Did Somebody Say Hot Rental Market?
San Diego Income Property = One of the Best Investments You Can Make
There are so many reasons why:
San Diego is one of the least affordable cities in the country for home ownership. As a result, rentals are always in high demand.
Rental vacancy is well below demand, especially in the beach areas and trendy urban hot spots. This lets you pick quality tenants and charge full market rents.
San Diego is a growing hub for biotech and startup companies, and many employees will be relocating here in coming years, with big salaries to pay for rent while they test out San Diego's eclectic neighborhoods.
San Diego has over 7 major universities and law schools, meaning a large portion of the community is renting because they are not here permanently.
Mission Beach Triplex Sold by Empey Realty; Contact Us for the Next One!
The market inflation we've seen in other hot California markets hasn't fully reached San Diego yet. Forget about buying income property in LA or SF—those markets have already blown up. You'll grow equity quicker in San Diego!
Click the link for recent news articles about the rental market in San Diego.
What You Need to Make Money with Income Property In San Diego:
- Knowledge of the Hippest Areas in Town. Prime location = premium rents. San Diego renters have proven that they're willing to pay the price to live in the hippest areas. It's not just the beach areas anymore— renters are flocking to North Park, South Park, University Heights, Normal Heights, Banker's Hill, Little Italy, Golden Hill and beyond.
- Knowledge of the Rental Market. It takes feet-on-the-ground knowledge of the rental market in order to maximize your rent return without creating too much turnover. Long-term tenants are valuable, and turnover is expensive. The key is finding that balance, especially if your San Diego investment property could use some updating. We know how to walk that line, to get you up and running at maximum income right away, and keep you there for the duration of your ownership.
- One-Stop Shop for Leasing and Tenant Management. We provide comprehensive leasing services, helping you screen and qualify tenants and draft custom leases, tailored to the particulars of your property and your preferences. We also handle other facets of tenant management, including serving notices when tenants get out of line, and full pre-eviction services. In most cases, we are able to negotiate settlement of potentially costly tenant situations, saving our clients thousands of dollars in litigation costs. And if you have to file an eviction lawsuit, we know the best eviction attorney in San Diego, and she provides a special rate to our clients.
- Tools for Calculating The Return on Your Money. We've created specialized worksheets for both buyers and sellers so you know exactly what your bottom line is and what kind of return you'll get for your money.
- Off Market Listings. Sometimes the listings that are actively for sale just don't fit your particular wants and needs. We take a proactive approach in seeking out property owners who may be likely to sell, putting together deals that are great for both our investor buyers and sellers. Diligence is the mother of good luck!
- Tough Negotiation Skills. Income property in San Diego is a unique segment of the real estate market. You need a broker-attorney who knows the contracts inside & out and is trained to negotiate like a pro, especially if you're the seller. Buyers have a lot of leverage by the terms of the standard purchase contract. We help sellers negotiate out some of that power, keeping escrow on track and protecting your money all the way to the closing table.
SUCCESS STORIES:
Pacific Beach Fourplex:
- Purchased for $1,275,000 in November 2013.
- Rents increased a total of $1285/mo so far.
- Likely sale value now with no capital improvements performed: $1,775,000
- 3-year return on investment: $500,000 and counting.
Ocean Beach Fourplex:
- Purchased for $1,050,000 in November 2013.
- Rents increased a total of $1,000/mo so far.
- Completely renovated at a cost of $120,000
- Likely sale value now: $1,700,000
- 3-year return on investment: $500,000 and counting.
Mission Beach Triplex:
- Represented both seller and buyer.
- Sold for full price in 19 days.
- Huge potential upside for buyers.
- Ongoing management and support to new buyer.
- Sale Price: $1,150,000
Current Status:
- Remodeled for ~$40k.
- Vacation Rental earning ~$20k/month in the summer and $12k/month in the off-season, for a total of about $160k in the first year.
- Likely sale value now: $1,350,000
Pacific Beach 10-Unit Apartment Building:
- Purchased for $3,300,000 in November 2016.
- Currently generating over $15,000/month.
- Renovations underway.
- Projected rents after renovations: $20,000+/mo.
