Plus a majority of their voters are renters. Making landlord the enemy distracts from the county council’s own mistakes and role in the housing crisis.
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Yep. Don’t buy in a renter majority city
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Not just city. Also neighborhoods. Too many competition, during buying and renting. Keep yield low.
Interesting video conference at 4pm
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Most small landlords don’t make a ton of money from rent payments, said Laurence Jankelow, co-founder of Avail. They use that to cover their costs. They are banking on the appreciation of the properties for future gains.
You had tenants not pay?
I have been saying this for the last so many months. My example was the price of a buffet. A $10 buffet of 2010 costs $15 these days. In other words, if you own 1.5 Million (typical home value in BA), it is actually only 1 M in terms of 2010 dollars.
I should stop saying things. This is another of the things I have been hammering. SFBA prices swing too much for the comfort of many investors. Another reason why many investors chase rents and run away from investing in SFBA. I should open a fortune-telling business.
Doesn’t that mean buying the house is the right thing to do instead of holding $1M cash?
Another puzzling comment. There is a limit on how much negative cashflow you can sustain. You can bet on appreciation so long you have either positive cash flow or have other sources of fund to compensate for the negative cashflow*. So an investor who want rental as passive income can’t invest in BARE.
*Even if it is for a few years which is what investor like @manch is thinking, and become positive after that.
So far only one tenant reached out late March to say they can’t pay April.
They agreed to partial rent and rest spread out over next 3 months. I’m just a 25% owner on this one though. Usually I don’t get involved in part ownership but the deal was good to pass up. The partners also manage it so it’s pretty hands off for me.
So far usual folks continue to pay on their usual timeframe. I got some already but most of tenants pay over the Whole month… never any late fees and no eviction threats… I consider it on time if they pay within the month.
Majority of my tenants are working class folks, restaurant workers, construction guys, factory workers, repairman, car washer, etc.
We shall see what happens this month and next few. Since my first rental in 2012, no evictions yet. Everyone eventually caught up although some took more than a few months…
I’m way too soft to be a landlord in Kalifornia. Sometimes I wonder why I’m still in this business 
Jokingly , I think I need to apply for nonprofit status. I do a wonderful job of keeping rent affordable.
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Implied in my above statement is the loss of value of $$ by 33%. Investing is good depending on when someone entered the market. Someone who did before 2012 was good. Someone who entered the market in 2018 was not soo good.
Lote of investors do not like to buy and hope. They want mulah from the day one. Remember not all investors are same or do they invest the same way.
Which is not due to volatility of price of the RE that you claim in the original post.
Don’t think so. You are talking about inflation.
If we assume 2018 to be housing market peak in Bay Area, we are in the third of declining market. Aren’t we?