Investing your money ?

[Hallett19]

I have duplex in Glendale that is listed at $499,000 with no accepted offers yet. Its a probate sale but there is a sweet twist to it. We have a 4 plex in the hollywood hills that we are going to list soon at $1.5. The deals are out there, you just need somone eager enough to find them for you. Contact me if you are serious about doing something like this, people in my office own many buildings and could give you some great pointers, and remember, there is NO such thing as a dumb question. Your area of lancaster is expanding right now, valencia is a good idea to look into as well. I know of an amazing real estate agent in your area who can give you details of the climate out there. Her name is Deborah and her number is 661-810-5744. Keep in touch with agents, let them know you are interested, they will always keep you in mind if something good comes along, just make sure you get several opinions before pulling the trigger on something. And stay under 4 units if you go that route !!

[bigq]

Originally posted by Mandelon
$80K should get you into a $300,000 set of units. Buy something cheaper and you could easily have positive cash flow on them. They depreciate on your taxes, but appreciate in real dollars. You can write off the repairs and expenses. (Which allows for a bit of fudge factor in case you buy too much tile that you can use at your house.) My units have all at least doubled or more in price over the past few years. I would stay with 4 units or less for easy conforming financing. With 5 units and up you are stuck with commercial rates and terms. If you can handle doing a "fixer-upper" you can make even more $$$.
Buy units out at Havasu, Parker or BHC and maybe write off all your river trips as maintenance expenses....
That said, a cautionary note: As interest rates begin to rise, the real estate values may not increase as much as they have over the past few years. A lot of investors who were unable to get a positive return in stocks or bonds made the switch to real estate. I think the biggest gains have been made. At least around here, for the next few years. The returns will likely decrease and many investors may return to the stock market. Which could push it up again. As the economy recovers more investors will return to stocks. People have short memories and when they hear about their friends doubling their money on Qualcomm again, the temptation to join in may be too great.
I see my ML stock fund has finally reached a new high after lagging for the past few years. The recession is over and businesses are expected to start posting positive gains again.
Maybe splitting the money between the two might be wise. I don't see how you can go wrong with either at this point.
Congrats and good luck.
I am far from an expert, but this sounds like good advice. I would look hard before going into real estate, although I thought they said they are expecting a 13% rise this year still. I have many friends that do loans and thay say most are really scraping to get in to real estate so what do you think will happen when rates go up on these adjustable loans.
If it was me I would find a good growth fund for the next 2 or so years and then when real estate relaxes I would maybe purchase a Duplex or something of that nature. Over the long haul it should be fine. I have given up on the quick buck, not smart enough for that.:wink:

[welk2party]

While I agree, real estate is hard to go wrong with, I would make one other suggestion. I would at least look into tax defferred annuities. Some of them get you an honest return with little risk to the principal. Some of them will let you draw the interest as income while keeping the principal working. Or if you do not need the small income, let the compounding interest go to work. I set my inlaws up with one for when they decide to sell a rental property. They can sell the property and almost make the same annual income off the annuity.

[al cole'holic]

**** the stock market, **** the apartments or buildings, buy a house in SoCal...

[hd&boatrider]

Originally posted by Doug H.
On a serious note, if you came into $70,000 - $80,000 cash what investments whould you make, (no boats).......land, homes, stocks, IRA's ..? this money that you turn over needs to make a possitive return for the future.
Im looking for investment opportunities, i just need some direction......................................... ..and no funny business ok !!
I just closed on a new house in Kingman yesterday. I bought it strictly as a rental. There is a big pent up demand in Kingman for good rental housing. Mine is already rented out for 2 years with an option to purchase by the tennant and I am making about 20% more montly(after management fees of 9%) than my payment which includes tax and insurance. While I would not want to live in Kingman I did it strictly for the investment. I only put down about 22% to stay away from mortgage insurance. I had considered land but the monthly return made it worthwhile to buy the house. Anyhow, with 80K you could buy a few brand new houses out there and have positive cash flow monthly.
Good luck

[Mandelon]

That sounds good, too. With California real estate so high, looking at a retirement area that should have appreciation seems like a good plan. One caveat is that a place far from your home can be difficult to manage, even with professional assistance. It is nice to have your real property investment nearby so you can check on it.
Let us know what you will do.

[hd&boatrider]

Originally posted by Mandelon
That sounds good, too. With California real estate so high, looking at a retirement area that should have appreciation seems like a good plan. One caveat is that a place far from your home can be difficult to manage, even with professional assistance. It is nice to have your real property investment nearby so you can check on it.
Let us know what you will do.
Mandelon----The reason why I bought out there is because of the rental market being way under what the market wants. There are plenty of trailers for rent but no nice, clean housing for rent. Plus with my place in BHC it is a short drive for me to check up on stuff. They just got the OK to put in a Home Depot and of course that helps stimulate continued growth. LHC and BHC residents are starting to move out to Kingman because of the higher costs of living in BHC and LHC. There is also the fact that BHC and LHC have lots of rentals but of course at a higher rate than Kingman. Kingman is one of the fastest growing regions in the US.
For those of you interested the lady to talk to out there is Debra Sixta:
http://resource.realtor.com/display/...1061&rt=205653
If you do contact her let her know that Tom refered you please. She can get you into a house and get it managed for you also. Easy way to go and park money for a few years.

[Mandelon]

I think if you bought just one property a year, for 10 years you could retire. Sounds like you are doing the right thing. Single family homes typically appreciate faster than multifamily properties do.
I bet you will have a good retirement and sooner than you anticipated.

[Doug H.]

Thanks guys, all the ideas are very strong and im going to do some homework regarding the.

[CA Stu]

#9 in the 7th at Santa Anita. Nazirali.
$500 across the board...
You heard it here first.
Cheers
CA Stu