Tags: San Carlos Real Estate
Tags: Redwood City real estate
The Palo Alto market appears to be picking up a little as pending ratio has increased to 50% over the past few weeks.
Here is this week’s update:
16 new listings this week in Palo Alto.
4 new pending sales this week in Palo Alto.
119 current active listings in Palo Alto.
60 current pending sales in Palo Alto.
50.4% pending ratio.
Palo Alto Real Estate Update 5/31/09
Palo Alto Real Estate Update 5/24/09
Palo Alto Real Estate Update 5/17/09
Palo Alto Real Estate Update 5/10/09
Palo Alto Real Estate Update 5/3/09
Palo Alto Real Estate Update 4/19/09
Palo Alto Real Estate Update 4/12/09
Palo Alto Real Estate Update 4/5/09
Palo Alto Real Estate Update 3/29/09
Palo Alto real estate updated 3/22/09
Palo Alto update 3/15/09
Palo Alto update 3/6/09
Palo Alto update 2/27/09
For real-time listing updates to your cell phone, click here.
Tags: Palo Alto Real estate
Tags: Mountain View real estate
Tags: Menlo Park Real Estate
I recently represented a buyer who used their IRA funds to purchase a single family home for investment.
The purchase price was $258,475.
Since the property was purchased with cash from the buyers’ IRA accounts, closing costs were minimal since no loan costs were involved.
Closing costs were approximately $2,500 so total cash invested was $260,975.
This 3 bedroom 1 bath has has been rented for $1,800 per month or $21,600 per year.
Let’s look at the numbers:
Rental income: $21,600
less 5% vacancy factor: -$1,080
Effective rental income: $20,520
less property taxes: -$3,230
less insurance: - $675
less maintenance: -$2,000
Net income: $14,625
$14,625 income on $260,975 invested = 14,265/260,975 = 5.6% return on cash invested with NO APPRECIATION.
This property was purchased in an area where the average price was over $600,000 in 2006.
If the real estate market recovers at all, this will prove to be a very nice investment.
Even if sale values do not go up, rental rates can go up and increase return.
Please let me know if you would like more information on use of IRA funds to purchase real estate and/or real estates notes at a discount.
Tags: Investment Real Estate
Tags: Menlo Park Real Estate
Tags: Mountain View real estate
Tags: Palo Alto Real estate
Tags: Redwood City real estate