Few Low-Rent Units with Rent Control The concept of shadow markets offers a reasonable explanation of why the results of rent controls are so perverse and why they lead to a sense of helplessness and panic in a rent-controlled population. Although rent controls are widely believed to lower rents, data I have collected from eighteen…
DetailsWhen considering a Delaware Statutory Trust (DST) property for a 1031 exchange, investors and their CPAs must also consider the tax treatment of DST properties. This article gives a brief overview of the various Delaware Statutory Trust tax treatment and DST taxation topics that investors should understand and go over with their CPA and tax attorney prior…
DetailsThe Big Show You’ll want to mark your calendars for the FREE “Million Dollar Trade Show and Landlording Conference” next month where we’ll be giving away an iPad and 5-day cruises. The show will be held on Thursday, October 25th at the Los Angeles Convention Center in West Hall B, 1201 N. Figueroa!
DetailsAs an owner of small properties and a fee manager of other small property owners, I have become aware of the special hazards that can devour a small owner. When property management is not your full-time occupation, it can be very difficult to keep up with all the details that can affect your property. I…
Details[AOA: The following will not happen to you when we defeat Proposition 10!] One afternoon, a few years ago, I received a call from a guy inquiring about my company’s property management services. His said his name was Will Wright (name changed for privacy reasons) and that he owned a fourplex in Santa Monica, CA…
DetailsIn 1986, California voters passed a new law by a direct ballot initiative to address growing concerns about exposure to toxic chemicals: Proposition 65 – The Safe Drinking Water and Toxic Enforcement Act of 1986, best known as “Prop 65”. The first statutory requirement of this law protects drinking water sources from substances that…
DetailsIf you’ve missed some of the prior articles, basic guidelines on successful investing are in my book “Stairway to Wealth” available at LuLu.com. Continued from Part 34 – Supply: Elastic vs Inelastic There are two different kinds of supply. They are distinguished by how scarcity affects their prices. “Elastic” supply can be increased or decreased…
DetailsLast July, we wrote a column regarding the foolishness of Senate Bill 2, a new $75 tax on real estate recordings, ostensibly for the purpose of funding housing programs. We pointed out that imposing a tax on real estate transactions to pay for programs to make housing more affordable is like treating someone with a…
DetailsJune 28 was the final day to withdraw the misnamed “Affordable Housing Act,” which repeals Costa-Hawkins and opens the door for local legislative bodies to expand rent control and preside over the demise of rental housing, particularly for us small property owners. It is essential that this measure on the November 6 ballot be defeated.…
DetailsHello everybody. With all the recent changes in resident manager law, it is difficult even for us lawyers to keep abreast of them. My column this month will address a number of the 2018 changes and other important aspects of California law pertaining to on-site managers.