Just sold my last CA property

[clearfund]

We own commercial and residential (foreclosures/lots) in AZ and CA. We chose AZ over NV for one simple reason: its economy is diversified across many different, mature industries. NV is nowhere near as diversified.

thus we believe that PHX has the industrial/corporate infrastructure in place at an attractive cost structure for employment that it will be more sustainable in when we see growth again.

[sdduuuude]

[quote=briansd1]
There are other posters (not you, Rich) on here who like to wag their fingers at government intervention in the economy because they claim that a mess will invariably result…. But when it come to housing, they like to say: beware of government intervention because it works.[/quote]

Interesting approach.
Step 1: Badly articulate someone elses opinion.
Step 2: Claim that opinion doesn’t make sense.

[sdduuuude]

[quote=briansd1]
There are other posters (not you, Rich) on here who like to wag their fingers at government intervention in the economy because they claim that a mess will invariably result…. But when it come to housing, they like to say: beware of government intervention because it works.[/quote]

Interesting approach.
Step 1: Badly articulate someone elses opinion.
Step 2: Claim that opinion doesn’t make sense.

[sdduuuude]

[quote=briansd1]
There are other posters (not you, Rich) on here who like to wag their fingers at government intervention in the economy because they claim that a mess will invariably result…. But when it come to housing, they like to say: beware of government intervention because it works.[/quote]

Interesting approach.
Step 1: Badly articulate someone elses opinion.
Step 2: Claim that opinion doesn’t make sense.

[sdduuuude]

[quote=briansd1]
There are other posters (not you, Rich) on here who like to wag their fingers at government intervention in the economy because they claim that a mess will invariably result…. But when it come to housing, they like to say: beware of government intervention because it works.[/quote]

Interesting approach.
Step 1: Badly articulate someone elses opinion.
Step 2: Claim that opinion doesn’t make sense.

[sdduuuude]

[quote=briansd1]
There are other posters (not you, Rich) on here who like to wag their fingers at government intervention in the economy because they claim that a mess will invariably result…. But when it come to housing, they like to say: beware of government intervention because it works.[/quote]

Interesting approach.
Step 1: Badly articulate someone elses opinion.
Step 2: Claim that opinion doesn’t make sense.

[EconProf]

Concho raises good points about the hazards of investing in TX that also apply to AZ and, I suppose NV.
The biggest mistake CA investors can make is extrapolating their own CA real estate lessons and applying them in a different state.
CA, and especially San Diego investors, have often made their money because of our expensive and limited land. But RE development in other states can quickly expand in all directions, making the land component of your investment tiny. It is easy to be seduced by fine-looking buildings that seem incredibly cheap, a tendency the local RE hawkers easily capitalize on when successful CA 1031 exchangers come visiting.
Because land is so cheap and easily developed because of lower entitlement costs and government hassles, value appreciation cannot be counted upon. Instead, cash flow is primary. You must control costs, attract and keep tenants, and just work the property hands-on style the old fashioned way. (That’s why most of my properties are in Yuma, a pleasant 2 3/4 hour drive away).

[EconProf]

Concho raises good points about the hazards of investing in TX that also apply to AZ and, I suppose NV.
The biggest mistake CA investors can make is extrapolating their own CA real estate lessons and applying them in a different state.
CA, and especially San Diego investors, have often made their money because of our expensive and limited land. But RE development in other states can quickly expand in all directions, making the land component of your investment tiny. It is easy to be seduced by fine-looking buildings that seem incredibly cheap, a tendency the local RE hawkers easily capitalize on when successful CA 1031 exchangers come visiting.
Because land is so cheap and easily developed because of lower entitlement costs and government hassles, value appreciation cannot be counted upon. Instead, cash flow is primary. You must control costs, attract and keep tenants, and just work the property hands-on style the old fashioned way. (That’s why most of my properties are in Yuma, a pleasant 2 3/4 hour drive away).

[EconProf]

Concho raises good points about the hazards of investing in TX that also apply to AZ and, I suppose NV.
The biggest mistake CA investors can make is extrapolating their own CA real estate lessons and applying them in a different state.
CA, and especially San Diego investors, have often made their money because of our expensive and limited land. But RE development in other states can quickly expand in all directions, making the land component of your investment tiny. It is easy to be seduced by fine-looking buildings that seem incredibly cheap, a tendency the local RE hawkers easily capitalize on when successful CA 1031 exchangers come visiting.
Because land is so cheap and easily developed because of lower entitlement costs and government hassles, value appreciation cannot be counted upon. Instead, cash flow is primary. You must control costs, attract and keep tenants, and just work the property hands-on style the old fashioned way. (That’s why most of my properties are in Yuma, a pleasant 2 3/4 hour drive away).

[EconProf]

Concho raises good points about the hazards of investing in TX that also apply to AZ and, I suppose NV.
The biggest mistake CA investors can make is extrapolating their own CA real estate lessons and applying them in a different state.
CA, and especially San Diego investors, have often made their money because of our expensive and limited land. But RE development in other states can quickly expand in all directions, making the land component of your investment tiny. It is easy to be seduced by fine-looking buildings that seem incredibly cheap, a tendency the local RE hawkers easily capitalize on when successful CA 1031 exchangers come visiting.
Because land is so cheap and easily developed because of lower entitlement costs and government hassles, value appreciation cannot be counted upon. Instead, cash flow is primary. You must control costs, attract and keep tenants, and just work the property hands-on style the old fashioned way. (That’s why most of my properties are in Yuma, a pleasant 2 3/4 hour drive away).

[EconProf]

Concho raises good points about the hazards of investing in TX that also apply to AZ and, I suppose NV.
The biggest mistake CA investors can make is extrapolating their own CA real estate lessons and applying them in a different state.
CA, and especially San Diego investors, have often made their money because of our expensive and limited land. But RE development in other states can quickly expand in all directions, making the land component of your investment tiny. It is easy to be seduced by fine-looking buildings that seem incredibly cheap, a tendency the local RE hawkers easily capitalize on when successful CA 1031 exchangers come visiting.
Because land is so cheap and easily developed because of lower entitlement costs and government hassles, value appreciation cannot be counted upon. Instead, cash flow is primary. You must control costs, attract and keep tenants, and just work the property hands-on style the old fashioned way. (That’s why most of my properties are in Yuma, a pleasant 2 3/4 hour drive away).

[scaredyclassic]

i remember nyc in the 70’s, i grew up there. somehow i just don’t think that nyc’s turnaround (admittedly dramatic) is analagous to what we have here now in CA. Not sure i can articulate it, but you have this trememndously amazing, expensive to build, unique infrastucture ina tight space. it just seem smore valuable, more defined, easier to spruce up. the financial problems seemed less complex and weren’t dependent ont he people themselves being leveraged to the hilt. i don’t know. it did look bleak in a lot of parts of nyc …not where we lived way out in brooklyn. but the whole place was dirtier, poorer…my mom continues to be amazed at how the city rejuvenated….

[scaredyclassic]

i remember nyc in the 70’s, i grew up there. somehow i just don’t think that nyc’s turnaround (admittedly dramatic) is analagous to what we have here now in CA. Not sure i can articulate it, but you have this trememndously amazing, expensive to build, unique infrastucture ina tight space. it just seem smore valuable, more defined, easier to spruce up. the financial problems seemed less complex and weren’t dependent ont he people themselves being leveraged to the hilt. i don’t know. it did look bleak in a lot of parts of nyc …not where we lived way out in brooklyn. but the whole place was dirtier, poorer…my mom continues to be amazed at how the city rejuvenated….

[scaredyclassic]

i remember nyc in the 70’s, i grew up there. somehow i just don’t think that nyc’s turnaround (admittedly dramatic) is analagous to what we have here now in CA. Not sure i can articulate it, but you have this trememndously amazing, expensive to build, unique infrastucture ina tight space. it just seem smore valuable, more defined, easier to spruce up. the financial problems seemed less complex and weren’t dependent ont he people themselves being leveraged to the hilt. i don’t know. it did look bleak in a lot of parts of nyc …not where we lived way out in brooklyn. but the whole place was dirtier, poorer…my mom continues to be amazed at how the city rejuvenated….

[scaredyclassic]

i remember nyc in the 70’s, i grew up there. somehow i just don’t think that nyc’s turnaround (admittedly dramatic) is analagous to what we have here now in CA. Not sure i can articulate it, but you have this trememndously amazing, expensive to build, unique infrastucture ina tight space. it just seem smore valuable, more defined, easier to spruce up. the financial problems seemed less complex and weren’t dependent ont he people themselves being leveraged to the hilt. i don’t know. it did look bleak in a lot of parts of nyc …not where we lived way out in brooklyn. but the whole place was dirtier, poorer…my mom continues to be amazed at how the city rejuvenated….

[Author]

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