While we certainly cannot predict the future, our experience in the real estate industry provides some insight as to how the tax reform plan President Trump released last week will impact rental property investors.
Real estate industry experts have expressed mixed emotions about President Trump’s proposed changes to the tax code. The changes will certainly affect homeowners differently than they affect real estate investors.
He made a promise on the campaign trail to cut taxes for individuals and businesses alike—and last week, the Trump administration unveiled a tax reform plan that would do just that. Treasury Secretary Steven Mnunchin and National Economic Director Gary Cohn briefed reporters on the plan at the White House earlier this week. Although details about the plan remain sparse, real estate investors should be cautiously optimistic about what's known about the plan so far.
California is one of the few states to adopt widespread rent control policies. The mere notion of rent control is a foreign concept to many. Some investors shy away from investing in Bay Area real estate as a result. Their fears over rent control, even if real, can lead to missed opportunities.
Class A. Class B. Single family. Multifamily. Turnkey properties. Value-add opportunities. Primary market. Secondary market. Tertiary market? Gut rehabs. Mixed-use. Student housing. Housing for young professionals. Rent controlled. Non-rent controlled.
Why can’t we be friends, why can’t we be friends?
At one time or another, it’s the one call that every property manager in the East Bay receives - and makes. Sometimes with a little, or a lot of, dread.
Hayward is a mid-sized city of 150,000 about halfway down the East Bay. Because of the distance from San Francisco, it has been slower to experience the demand in rental housing that’s sent prices soaring in other communities. The result is that Hayward is still more affordable, more family-oriented, with higher demand for larger units than other area cities.
Hayward started as a farming community, grew steadily in the 1800s, then was nearly leveled by a great earthquake in 1868. The Hayward Fault still runs through town but has been silent for the past 150 years. (Phew!) The canneries that sprung up around the fields and orchards are now gone. But Hayward’s location and easy access to the state’s highways has made it a prime location for industry, particularly in the food and beverage sector.
Date: March 10, 2017
What’s a lifehack in the context of East Bay property management? It’s about using tools or seizing opportunities to do things better, faster, smarter – and as a result, make more money. Owners of rental properties know that although rental income may be classified as “passive,” it can feel far from it, especially if you’re self-managing. What’s the better alternative?