Hahhahaha. I was happy that they left. Too much drama from those tenants.
Why did you reject them?
A house full of singles means lots of partying/wear and tear on your property. Might have complications when one out of the many tenants decides against renewing and then you need to find a partial replacement.
A group of friends or colleagues would eventually can’t get along. Usually with a mix of different sex, anything can go wrong. Occasionally, you also have two couples want to share a SFH. Always have small scale childcare operations want to rent.
A family with school going kids especially with a non-working spouse that can afford rents of a typical SFH is hard to find.
That’s because Apple is cheap and pays people peanuts.
That’s good from an investor perspective.
Most people rent when singe and buy once they are married with kids. If they are married with kids and renting, they probably can’t afford to rent your place. It’s best to have 1-2 bedroom rentals that appeal to high income singles.
work in SF (mission Bay, near the site of the new Warriors Arena), rent in Hillsborough.
Went to a few open houses in Danville yesterday… very slooooow… rainy February day, I get it… but lots of RE agents and mortgage guys waiting and very few people looking. One house, the one we liked the most, was having a second open house due to no offers (no price reduction though…).
.those far away areas seem very vulnerable if prices start to drop… actually thinking about renting out there before buying to get our oldest kid into the right High School (she starts HS after the summer) and not having to move again for a while…our goal is to not move again once they are in HS.
I mean look at these rentals! similar to the North Houston suburbs (The Woodlands). I love the access to community pools… here in Hillsborough we use the pool 3 months out of the year (even with solar heaters)…kind of a waste actually
You’re thinking about it wrong. The long-term trend is up. California will never build enough housing to meet demand. You should be focused on buying now during the lull when there’s less competition before spring season hits. Mortgage rates are down 0.5% from the peak. 2008 was once in a lifetime. The other “dips” are tiny.
Thanks. Yes, that is definitely the predominant opinion. I am aware of that. But even if I am wrong, it only matters financially if price appreciation remains high like the last decade.
The “missing the boat if you don’t buy right now” days may be over for a while… just a regular, steady, slow trend up
Again, all opinions. I look at this chart and my gut tells me to wait. My gut has been good to me in the past:
Unfortunately I didn’t buy SFHs in SV specifically for rental, is for Primary or future Primary for children (hedging). Luckily, appreciation more than compensate for the low cap rate.
Danville has large lot big homes. Why Danville?
Why not in Belmont or near peninsula? Expensive? Danville is equally expensive city.
Most people value stability for their family over trying to save 3-5% on purchase price. As a renter, you’re subject to rent increases, or the landlord could decide to sell the home. Then you have to find a new place to live with the same schools. There’s a safety in locking in one of your biggest expenses at a fixed cost.
Hillsborough is too cold in summer. Danville is hot in the summer. Much better for a pool. AC is a must in Danville
What about in winter?
Yes that’s true. I have a pretty intensive screening process that involves two rounds of interviews, as well as looking for maximum nerd-quotient.
With that chart for Danville, I can agree, but I really recommend that if you’d at all consider the Peninsula, you do it now before it goes up in the summer. I could be wrong–any of us could be–but my sense is that we’ve got an unusual lull in housing prices. I don’t know how long it’ll last.
Won’t last too long with the strong pipeline of IPO’s in 2019. What do we have now? Uber? AirBnB? Pinterest? What else? Pretty much all the top unicorns in the line up this year.