Facebook  Linked In  Twitter  Youtube Channel
Wednesday, 24 December 2014 23:09

Market Watch - December 2014

The current 10 year Treasury Bond Yields have hit new floor at 2.07% on December 17th. On the horizon is a year-end market rally which typically indicates higher rates this previous forecast has mateialized current yield of 2.257. The strongest indicators for the continuation of a sub 3% 10 year treaury remain the weak economies of Japan, Europe and due to oil's current plummet now Russia joins the ranks of weak economies.

 

Conversely, the capital infusion from these weaker countries seeking tangible investments will create a stronger and more competitive domestic marketplace that will support and substantiate higher rates overall. In our real estate market, the disconnect will occur when sellers continue to raise prices despite compressed cash flow margins due to higher interest rates. Hence sellers need to re-evaluate their positions.

 

By: Gill Figueroa, First Commercial Capital

Last modified on Friday, 26 December 2014 21:12
Saturday, 06 December 2014 00:45

Do or Die Due Diligence

The due diligence process is one of the most important, yet challenging aspects of investing in real estate. If it's not conducted thoroughly with a keen eye, an investor could end up with bad deals and lose millions of dollars, warns Andre Cuadrado, Vice President at Auction.com.

 

"Due diligence is the process of discovering the real truth about an investment," Cuadrado explains. "The investor must be a sleuth and go through everything with a finetooth comb. Every dollar must be accounted for, and every single risk must be identified." 

 

When it comes to commercial real estate, there are three forms of due diligence: financial, legal, and physical. Smart investors pay careful attention to all three, Cuadrado says. The act of performing due diligence - the process itself - should not be confused with due diligence documentation.

Read More ...

Last modified on Saturday, 06 December 2014 01:03

Question: I have a rent controlled unit in Los Angeles. The tenant is on a one-year lease which will expire at the end of the next month. I have had trouble with the tenant in the past and I really do not want to extend the tenancy. What is the proper format to inform the tenant that I will not be renewing and that she must vacate at the end of the lease term?

 

Answer: Sorry to inform you, but since this is a rent controlled unit, you cannot just terminate the tenancy at the end of the lease term. The tenancy cannot be terminated unless you have good cause, as enumerated by the Los Angeles Rent Stabilization Ordinance. In effect, every tenancy becomes a life estate under the rent control statute. With this in mind, landlords should screen their applicants very carefully.

Read More ...

Last modified on Tuesday, 02 December 2014 20:04
Wednesday, 19 November 2014 18:08

Market Watch - November 2014

The current 10 year Treasury Bond Yields have hit new floor at 2.32%. Keep in mind this was the previous 4 month resistance level and the market is likely to now bounce from this higher yield. On the horizon is a year-end market rally which typically indicates higher rates. The strongest indicators for the continuation of a sub 3% 10 year treasury remain the weak economies of Japan and Europe.

 

Conversely, the capital infusion from these weaker countries seekig tangible investments will create a stronger and more competitive domestic marketplace that will support and substantiate higher rates overall.

 

In our real estate market, the disconnect will occur when sellers continue to raise prices despite compressed cash flow margins due to higher interest rates. Hence sellers need to re-evaluate their positions.

 

By: Gill Figueroa, First Commercial Capital

Last modified on Wednesday, 19 November 2014 19:53

10710697 920303137999702_235661152105201478_n10649501 920300354666647_6297953229083843400_n
10430855 920300331333316_963095368811952852_n1467404 920301371333212_8107909710927171532_n
1620979 920304621332887_2248925933812638556_n544918 920300391333310_7223511013589675789_n

Harma Hartouni thanks our Agent Partners. Core Vendors and Clients for their support and loyalty in making Keller Williams Calabasas the fastest growing office. 

 

We are your friends, neighbors, and agents. Together we service our community!

 

Established! Strong! Growing!

Last modified on Thursday, 13 November 2014 22:12

Question: I am renting my unit for $2,100 per month. I would like to collect $3,000 as a security deposit. Is there any restriction on how much my deposit should be? My prospective tenant states that it cannot be more than the rent. Please let me know.

 

Answer: Your prospective tenant is wrong. You can legally collect two times the amount of rent if the unit is unfurnished, and three times the amount of rent if the unit is furnished. 

Read More ...

Last modified on Thursday, 13 November 2014 21:25

The Eldorado Apartments offer 20 spacious garden-style apartment units. Each unit is ±950 SF. The property is comprised of 2, two story buildings. Building construction is of wood frame with partially pitched roof and painted stucco exterior. Wood and stone accents highlight the front of the property. All units feature 2-bedrooms, 1-bath floor plans, walk-in closets, and wall AC units. Built in 1976, the building area is ±18,909 SF and is situated on ±32,631 SF of beautifully manicured and landscaped grounds. Residents can enjoy the conveniences of secured entry, large gated parking lot (2 spaces per unit), and onsite laundry. Laundry equipment is new and owned by the landlord with no lease in place. 

 

The property has recently been re-piped with copper plumbing and equipped with a new water heater. Additionally, ground floor units offer private patios and second floor units offer refurbished balconies and vaulted ceilings. There are several renovated units which include new faux wood floors, new cabinets, granite counter tops, tiled kitchens, and stainless steel appliances. Exterior building improvements include LED lighting and new mailboxes. 

 

This investment opportunity offers a low maintenance well maintained property with approximately 14% rental upside potential. Accessibility to the property by foot is through the secured intercom access gate or by car through either side of the property by remote gate access. 

 

6108 Hazelhurst Place is located just minutes from the NoHo Arts District, on a residential street surrounded by single family homes and multi-residential properties. The property's close proximity to the Metro Red Line, MTA Orange Line, and the 101, 170, and 134 Freeways offers easy and quick access to Hollywood and Downtown L.A., the West San Fernando Valley, Universal Studios, and the Tri-Cities (Burbank, Glendale Pasadena). Notable landmarks nearby include Maurice Sendak Elementary School, NoHo Arts Center (±1 mi.), The Arts Institute of California (±1 mi.), North Hollywood Park (±2 mi.), Los Angeles Valley College (±2.5 mi), and Universal Studios (±3.8 mi.). This location is perfect for students, families, professionals, and simply anyone who loves being so conveniently near the studios, colleges, schools, galleries, cafes, and all of the entertainment and nightlife that Lankershim Boulevard and Los Angeles have to offer!

Last modified on Wednesday, 12 November 2014 00:43

7305 Variel Avenue apartment complex is comprised of 10 garden-style apartment units in (1) two story building situated on the corner of Variel Avenue & Wyandotte Street in the City of Canoga Park. The building construction is of wood frame with a flat roof and painted stucco exterior with natural stone accent. Development was completed in 1958 with a total of 6,942+/- building square feet on an 8,553+/- square foot corner lot. Current zoning is LAR3

 

The apartment units are spacious and consist of 8 one-bedroom/one-bath units and 2 single units. Common area amenities include parking, consisting of 1 open space and 9 carport gated spaces. The property also offers a laundry facility.

 

The building is accessible from the side of the property on foot off of Wyandotte St. Access is through the secured gated entrance. Aesthetically, the property grounds and building are maintained and attractive. The landscaping is well kept and manicured with a large gated front lawn.

 

This opportunity offers investors an opportunity to add value and raise rents over time in a quickly improving community and rental market.

 

7305 Variel Avenue is located in a densely populated pocket of Canoga Park adjacent to Warner Center. The property is just north of Sherman Way and east of Topanga Canyon Boulevard. The 7300 block of Variel Ave. is a low traffic quiet residential tree lined street. The immediate vicinity consists of well-maintained apartment buildings and single-family homes. West Hills and nearby Woodland Hills Warner Center are quality family neighborhoods. These prime adjacent locations have created a hub for business and entertainment to thrive in and have helped push rents upward in neighboring communities.

 

The subject property is centered between three major streets, Topanga Canyon Blvd to the west, Sherman Way to the south, and Roscoe Blvd to the north.

Last modified on Wednesday, 12 November 2014 00:43

The national vacancy rate remained unchanged at 4.1% during the second quarter, a potentially worrisome result for those who fret about the near term future of the apartment sector. However, this is not unexpected, and a moderation in the brisk pace of improvement in fundamentals has been built into our forecasts for some time.

 

Read more ...

Last modified on Wednesday, 15 October 2014 00:10

Question: What is the landlord's obligation, as it relates to the refund of a security deposit, when the tenant breaks a one year lease? The tenant served me with a 30-day notice stating that they would be vacating due to a domestic problem. A new tenant was secured to moved in, without any loss of rent.

 

Answer: You have 21 days to send a security deposit itemization to your tenant. In general you would be able to deduct for the remaining term of the lease. In this case, since you already obtained a replacement tenant, there can be no deductions for rent.

Read More ...

Last modified on Wednesday, 15 October 2014 00:02
Page 3 of 6