The Palmer Team has vast experience in helping investors identify and value investment property. From condos to single family houses to 2-4 units and beyond. We will be happy to put together an income investment analysis to help you decide if you want to buy or sell, and for how much.
We can also put you together with a great lender to let you know what kind of cash on hand you're going to need as well as what you can expect for a monthly payment. Click on Contact Us to start the conversation!
There are some cities in LA and Orange County that have some form of rent control. Make sure you know what the rules are so you can make an informed decision on weather or not you are ready to deal with tenants and the local rules of being a landlord. The City of Los Angeles has rent control for multi-unit structures with some exceptions. Other cities with some form of rent control include Santa Monica, West Hollywood and Beverly Hills. There are other cities with limited tenant rights laws. Learn the details of any areas you are considering.
If you plan to purchase or own rent control units in Los Angeles you'll want to consider the rules you will need to follow. You will need to register with the rent control board and you may only raise the rent according to the amount allotted each year. It's difficult to evict someone if they do not violate the rules and are paying the rent, even when the building is sold. Prevailing wisdom says, in order to retain the property's full value, you will need to raise the rent the fully allotted amount each year since once your chance has passed you cannot get it back. Much of the value of income property is weighed by the income it produces so letting rents fall below the current market rate can devalue your property.
Live in one, rent the other! As a first time investor you will find that when you plan on living in one of the units you purchase in a 2-4 unit complexes you have the advantage of being able to get a residential loan with much of the same advantages as getting a loan to buy a single family loan. Contact us to speak to a lender and find out your options for buying units you can live in and rent.