Menu
TwitterRssFacebook
More Links

Are you looking for an experienced agent to help you buy or sell a home? Contact Jim the Realtor!

Carlsbad
(760) 434-5000

Carmel Valley
(858) 560-7700
jim@jimklinge.com


Category Archive: ‘Real Estate Investing’

New Rules for Airbnb

If you are buying, you should check the Airbnb website to see if there are rentals nearby the home you are considering, because they aren’t going away.  Here is the latest on the tug-o-war:

http://www.nytimes.com/2016/12/07/technology/new-orleans-airbnb-model.html?_r=0

An excerpt:

In New Orleans specifically, Airbnb agreed to share data — such as the names and addresses of its hosts — with the city, something the company has balked at doing elsewhere. Airbnb also agreed that its hosts must operate with a permit, with hosts automatically being registered with the city when they sign up to the service. In a nod to the local hotel industry, Airbnb will also ban almost all listings in the city’s historic French Quarter and set a 90-day annual cap for hosts who rent out entire homes.

“This is just the beginning,” said Laura Spanjian, a public policy manager at Airbnb who negotiated with New Orleans. “We need to make sure that the rules work and that the city can enforce them, but we want this to be a model going forward.”

Lawmakers also knew that the city would need more money to enforce new short-term rental rules. So Airbnb agreed to collect hotel taxes and an additional $1-a-night fee from guests to help defray such costs.

But there was a sticking point: sharing data about Airbnb hosts with the city. Airbnb was initially reluctant to do so because of privacy concerns for its hosts. The company eventually agreed after New Orleans officials said they would protect the data and not make it public. That information will be essential in helping the city register hosts and for fining hosts $500 a day if they violate the new home-sharing rules. The city can even shut off utilities to Airbnb properties where rules are being broken.

“I was pleasantly surprised by the dialogue and by Airbnb’s approach,” said Mr. Berni, the deputy mayor. “It was more amicable than what a lot of other cities had experienced.”

Some city officials elsewhere are skeptical about whether Airbnb’s conciliatory approach will stick. In Amsterdam, which just finalized new rules that allow Airbnb itself to crack down on hosts who violate them, some politicians noted that a previous agreement the company made with the city was inadequate.

“Two years ago, Airbnb used its agreement with Amsterdam as an example of a good deal, but now we had to create a new one because what we had was not enough to enforce against illegal rentals,” said Marjolein Moorman, the leader of the Labor Party of Amsterdam. “I don’t believe that the company will enforce the laws we have.”

In New Orleans, some residents are also unsure whether the new rules forged with Airbnb will bring about change. Mary Moses, a legal assistant who lives in the historic Faubourg Marigny neighborhood with her husband, said that a full-time Airbnb next to her house that takes in guests every weekend has destroyed the quality of life.

“We love tourists in New Orleans,” she said. “But there is a 24-hour party three feet from my house.”

Ms. Moses is now waiting to see whether the sometimes loud, disruptive events next door will violate some part of the new city rules and whether anything will be done to stop the bad behavior.

“Maybe things will get better,” Ms. Moses said. “But Airbnb is changing everything.”

Another impact of Airbnb is how the converting of long-term investment properties to vacation rentals is taking homes out of the marketplace for regular tenants – putting more pressure on rents in general.

Save

Posted by on Jan 5, 2017 in Jim's Take on the Market, Local Government, Real Estate Investing | 8 comments

Airbnb Under Attack in San Diego

airbnb

You knew this was coming, sooner or later:

Most Airbnb and other short-term rentals would be banned in San Diego under a proposal released this week by the City Council president.

The proposal would make a simple definition change in the city’s municipal code: Visitors and tourists would be reclassified as transients if they rent a home for less than 30 days.

Under the proposal, a home could not be rented to transients for less than 30 days in most single-family zones of the city. In a multifamily zone, renters would have to stay at least seven days, Council President Sherri Lightner said.

In addition, renters or owners of single-family homes could not rent out a room or space for less than seven days. Areas that allow visitor accommodations would be permitted to have short-term rentals.

If the rule change goes into effect, the municipal code appears to levy a $2,500 fine per violation and a maximum of $250,000 per parcel of land for violations.

“The purpose and intent of the residential zone is for residents,” Lightner said.

The council is expected to take up the measure at a special meeting Tuesday.

Read More

Posted by on Oct 30, 2016 in Jim's Take on the Market, Real Estate Investing | 6 comments

Game On!

4040-porte-la-paz-82-005_web

The 2br/2ba condo we are discussing in the UTC area is in a complex that enjoys high rents – this unit should fetch $2,000 per month easily.  Because of the quirk in the underwriting guidelines that won’t allow financing in condo complexes that have an eminent-domain action filed, we are looking for cash buyers only – hopefully an investor will find the rent appealing!

The previous buyer was anticipating a close-of-escrow date this week – we were at the finish line.  The seller wants to go back to renting the unit if we don’t find another buyer by Monday!

I marked the listing as ‘active’ again this morning, and I’ve already received two phone calls from agents!

We will be there 12-3pm for open house on Sunday too!

http://www.zillow.com/homedetails/4040-Porte-La-Paz-UNIT-82-San-Diego-CA-92122/52514005_zpid/

Posted by on Oct 19, 2016 in Jim's Take on the Market, Real Estate Investing, Thinking of Buying? | 0 comments

Real Estate Investing

investing more

If you’re closing in on retirement, trying to put your money to work in a zero interest rate world is not an easy job. Financial writers and gurus are obsessed with the stock and bond markets. But despite the lack of attention, many Americans have fallen in love with real estate as an investment option.

  • 28 million Americans are real estate investors (according to data shared by Landlordstation.com in 2013)
  • 35% of Americans now believe real estate is the best long-term investment (Gallup), compared to 32% who favor stocks
  • Stock ownership is at a low point: Just over 50% of Americans have money invested in the stock market (Gallup)

Americans may believe in real estate, but they don’t necessarily do anything about it when it comes to retirement. Real estate plays only a minor role in most people’s retirement portfolios, according to USA Today, and there are three good reasons.

  1. Liquidity. Stocks and bonds are much easier to buy and sell.
  2. Fear of bubbles. Many investors (and homeowners too) were traumatized by the credit crisis of 2008 and 2009 when the U.S. housing bubble burst.
  3. Too complicated. Investing in real estate can seem very complex because there are multiple ways to own real estate.

Most financial advisors lean heavily on the stock market for retirement for these reasons. Then there’s the not unimportant fact that stock investors have seen massive gains over the past five years.

The issue is what will happen in the next five years and beyond. There are now big questions about how long the bull market will last, and fixed-income investments are paying less and less. All are good reasons to consider what role real estate could play in your retirement portfolio.

Read full article here:

http://www.investopedia.com/news/real-estate-your-retirements-secret-weapon/

Posted by on Aug 21, 2016 in Jim's Take on the Market, Real Estate Investing | 4 comments

Multi-Gen Paradise

Lakeside isn’t far – it is centrally-located in San Diego County, and is a straight shot down the 52 and 67 from La Jolla.  It might be a reasonable compromise for those multi-gen buyers who would treasure two houses on a quarter-acre lot with citrus and avocado trees.  This property has been lovingly-maintained and owner-occupied for the last 30 years!

lakeside

Here is a feature-length YouTube video tour:

Pueblo Road satellite photo

Posted by on Jul 17, 2016 in Boomers, Bubbleinfo TV, Jim's Take on the Market, Real Estate Investing, Thinking of Buying? | 0 comments

Selling a Tenant-Occupied Property

realtor assualt

Back in the day when things used to be civil, you could sell a home that was occupied by a tenant.

But in today’s environment, it is better to wait until they vacate, and then put the house on the market.  Here’s why:

  1.  The elevated urgency of today’s market causes a whirlwind of activity during the first week.  A rash of showing requests and realtors stopping by without appointments shuts down any tenant cooperation quickly.
  2.  Then the tenants start looking around for a replacement home, and realize how hard and how expensive the next move will be. They are mad, and want to blame the sellers.
  3.  By the time they leave, the condition of the home isn’t what it could have been either, if they had left happily.

Staging is a critical component too, and unhappy tenants aren’t going to leave the home in great condition for the few showings that do take place.

Fewer or lower-quality showings means fewer offers, which isn’t good for the seller.

Our policy today is to vacate the property first, make it look spectacular, and then put it on the open market.

Posted by on May 10, 2016 in Jim's Take on the Market, Listing Agent Practices, Market Conditions, Real Estate Investing | 4 comments

Build Your Own

2016-05-09 18.16.08

Can’t find the perfect home?  Have you thought about building your own?

Hearty thanks to Josh for answering the basic questions about his project, and building your own custom home!  And financing is available!

P.S. I use the term ‘stinking’ with great affection.  Buying a tract house is by far the best solution for the vast majority of busy, hard-working Americans!

Posted by on May 9, 2016 in Bubbleinfo TV, Dirt Sales, Real Estate Investing, Thinking of Building? | 0 comments

Property Management Fraud

2016-04-08 11.43.29

More Team 10 coverage on the fraud being perpetrated by Kelley Zaun and Carousel Properties.  Zaun claims that the reason she hasn’t forwarded any of the rents she collected to the rightful homeowners is because she got sick, then had a software snafu.

In the story below, Zaun is making it sound like innocent mistakes were made and it will all get sorted out.

But she has done a couple of things that don’t appear so innocent.

In the case I know, the tenant complained to her that the landscaping wasn’t being maintained.  She told him that landscaping is an additional charge of $200 per month, which he starting paying.  But she never told the homeowner……and never sent a landscaper!

She also finally sent the three-months’ worth of rent owed to the homeowner, but two days later the bank reversed all charges.

The victim I know still hasn’t received any money.

http://www.10news.com/news/police-investigating-carlsbad-property-management-company-050516

Carlsbad police are investigating a North County property management company after numerous homeowners complained the company took their money.

Team 10 first reported on Carousel Properties in April. Homeowners told Team 10 that the company and the owner, Kelley Zaun, collected money from their tenants, but never gave it to the homeowners.

A Carlsbad police spokesperson confirmed a case has been filed with their department, but did not go into specifics.

Rinda White hired Carousel Properties to manage her Vista home. She said the company owes her $1,800.

“We haven’t been able to travel to see the grandkids, we haven’t been able to buy things for our home that we normally buy. We’ve just been operating with gas and groceries,” White said via Skype from Texas.

Martin Benowitz said Carousel Properties owes him about $8,000.

“I was more than a little bit irritated,” Benowitz said.

Zaun has not spoken to Team 10 and her lawyer has not returned Team 10’s phone calls and emails.

Homeowners, however, showed Team 10 an email dated Wednesday that said Zaun is getting “additional help in all areas of my business; most notably, my bookkeeping.”

The email goes on to say she has an offer to join another company and feels it’s the “best possible system” for the homeowners.

Posted by on May 6, 2016 in Jim's Take on the Market, Real Estate Investing | 1 comment