real estate

Episode 48: Chris Grindy Bay Area Tax Man

Chris Grindy is the Bay Area tax man! He owns and operates Grindy Tax Service of San Jose, in the heart of Silicon Valley. The Grindy family has been doing taxes for Bay Area folks for going on 79 years – an incredibly long time for a family run business. In all those decades, they’ve learned a thing or two both about taxation but also what folks in the Bay Area really need from their tax preparation professionals.

We got things rolling with a discussion of the history of Enrolled Agents, and then we took a deep dive into a wide variety of tax questions I have – mostly surrounding real estate. We talked about issues that will be of interest to most Bay Area home owners – mortgage interest deduction, local and state tax deductions, depreciation, 1031 exchanges, vacation rentals – if it had to do with real estate and taxes, it was a question I wanted – and got – an answer on. If you’re a bay area home owner and are interested to know about where and how taxation intersects with real property, you will for sure want to listen to this episode.

We want to make a couple of clarifications on our conversation, regarding itemized vs. taking the standard deduction. The short answer is that you still need to compare Standard vs Itemized, for both Federal & California.

Regarding the pass through business deduction: there is a new Federal deduction for business owners of 20% of their net business income, adjusted for certain items.  This is to give business owners a rate closer to a regular corporation.

Episode 44: Leslie Appleton-Young Crunches the Numbers

I am beyond thrilled to welcome Leslie Appleton-Young as my guest for the 44th episode of the Bay to Bay Podcast! Leslie is the Chief Economist for the California Association of REALTORS. I’m a huge fan, and I have been listening to and watching Leslie’s forecasts on the California real estate economy for years. Many of the facts and figures I give my clients and share on my web sites come from information I gleaned listening to Leslie, so it was a huge honor for me to have her on the podcast. In this episode, we discuss:

  • What is economics exactly, and what she loves about it so much.
  • The relationship between the federal funds rate and mortgage rates ,and why they may not move in lockstep.
  • Why housing in California is so unaffordable and what an economist would say is the solution.
  • What work goes in to making her trademark real estate market forecasts
  • What key metric home owners and REALTORS should look at to see which way the market is headed
  • The possibility of a recession in California or the USA in the next 1-2 years
  • The prospects for “blue collar” job wage growth in California
  • Why the number of homes being sold in California is today so far below historical norms
  • Is California currently in a housing bubble?
  • What would cause a home price correction?
  • The affects of the Trump tax plan on California home prices

Watch Leslie Appleton-Young’s 2019 Mid-Year Update

Episode 27: Jake Knight with Confessions of a Bay Area House Flipper

Jake Knight confesses to living the dream – he’s a Bay Area house flipper. It seems that house flipping is all the rage these days, and the idea of flipping homes here for big bucks is a fever dream of many. In fact, ATTOM data estimates that nearly 6% of homes sold in the US in 2017 were flips – hundreds of thousands of houses each year. From coast to coast and state to state (and in every county in California!), houses are getting flipped, probably just down the street from where you live.

Who’s doing all this flipping? The answer is people like Jake Knight of Skye Homes LLC. He says flipping is the only thing he’s really wanted to do since he got out of high school, when he read Rich Dad, Poor Dad.  It took him a while before he finally got into the business for real, but now he’s been a legit Bay Area House flipper for the past several years. With a background in finance and mortgage lending/underwriting, he takes a keen eye to every project he works on to ensure his ventures are profitable. But more than that, he’s concerned with creating value at every step in the process, including for the sellers of the flip homes he buys.

We had a very wide ranging discussion and covered a lot of hot topics which will be of interest:

  • What makes a house a good flip candidate
  • Finding houses that are good candidates for flipping
  • What kinds of people sell to flippers?
  • The value proposition for home sellers working a flipper
  • Competition in the flipping business
  • Financing flip projects and buying real estate with no money down
  • Determining how much to pay when acquiring a property
  • Pricing Strategy for the Resale
  • Working with REALTORs
  • Determining what materials, appliances, fixtures and such are appropriate
  • Books and web sites useful for flippers
  • How long does it take to flip a home
  • Saving on taxes
  • Real estate flipping in a changing market
  • The importance of networking and where and how to do it in the Bay Area

If you’ve been thinking about getting into flipping, this is certainly an episode you’ll want to tune in to and listen to over again.

Episode 19: Victor Romero Sums Up the Mortgage Business

There are all kinds of reasons why you’d want to know what’s going on in the residential mortgage business, even if you don’t own a home or never plan on doing so.  One of those reasons is because you’d have a good reason to have a chat with Victor Romero, who is as warm, genuine, and driven a guy as you’d ever be lucky to meet.

In any kind of business, there’s all kinds of shenanigans going on.  The U.S. residential mortgage business, in fact, is kind of notorious for shady dealings – so much so in fact that it brought the global economy down to its knees back in 2007/2008.  And it’s just at this time in history that Victor Romero decided it would be a good idea to get into the home loan business, right at the exact moment when conditions in the industry and the economy in general were as bleak as pretty much anyone could recall in living memory.

It turns out though that the time was exactly right for a return to doing business with integrity.  In hindsight, it was the perfect environment for Victor to start his career as a mortgage professional.  His approach to life, and to his business, is one of care, honesty, diligence, and perseverance – and ten years later, it’s really paid off for him.  It’s a classic story of doing well by doing good, set in modern times and in terms that most anyone can relate to.

If you’re wondering what it’s like to be successful in a business where everyone else is closing up shop, and how to prosper through it to the other side, this is an episode you’ll want to hear.  It’s a long one, about an hour and a half, because we had such a great time talking that time got away from us.  But I bet you’ll be drawn in from the first few minutes as Victor tells his story.  I’m sure you’ll love hearing it as much as I did!

VictorDRomero.com – Victor’s Web Site

 

Episode 6: Real Estate Appraisal with Kristina Campbell

In this episode of the Bay to Bay Podcast, we speak with Kristina Campbell, a licensed real estate appraiser who works exclusively in the Santa Cruz County (California) market. It was a wide ranging and engaging discussion, touching on a number of appraisal issues that will be of interest to anyone who is thinking about buying, selling, or refinancing a property. One thing that really shines through in this discussion is that appraisal is an art form – but one that is held to a very high standard by lenders, regulators, courts, and other arms of government. Ever wonder which home upgrades really deliver the most bang for the buck? How you figure out how much your “million dollar view” is actually worth? Then you’ll definitely want to download and listen to this episode of the Bay to Bay Podcast!

Need a residential real estate appraisal in Santa Cruz county? You can reach Kristina via email at coasthomeappraisal@gmail.com, or by phone at (831) 247-7223