by on January 17, 2012 4 Comments

3 Factors Real Estate Investors Can Use In Evaluating Their Portfolio

Every week I speak to some pretty smart cookies. They’ve invested in several properties in their hometown. The thing is, I spend somewhere around 40% of my time tellin’ investors they’re doin’ just fine, don’t change a thing. Or maybe change a few things and you’re flyin’ high. They’re usually surprised, but happy.

There are three basic factors to consider when deciding to sell/trade or keep a local income property.

1. The true quality of it’s location.

2. The true quality of it’s construction.

3. The current age of the property.

Location quality [Read more...]

Filed Under: 1031 Exchanges, Purposeful Planning, San Diego Property Owners
by on December 27, 2011 5 Comments

Why Texas Is a No-Brainer For Real Estate Investors

It’s almost a lock. Whenever I’m talkin’ to an investor familiar with this site, I’m asked about my take on Texas. Why are you so high on Texas? In a nutshell, here’s what I tell ‘em. First, though, let’s talk about the markets from which they’re coming. They fall into a few categories.

  • Markets like San Diego — hit hard by the market correction, but still offering relatively unattractive price/rent ratios.
  • Places like Las Vegas/Florida and other ongoing nightmares. Vegas, for instance, is over 13% down year over year. Every year I get folks in the area tellin’ me I’m missin’ the boat there. Every year I simply point to two lines on the chart. One is the price trend just mentioned, which has been consistently heinous. The other is the leadership position they maintain in default notices filed. It’s sad.
  • Most of the rest of the country — areas with uninspiring demographics, employment, and overall, unimpressive macro economic factors in play.

[Read more...]

Filed Under: Real Estate Investing, San Diego Property Owners
by on December 19, 2011 5 Comments

Get Your Real Estate investment Equities Outa San Diego – Here’s Why

This is a San Diego county duplex. It’s for sale, asking about $470,000. The units consist of a 2 bedroom 1 bath, and a 1 bedroom 1 bath. It was built 65 years ago. The rents are $1,375 and $1,050, which are about right, give or take. I’m intimately familiar with the neighborhood, as I’ve lived and officed in and around it since 1979. I’ve jogged by this property countless times. My kids went to the school district. My boy played winter ball at the nearby Little League field. In fact, he hit his first ever homer there. It hit the scoreboard in right centerfield.

The landscaping is pretty cool, isn’t it? It’s not the norm in San Diego as many might think, but it’s not rare either. Makes for pretty good curb appeal, that’s for sure. Anywho, let’s get started.

A note here, for those readers who might think, even a little bit, that I picked this duplex for it’s crummy location etc. Not hardly, as I’d easily apply the BawldGuy Mom Rule to this property without the slightest hesitation. I know this area like the back of my hand, having lived in or nearby the neighborhood since 1967 when I was 16. What’s the BawldGuy Mom Rule for Heaven’s sake?

BawldGuy Mom Rule: Brown and Brown Investment Properties policy is that no client shall be advised to invest in real estate in which I wouldn’t put my 80 year old mom to live alone. Period, over ‘n out, no exceptions. Hence the name of the rule.

The numbers tell the story  [Read more...]

Filed Under: 1031 Exchanges, Real Estate Investing, San Diego Property Owners
by on December 7, 2011 2 Comments

Attention San Diego Real Estate Investment Property Owners

I’ll make this short ‘n sweet as my day decided it was time to dog pile on BawldGuy. I’m writing a post about real estate investors in San Diego and markets like it. Think virtually the entire west coast, and selected regions around the country. The shared factors are dreadful price/rent ratios, old buildings, and little or no replacement inventory in the last 2-3 decades. Yeah, I said decades, at least in San Diego’s case.

Here’s the main theme of what you can expect to read. If you own property 30-80+ years old, with dated floor plans, and other functionally obsolescent components, the post will be talkin’ directly to you. If you have sufficient equity in your portfolio it’s past time, as in WAY past time, to move that equity to a vastly superior region.

Your retirement is at stake — either its quality, or possibly its postponement. That’s a bold statement, I know. But if you’ve been reading here for even a short while, you already know I don’t make wild assertions I can’t back up — and with empirically documentable facts. Most San Diegans, and those in similar markets, can easily increase their ultimate net worth, but far more importantly their end game retirement income by movin’ their equity elsewhere.

By increasing retirement income, I mean by a minimum of 50% — double and triple in some cases. Most investors also find they’re upgraded the location quality. Your retirement becomes more important, more crucial to you with every passing birthday. To those in the markets about which I’m speaking, I hope this upcoming post speaks to you in a way that inspires at least an investigation into your options.

OK, that’s it for today.

Except, of course, reminding you that calling or emailing me is the fix I crave daily. Addicts have no pride. :) My number is 619 889-7100. If you prefer, send me a note by clicking the Contact BawldGuy button up top. Have a good one.

Filed Under: Retirement Income, San Diego Property Owners
by on November 14, 2011 2 Comments

Attention Aging Baby Boomers: Abundant Retirement Income Still On Your Menu

About once weekly, sometimes more, I have a conversation with a fellow Boomer who’s had a rough day. It started the night before when their mind wouldn’t stop dialin’ 911. A realization had slammed into their psyche with the force of a car from the blind side. Their retirement plan simply wasn’t producing results. Here are the common denominators of these calls. [Read more...]

Filed Under: Purposeful Planning, Real Estate Investing, Retirement Income, San Diego Property Owners
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