Real Estate Checkup (Portfolio Analysis) & Design Plan
Every year you go see your doctor for a physical. He/she runs a series of diagnostics,
checking your heart rate, blood pressure, cholesterol, and also checking for cancer.
Based on all the results your doctor suggests a plan of action.
We do the same thing for your real estate. We perform a detailed check-up on your entire portfolio looking at the cash flow,
financial returns, interest rates, etc. and then design an action plan for the real estate based on your personal situation.
It is important to look at the whole picture, because there are several strategies where gains in one place are
offset by passive, paper losses.
For example, we had one client, who owned a couple of duplexes down by the beach and received $6,250 / month in rents.
Sounds pretty good, but because he had owned the property a long time, he had few tax deductions,
such that the money he got to keep amounted to only 1.25% of the value he had in the property.
And, the property had so much deferred maintenance that is was not
appreciating at all – if the termites quit holding hands, the entire building would fall down.
We had him sell the two properties and buy a large multi-family apartment complex out of state.
Now he receives $18,000 / month, almost all of which he gets to keep due to unique real estate
tax advantages (i.e., depreciation). Also, about $4,000 / month is going toward principal reduction (think of it as forced savings).
Additionally, as rents increase, the property appreciates. Finally, because it is a leveraged purchase,
the rate of return is a multiple of its growth rate. In the past three years, the property appreciated by about 10% / year,
despite the down real estate market.
- Call today for an appointment! (858) 755-2111
Design Plan Implementation
Frequently your real estate design plan will call for refinancing, sales, or acquisition of property.
As real estate and mortgage brokers, we can assist in these matters.
If you have a preferred real estate or mortgage broker, please use them. We believe in loyalty.
Portfolio (Asset) Management
It is great having on-site management as well as a level of management to deal with managing a specific asset.
However, you still have to manage the managers, manage your collection of properties, and monitor their performance with
individually and with respect to your overall portfolio. We can be your one-stop shop for your overall portfolio management.
- Call today to schedule an appointment! (858) 755-2111
Real Estate / Financial Counseling
One of the best counseling tools we use is Robert Kiyosaki's CashFlow 101 game. Hearing advice from someone or seeing illustrations
on paper don't carry the same weight as the ability to internalize the information through hands-on learning in a simulated environment.
Surprisingly, we recommend everyone, from future first-time buyers to seasoned investors, participate in a CashFlow session.
Playing the game helps bring many concepts into clear focus - regardless of whether the player is novice or experienced.
For example, we had one client, who was nearing his fifties and realized he had very little saved up for retirement.
In fact, he was a high paid executive who spent (and gave to charity) nearly every dime he made.
He needed to figure out whether or how he would be able to take an early retirement, while simultaneously putting his kids
through college in a few years.
There was no magic bullet, but through his own reading and playing CashFlow 101 with us, he is now on a clear path to achieving
these goals.
- Call today to come play with us! (858) 755-2111
San Diego Housing Market Predictions
