Real Estate investing in San Diego…

…It doesn’t get much better.

The sun, the people, the beach, and….

….the money!

That’s right- one of the best parts of Real Estate investing in San Diego is that there is boat loads of cash to be made.

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That’s because being in Southern California, and being by the beach in one of the oldest towns in the state means San Diego has:

  • Potential flip projects everywhere (one of oldest towns),
  • Potential for some of the highest returns on investments in the nation (owner bought property in 1950 for $150,000 is now worth $1,200,000 fixed up but will sell for $700,000),
  • Projects sell quickly if priced correctly (high population=tons of buyers in market).

San Diego, is one of the best cities in the world for Real Estate investing.

So if you have decided that San Diego is the city you want to do this Real Estate thing in… you picked the best city in the world!

However, before you start running after your boat loads of cash there are…

5 Things You Must Know About Real Estate Investing In San Diego:

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1) Keep It Simple!

Real estate investing is not a complex task.
It is a task that requires persistence, repetition and the ability to say NO when a deal won’t work out.
Real Estate investing is based off of numbers and numbers only.  Period.  If the numbers don’t work, walk away from the deal. Don’t let your emotions get the best of you.

2) You Don’t Need Good Credit to Invest

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So many new investors think they need to go bank to get a mortgage to close on a deal, and the truth is you don’t!

In fact many homes that are investment opportunities are opportunities because they cannot be financed with a traditional loan in their current state.

So if you can’t get a “traditional” bank loan or it won’t be possible to use a traditional back loan on the home, how do you buy it?

That is simple- you use a tool called Hard Money.

Hard Money is a loan from a private or smaller lender that bases the loan on the underlying asset (the deal on the property itself) and not the the credit worthiness of the buyer.

3) Money For Deals Is Easy to Find

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In San Diego there are several hard money lenders available to local investors.
From the “Trillon Capital” to “Alcom Capital” to “Windvest”.
….they are located all over the city and fund projects on a regular basis.
Along with the companies that fund deals there are also small investors or individuals.
  • So what is a hard money lender looking for?
  • What are you buying the property for?
  • What will it cost to fix?
  • How long will it take to complete the deal?
  • What will it be sold for after?

With this information the lender can determine if it fits their investment portfolio and decide if they want to offer you a loan or not.

If you are looking for more information on getting Real Estate funding in San Diego, Ca CHECK THIS OUT

4) Community Is Everything

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The Real Estate investment community is a small group of several hundred active investors and professionals who work in the space.

It is important to know that the San Diego Real Estate investment world is very small.

Many new investors come in and get into the groove of investing and build great businesses and long term relationships with the San Diego Real Estate investment community.

Others come in with short minded goals and unrealistic up front goals;

IE be a millionaire in a year, and end up burning the bridges they have just formed with the community in a short period of time.

These type of investors fade away or have less success due to their short minded approach.

How can you meet people in the San Diego Real Estate Investment community?

Well that is one of the best parts about San Diego- we have so many great clubs and meetups that can get you acclimated to the community.

If you are looking for networking to just grow your network- San Diego Real Estate Networking is great for this with our monthly BrewRE events.

You’ll even meet our CEO Andrew Greer who hosts every event!

For other monthly networking and workshops you can also check out the San Diego Creative Investors Association (SDCIA) or, the North San Diego Real Estate Investors Association (NSDREIA) .

 

5) The Riches Are In The Niches

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The geographical area you are marketing to and looking for homes in is referred to as you “Farm.”
Just like a real farm, your “farm” requires nurturing and caring for to yield the crops of success.
Often times investors will take an approach of creating a huge farm. The thought process is that there will be more opportunity with more homes to target, but this is not true.
After-all- “The Asses are in the Masses, and the Riches are in the Niches.”
How does this apply to San Diego?
Well, think about it this way.
If you are marketing from Lemon Grove to Del Mar how many homes and communities must you know to get a great deal or negotiate?
If you have a deal come up on 36th Street in Normal Heights would you know right off the bat that it makes a $100K difference where it sits in regards to Adams Ave and even more in regards to El Cajon Blvd?
How could you possibly know each neighborhood off the bat to be successful? – you can’t!
Pick a smaller area to focus on when you get started, and grow as you get more accustomed to the market.

6) (Bonus!) Be Aware Of Paralysis by Analysis

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Stop wasting time thinking about getting into investing and start getting out there and looking for deals.

Start knocking on doors and talking to sellers, don’t waste 3 months reviewing scripts or asking people what they would say, JUST DO IT!

Stop wondering what a lender wants to loan to you and pick up the phone and ask them.

Don’t know any contractors that can do the work on your flips?- do a Google search or hop on Craigslist and start having conversations with them!

The main thing is to do, and take action! You’ll learn new things everyday while being active in the market.

Stop asking questions and just get yourself out there! The best teacher is to get some experience.

If you need a game plan and weekly checklist you can get our 6-month Flip Challenge by CLICKING HERE – you are guaranteed your first flip in 6 months!

In Conclusion:

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Don’t over complicate things.
The hardest part is getting started, so just get out there and find deals.
And while you are out there on the streets, treat others the way you want to be treated because to be successful you will be building long term relationships.
If you follow these steps in San Diego, you don’t give up, and you surround yourself with the right information – you will be successful beyond your wildest dreams.
You won’t become a millionaire overnight, but if you put in the work and play the long game you will make boat loads of cash!

Here’s What To Do Next:

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If you want to know 3 places you can get money for your deals right now in San Diego Click Here or the button below.

If you want to skip doing the work yourself and get the money for your investment deals right now CLICK HERE

If you are just getting started and want some guidance CLICK HERE

If you need some tools to help you along the way CLICK HERE

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Get started right now and good luck out there!

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