Tag Archives: SFR

Money Monday: Investing in real estate

As with all investments real estate investment has it own risks and the decision to invest should be carefully considered.

As a landlord there are certain costs that you will need to cover, potential vacancy problems that may strain your ability to pay your mortgages, and liability issues. It is important that you speak with an expert before putting yourself in a situation where you can potential over-extend yourself.

With that in mind, I have included some of the basic property types and benefits associated with real estate investment.

Single-family residence. First time real estate investors are usually advised to buy a single family detached home and rent it out as it’s market value appreciates. The reason for the popularity is that they are relatively easy. They are easy to buy, easy to finance, and they hold appeal to buyers and renters. Also, if you find that the real estate investment game was not the right choice for you they are relatively easy to turn over. Mortgage brokers know this-so these properties are also usually easier to finance and refinance.

Vacation property and second homes. Investment options in this category are myriad, from outright purchase to fractional-interest contracts and timeshares. Even if the property isn’t income producing, it can appreciate into a worthy investment, and mortgage interest is fully deductible. If you do rent the property when it’s not in use, realized income and tax obligations depend on what percentage of the year it’s kept for “personal use”-a tightly defined term you should discuss with a real estate attorney.

Apartment properties. Apartment properties require a long-term commitment, as well as a substantial investment of borrowed and equity capital, but due to the availability of professional managers they often don’t demand a lot of personal time. If you are the do-it yourself type then you might find yourself spending your weekends painting, advertising vacancies, and repairing faucets – though the higher return might be worth it for you. They can have mortgage loans of up to 100% of value, while other investment types may require all cash. Loans can be amortized or paid with the income generated by rents.

Condominiums. Condominium investments provide a bit of extra risk. Their market value appreciates more slowly than for detached single-family residences, and rental rates usually aren’t high enough to cover mortgage, property tax, and maintenance fees.

Vacant land. Vacant land is probably the least liquid and therefore usually the weakest choice for a profitable shorter-term investment. While undeveloped land is easy to maintain, it nearly always takes longer to appreciate and longer to sell.

Commercial property. To reduce personal liability and offset the greater expense of these properties, some investors form or join a limited liability company. Because of the extremely high risks involved with this type of agreement, consulting a real estate attorney is essential before taking this step. You probably shouldn’t consider this arrangement if you aren’t personally familiar with the other partners and their business expertise.

Just Listed: 29230 Rocky Pass, Pine Valley, CA

Back on the Market & Ready to SELL!

29230 Rocky Pass, Pine Valley

Offered at $549,000

29230 Rocky Pass, Pine Valley, CA 91962 | Listed for sale by John A Silva, Realtor

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Location, Location!! Perfect San Diego get away to experience the So Cal mountain country style living with winters not as severe as high elevations, but just right. The ocean is less than an hour relaxing drive away, where you can hit the beaches & camp with your RV!! Lake fishing is near at Lake Cuyamaca and others close by. Enjoy this like new, lightly used, & well cared for handicap friendly home that has it all with about 1/3 acre useable flat area for horse arena, corral, and barn.

MLS #160010961. See many more property details on the MLS.

 

Please contact me for more information!

John A Silva

(619) 890-3648 | Email

 

Existing-Home Sales Lose Momentum in April

marketDespite properties typically selling faster than at any time since July 2013, existing–home sales slowed in April but remained above an annual sales pace of five million for the second straight month, according to the National Association of Realtors®. All major regions except for the Midwest experienced sales declines in April.

Total existing-home sales, which are completed transactions that include single–family homes, townhomes, condominiums and co–ops, declined 3.3 percent to a seasonally adjusted annual rate of 5.04 million in April from an upwardly revised 5.21 million in March. Despite the monthly decline, sales have increased year–over–year for seven consecutive months and are still 6.1 percent above a year ago. Continue reading

2015 California Housing Market Forecast

What’s predicted to happen in the real estate market this next year?

With more available homes on the market for sale, California’s housing market will see fewer investors and a return to traditional home buyers as home sales rise modestly and prices flatten out in 2015, according to the CALIFORNIA ASSOCIATION OF REALTORS®’ (C.A.R.) “2015 California Housing Market Forecast.” Continue reading

San Diego County’s September Real Estate Market

There have been several residential sales in San Diego county for the month of September.

property searchBetween September 1 – 30, 2014, there were 1,807 detached single family residences SOLD in all of San Diego county. While slightly lower than the 1,933 detached homes sold in August 2014, September’s figures are still significant.

Currently, there is a huge number of ACTIVE detached single family residences within San Diego county. To view the current homes for sale, or to create your own personalized home search for free, check out my home search feature here.

san diego real estate search

San Diego home appreciation leads U.S.

urban real estate prices, most live in suburbsGood news for the San Diego real estate market: prices have risen!

According to the S&P/Case-Shiller Home Price Index released on Tuesday, from January to February, “prices on the index rose Continue reading

Discover Homes for Sale in Your Neighborhood!

Find active listings where you want to move.

property search

Wondering what’s for sale out there in the real estate world? It’s easy to find out when you do a property search via my website. I connect the MLS to you via the IDX system–which keeps you informed and up-to-date on active and sold real estate listings in your area. Continue reading

NAR Index: Housing Affordability hits 42-year high in January

NARThe National Association of Realtors’ (NAR) Housing Affordability Index reached a record high this January, at 206.1. January 2012 is the first month since the index’s inception in 1970 that the index has hit or passed 200, the group announced this week…

…Late 2011 saw a steady monthly rise in the index from June’s 172.4, the 2011 low, to 197.9 in December 2011. The index has risen from 169.4 in 2009 to 174 in 2010, and to 184.5 in 2011.

Read this article in full by Inman.com here: “NAR Housing Affordability Index hits 42-year High in January.”