's high price will be looked back as a bargain...

What he didn't take into account was having the resources to weather financial down turns...

If you own the home where you live it matters little what it's worth is on a day to day basis...

 

[WinterDeere]

I can manage rentals but what has happened in the last 20 years to housing providers to get bad tenants out is a travesty...

All of these costs will be reflected in rental price increases, from larger property management firms, allowing the independents to also raise their pricing.

If lawmakers are going to pass stupid laws to protect deadbeats, it only costs the honest customers more. A rental market that routinely operates at a loss will cease to exist, altogether.

 

[ultrarunner]

All of these costs will be reflected in rental price increases, from larger property management firms, allowing the independents to also raise their pricing.

If lawmakers are going to pass stupid laws to protect deadbeats, it only costs the honest customers more. A rental market that routinely operates at a loss will cease to exist, altogether.

Maybe, depending on location.

Several years of forbidden increases and now allowable increases are 60% of the Consumer Price Index… “If” all the criteria is met and your request with the city approved.

A new requirement is providing the city with name of each occupant on the rental agreement which I have not…

I’ve seen regulation go from habitability standards 45 years ago to what we have now.

No idea how it will all shake out as many local rules are being adopted statewide with talk of going nationwide which includes renting a room in a home occupied by the owner… if more than 30 days.

 

[WinterDeere]

Wow. Losing proposition, in every way.

If successful, it'll be good incentive for no one to ever buy property in CA, it'll be far cheaper to just rent!

Whoever wrote that 60% rule must not understand basic compounding, the gap will only grow with time. If CPI averages around 4% for 10 years, the landlord's approximate costs go up 48%, but they can only increase rents by 27%. Brilliant.

The landlords costs will double every ~18 years, at least those that track with CPI, yet rents will only double after 30 years!

 

[ultrarunner]

Wow. Losing proposition, in every way.

If successful, it'll be good incentive for no one to ever buy property in CA, it'll be far cheaper to just rent!

Whoever wrote that 60% rule must not understand basic compounding, the gap will only grow with time. If CPI averages around 4% for 10 years, the landlord's approximate costs go up 48%, but they can only increase rents by 27%. Brilliant.

The landlords costs will double every ~18 years, at least those that track with CPI, yet rents will only double after 30 years!

There are high paid professionals with SF rent controlled apartments that hit the lottery as they pay a fraction of market.

Folks started leaving units vacant but the the cities instituted a vacancy tax depending on the definition of vacant it might cost the owner as much as an extra 6k per year to keep property including lots vacant.

One work around is listing for sale to avoid… lots of property now listed… including most undeveloped lots.

 

[caver]

Shed repo guy with families? living in both sheds that he's there to repossess. You can skip the first 3 minutes and things get heated not long after. Another driver had been out there before and they got the run around then.

 

[tradosaurus]

Taking a ride out in the country in our SxS my wife and I saw another house for sale. 2000 ft2 with 4 acres. House built in 1970's.
Asking price is $299k. That house will sit and rot at that price. Maybe worth $150k if you're feeling generous.

 

[paulsharvey]

Taking a ride out in the country in our SxS my wife and I saw another house for sale. 2000 ft2 with 4 acres. House built in 1970's.
Asking price is $299k. That house will sit and rot at that price. Maybe worth $150k if you're feeling generous.

Down here, that would be a pretty fair asking price. Maybe go for $250k, but it would likely have some possible hits at $299k

 

[kenmbz]

I saw a house my buddies wife is selling back where I grew up.
Expected to see 300-400, was 697,000 -----

Crazy