5 Cap House in Daly City


This one is much less scary than the East Oakland one… it’s in the eastern part of Daly City, aka the worse part. Still its proximity to SF is a great asset.

Total rental income: $105,972
Total expenses: $33,050
Net income: $105,972 - $33,050 = $72,922

Price: $1,415,000

Cap rate: $72,922 / $1,415,000 = 5.15%

Last transaction was in Dec 2014, sold for 965K! So it rocketed up almost 70% in value in 1.5 years!!

Man, I need to pay more attention to DC…

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Wow sounds great and proximity to the bart too.
Am tempted to transfer my IRA to SDIRA and invest in these higher cap properties in the bay area…rather than pay those fund managers who still make money when my IRA account is sliding down.

Self directed is THE way to go, even if you just put the fund back into the good old S&P500 index fund.

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My apartments in South Lake Tahoe gross $90k…Will stabilize at $100k. Expenses are $30k…Worth $1.4k at 5cap.
Paid $655k…Offers?..rents going up 10-20% y/y…No vacancies in Tahoe…

I am still meaning to contact you about those apartments!!

@Elt1 can we make it a deal at 10cap holy grail

Most deals in Tahoe are 6 caps or less…The key is to find value add opportunity or a building with below market rents. …I would sell at an 8 cap. …It could be an 10 agin in a year…My rents are still below market…