Now, it is the dreaded API or Area Of Primary Importance…
The only thing historic in Oakland is poverty.
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Well, I am almost out of Oakland…signing papers shortly. I will leave Oaktown to you, our Fearless Leader and @caiguycaiguy (and others who may be Oakland owners). Wow, it has been 25 years of owning in Oakland. I can’t believe that chapter of my life is about to close…
Comparing with 25 years ago, did
Oakland become 3x better?
Was it a murdurer capital 25 years ago with rampant crime?
Uh, yes…in fact my selling price is about 3x my original purchase price…
My Oakland rents just keep going up. No rent control newer built lofts.
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Nice! Yes, one day I may look back fondly of the Oakland landlording days but it is now on to new things here on the west side of the Bay.
Why are you selling your Oakland place? Are you selling other properties too ? Cashing it out for other investments?
In no particular order of importance,
- losing depreciation after this year
- with longest tenured tenant bought out, can rehab oldest unit and sell with it vacant and all shiny to help offset less than stellar rent profile of building. In this market, frankly, it didn’t matter that much.
- general strength of the Oakland housing market and for investment properties in general
- my work location will change soon so need to be closer to BART. (this was a biggie)
- want to do the owner move-in strategy after renting for a number of years to reduce otherwise REAL hefty capital gains bill. Strategy takes a few years, so mind as well do it now before too old.
- After owning and self managing an apartment building for essentially 25+ years, and seeing more family and friends pass away, time to enjoy life more while we are reasonably still young.
- Replacement home provides us the opportunity to enjoy semi suburbia for a number of years before we decide if a return to Chinatown is a foregone conclusion. Wifey will be kicking and screaming but we will make the old girl in Chinatown soooo sweet and luxurious that she will not complain about moving there. Hey, fresh and cheap groceries too!!!
After this deal is done and our replacement home is safely rented out I may remodel the Fremont home to 4/2 to prep for sale or higher rent.
Now, since my rehabbed unit turned out great with my former tenant/contractor doing the work, I may go in with him on a flip in Oakland if he sees something cheap. He has the access to cheap labor while he has good working knowledge of building codes from everyday job to manage the work. I just bankroll it.