Dear Landlords and Investors,
The principles of leverage, supply, demand, and ROI still push appreciation. San Diego has proven to be a wise location for your investment dollars. But, don’t become complacent. Don’t lose track of why you are investing, regardless of how successful you are. Dealing with unexpected issues can make or break your business. So of course, you’re right to want to understand how the current market affects your property values. You deserve expert guidance. Here are details on what you need to know now:
Great News!
President Biden’s campaign proposal to eliminate and /or limit gain deferral under section 1031 at $500K was not included in the Inflation Reduction Act.
Apple is Coming to San Diego
Apple recently purchased the old HP campus in Rancho Bernardo. Announcing that it expects to grow its San Diego team to more than 5,000 employees by 2026. Property values within a 30 min. drive to this new facility will increase in value. Not only will we get an influx of Apple engineers coming to the area. Other businesses in the area will expand as well. And new subsidiary business to Apple will arrive here in the region.
Apple isn’t the only big thing going on in San Diego. Oceanside is getting an artificial surf lagoon with 300 hotel rooms and 700 condos. San Marcos is getting a new Kaiser Hospital and Cal State San Marcos continues to grow. Costco is going into the Westfield Mall in Escondido. And the ground broke for the Chula Vista Bay Front Hotel project. This influx of new people to San Diego will need housing! Not everyone will be able to afford their own homes. And they are not building affordable rental housing. Making your income rental property all that more valuable.
BUYER NEEDS!
Yes, inventory is increasing. But still not enough to meet demand. If you know or hear of any potential properties that match these needs please reach out to us:
- 4+ Units in San Diego preferred in North County
- Single-story Carlsbad home with no HOA
- Oceanside home with AirBnB potential
San Diego’s Strong 2-4 Unit Market
Last month we discussed the shift in the residential market compared to the 2-4 unit market. Well, July’s numbers are in, and WOW! We broke the $600k mark for price per door last month. The sales to list price ratio continues to be over 100%. Days on the market are moving down again to only 20. And the real sign that things are humming along… Average sales price continues to climb. 18.5% above where values were one year ago.
Knowing what you do about the strength in this continued seller’s market. Think about moving into an easier or higher-yielding asset class with a 1031 exchange. We’ve talked in the past about the DST option. Becoming an owner in a hands-off “A Class” asset. There are new opportunities in this market.
With the Delaware Statutory Trust, there are NO Loan applications. There are no more upkeep and maintenance tasks. Property has professional management in place. Plus you get monthly returns on your investment of 5-7%. No more bookkeeping or accounting. It’s done for you.
Or, are you moving up the ladder? Replace your single unit or 2 unit with a 3 of 4 unit. More doors equals more income. Take advantage of San Diego’s 2-4 unit market’s remarkable appreciation. It’s blessed with high rents, coupled with high demand, and almost zero vacancies.
Reach out to us. Let’s find you the best opportunities that give you the most cash flow now. We’d be happy to do the same for your family and friends too!
Bookmark-Worthy Links
San Diego Real Estate YouTube -Weekly Videos Keep You Connected
Rentometer -House and Apartment Rental Rate Comps
HomeBot -Personalized Home Finance Tool
ALTOS Reports -Powerful Data-Driven Real-Time Zip Code Market Updates
MLS Access for Investment Property -Custom Searches For Investment Property
San Diego Apartment Investors Market Report Archives -Access Past Market Reports
IT’S TIME FOR YOU TO GET THE ROI YOU DESERVE.
You’ve worked hard for what you’ve earned, and you’re right to want the best experience. Be confident you have professionals on your side. We use ROI-based marketing. Rest easy knowing we use an organized system to market your property. Employing our highly targeted and proven approach like no one else is what you deserve!
Thinking of selling your property in the next 12 months? Call us today for your strategic marketing consultation at 858-218-4511.
