Category: Investing In Real Estate

Investing In Real Estate

How To Know When To Sell A Rental Property

When my wife and I first got into real estate investing over 10 years ago, we figured that we’d hold each rental property for the rest of our lives. Why not, right? As long as each property was cash flowing, we figured that it was a good source of passive income and that we should just keep it in our portfolio to grow our net worth over time. As it turns out, there’s a lot more nuance to it than that, and we didn’t wake up to this until fairly recently, within the last few years. And because we didn’t

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Buying A Home

With Rent Control And High Prices, Is House Hacking Still Realistic?

People ask if house hacking is still a realistic and viable option in the Bay Area given our high price points and continued move towards tenants rights and rent control. We believe wholeheartedly that it is. It may not result in ‘free’ living right away, but we believe it’s far better than the alternative. Our clients who end up in successful house hack situations keep their monthly housing expenses far lower than if they had continued to rent or bought a single family home. Add that to the long term benefits of owning real estate, and these folks are in

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Buying A Home

Things To Know Before Starting Your Own Flip Project

We have a passion for helping people build wealth through real estate. One recent way we accomplished this was by partnering with a homeowner to fully renovate their property to maximize the sales price when selling. Essentially, it was a fix-and-flip.  In this blog, we’re going to walk through what exactly is a fix-and-flip and outline a process to make them more successful. We’ll cover how to find and analyze a property, steps to take before getting started, and some common pitfalls to avoid. What Is A Flip So first, what is a fix-and-flip. Flipping a property essentially means purchasing

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Buying A Home

Why should I invest in real estate?

I love talking about investing in real estate with new or first-time investors in Oakland. What’s cool about real estate is that it nearly always fits investors’ goals and should become part of an investment strategy. It’s usually some combination of five main reasons: cash flow, appreciation, equity, leverage, tax benefits. Cashflow Real estate as an investment often produces income through rent. After subtracting expenses and mortgage payments, you’re left with cash flow. It’s a good thing. I love it and you will too.  Appreciation Appreciation is the increase in value. This is where much of the wealth in real

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Buying A Home

This is what happened when I started investing out of state

When I tell people that I invest out of state, the response is typically “where?” or “why?” with a heavy dose of incredulousness in their voices. My wife and I live in Oakland, CA, and we started investing out of state about 18 months ago. In the fall of 2017, we purchased 6 units in Huntsville, AL. Huntsville isn’t well known and doesn’t have the allure of a smoking hot real estate market or a gleaming skyline with well known logos at the top of each building, but we learned about the city and its economy, spoke with brokers and

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Buying A Home

Real Estate Lingo Deciphered: What’s a “Comp?”

From Ikea product hacks to painting kitchen cabinets and refinishing countertops, Americans are absolutely hooked on the DIY craze. There are some things, however, that only a pro should tackle and that includes determining a home’s current market value. In fact, a National Association of Realtors’ survey of for-sale-by-owners found that determining an accurate price for their home was the homeowner’s most challenging task. Pricing your home too high or too low are both disastrous to your pocketbook. Real estate agents and professional appraisers pretty much use the same process to determine a home’s market value. The purpose behind the

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Investing In Real Estate

To Sell Or To Rent? 5 Key Considerations When Deciding Whether To Sell Or Rent Out Your Home In Oakland

  Recently, my wife and I were faced with the decision of whether to continue renting out our duplex in Oakland, or to sell and invest the proceeds elsewhere. It was an incredibly tough decision, but we’re very happy with how things ultimately panned out.   In this article, I will share with you five important things to consider when deciding whether to sell or rent out your home in Oakland or the Bay Area. I’ll also share with you the story of how we ultimately came to our decision, and where we’re headed next.   But first, before we

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Buying A Home

Multi-Family Property Analysis: How Much Would It Cost You To Live In This House?

A few weeks ago, I wrote this Beginner’s Guide to Real Estate Investing in Oakland, in which I detailed how to invest in small multi-family properties using a technique called house hacking, in which you live in one unit and rent out the other(s), having your tenants help pay down your mortgage. However, though it all sounds good in theory, I know that it can be quite daunting to take that first step. How do you find the right property? How do you analyze the numbers to make sure it makes sense? How do you deal with being a landlord?

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Buying A Home

Can You Leverage A Tiny House As A Real Estate Investment?

In a world where bigger is often better, an interesting phenomenon has emerged: the tiny house movement. Over the past several decades, the trend has been toward bigger houses on bigger lots. While the average home size in 1950 was under 1,000 square feet, that figure has now surpassed 2,600 square feet. That’s huge! We would need walkie talkies to communicate with each other.  Okay, maybe not, but walkie talkies are just fun. Anyway, back to tiny houses. This growing fascination with tiny houses and tiny living has emerged from the interest in living simpler and more efficient lives. Source:

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Buying A Home

Beginner’s Guide to Real Estate Investing in Oakland

Update 9/2/19: Since writing the original version of this article, we’ve helped around 25 families use this strategy to get into a home in an increasingly challenging market. Our passion has led us to creating a free, in-person class so we can reach more people. Information on the next session can be found here: http://events.dickersonrealty.com I live in North Oakland, one of the hottest neighborhoods in the Bay Area. Homes here are routinely listed near a million dollars and sold for over a million. I’m not one of those people who bought my home 25 years ago for $50,000. I

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