Beach Cities of Los Angeles Residential Income Report

Let's begin with 2017 residential income listings and sales in Redondo Beach.
Active Listings: There are currently nine residential income properties for sale in Redondo Beach ranging in price from $1,595,000 to $7,200,000.
Pending Sales:  Nine Redondo Beach income properties are in escrow with accepted offers.
2017 Sales Y-T-D:  44 Redondo Beach residential income property sales were recorded as of 10/26/2017 per MLS records.

Hermosa Beach Residential Income Report for 2017:
Active Listings:  There are seven Hermosa Beach residential income properties listed for sale ranging in price from $1,659,000 to $5,195,000.
Pending Sales:  Two Hermosa Beach residential income properties are in escrow with accepted offers.
2017 Sales Y-T-D:  19 Hermosa Beach residential income property sales were recorded as of 10/26/2017 per MLS records.

Manhattan Beach Residential Income Report for 2017:
Active Listings:  Seven Manhattan Beach residential income properties are for sale ranging in price from $2,099,000 to $7,895,000.
Pending Sales: Four Manhattan Beach residential income properties are in escrow with accepted offers.
2017 Sales Y-T-D:  As of 10/26/2017 24 Manhattan Beach residential income properties have sold per MLS records.

If you're considering investing in residential income property, the Beach Cities offer an excellent location with a ready supply of renters who want to live the coastal beach lifestyle.

 Norma Toering Broker/Owner 310.493.8333

All in a Real Estate Day

This article was written in 2013, but it encompasses the broad range of properties and locations Charlemagne International Properties covers as we go about our daily real estate lives.

Norma Toering & Team specializes in luxury homes, vacation homes, and income property.  Yesterday was a banner day for our business specialties.  We had a strong showing on our luxury home listing in Hermosa Beach, our offer on an eight-unit apartment building was accepted (after 30 long days of negotiations, rejection and finally resurrection–I’m tenacious), and we wrote an offer for a second home in a private beach community.  I won’t mention the sleep I did not get, as I spent my evening into the night hours negotiating the beach house offer as well as an offer received on vacant land.  Ahh yes, it does remind me of the pre-recession housing market, and it’s good to have it back.

My real estate niche specialties evolved over time.  Gradually, more of my clients from years past moved up to larger homes and I became knowledgeable about the luxury home market in Palos Verdes and the beach cities of Manhattan, Hermosa and Redondo. A few years later many of the same clients decided they wanted a weekend or summer place either in the desert, the mountains or most popular, the beach.  Their expanding real estate collection often included the addition of income-producing properties to their investment portfolio.

My clients are often the catalyst for my expanding real estate horizons and expertise.  My knowledge about rent control, cap rate, internal rate of return and so much more was client driven to help them make savvy income property investments.  I attended a three-day luxury home seminar to be up to date on marketing luxury homes internationally.  When a client wanted to purchase a desert property I spent a weekend attending open houses in 110-degree weather–call me crazy, but after studying the comparable sales and listings online, viewing photos and locating them on Google Maps, I still wanted to see the homes with my eyes.

I owe my clients a big thank you for helping me expand my real estate knowledge and business.  I’m not sure where this business will take me next, but I’m an adventurer, so I’m eagerly anticipating the next new avenue I’ll venture down in real estate land.

Since writing this article, I’ve sold luxury property in Pasadena, CA, Palos Verdes Estates and Rancho Palos Verdes. I’ve sold fixer properties, beach homes, income properties, oceanfront condos, and the list goes on. I have no idea where the day will take me as I continue the adventures of real estate and life.

Photographs of a few of my recent luxury sales

Norma (310) 493-8333

South Bay Los Angeles Income Property

 

The South Bay of Los Angeles has residential investment units in most cities. Units occasionally come on the market in Palos Verdes, and units in the Beach Cities tend to get snapped up fairly quickly. Torrance is still very popular with investors.

The LA City rent control rules in San Pedro/Wilmington/Harbor City are a factor in keeping those areas competitive and as a result, the lower prices attract many first-time investors.

Income property of all types remains in high demand along the coast of the South Bay. Investors are going after the 4+ unit buildings, while owner-occupants and tear-down builders are focused on duplex and triplex listings.

For more information on income property in the South Bay of Los Angeles. - Norma Toering 310-493-8333 Broker Owner at Charlemagne Intl Properties

Buying Condos and Vacations Properties in Southern CA

Are you considering purchasing real estate as an investment? If so, you might want to consider buying a waterfront condo or perhaps a vacation property in the desert or mountains.

Southern Californians are fortunate to have the coast, the mountains, and the desert within a two to three-hour drive. That's still close enough to visit (or vacation) if the need or desire arises.

Condos do have the added convenience and expense of Homeowners Associations.  HOAs serve as a third-party watchdog for owners. They also reduce the number of maintenance responsibilities owners must bear. Unlike a single-family home or a multi-family apartment building requiring exterior upkeep, most condo associations cover gardening, exterior maintenance and overall upkeep of the buildings and grounds.



With more retirees moving to condos in a resort or urban area, and the return to the city by many young professionals, I expect the need for upscale rentals in such areas to grow.

Norma Toering 310.493.8333 or Norma@CharlemagneProperties.com

Coastal Income Units in the South Bay of Los Angeles

I have a client who is in the market to invest approximately $5MM in real estate. He is selling a commercial building and wants to roll the proceeds over into another property. Simple enough.

The dilemma he faces is where to make a long term investment that will require minimum management but provide a decent return on investment. Retail seems like a high-risk venture with the disruption online shopping is creating in the industry. Will gas stations become a thing of the past as the 21st-century advances? As the economic climate changes so do an investors' goals and guidelines.

One thing is certain; people will always require a roof over their head. Housing is here to stay, and the price continues to rise both for purchases and rentals. I recently read over 50 percent of Los Angeles housing units are rentals. Homeownership is simply out of reach for many.

While it's true many people live in rental properties because they cannot afford to purchase, some renters opt to live in a luxury rental for the carefree lifestyle as well as the mobility of a lease over needing to sell a property when it's time to move on to a new job or life adventure.


The growing number of renters ensures the rental market will continue to support investors who choose to invest in multi-family luxury properties in the South Bay of Los Angeles.



Questions? 310.493.8333

California Real Estate Updates and Changes for 2017

2017 Real Estate Changes and Updates for California

I attended the Palos Verdes Board of Realtors March Breakfast meeting yesterday. Although breakfast was delicious, my primary reasoning for being there was to hear Gov Hutchison, California Association of Realtors’ attorney, speak regarding trends and changes reflected in California laws and real estate forms. Here are the latest updates:

1.  There’s a new bedbug form. Yes, those little critters have arrived in our Golden State.  The new disclosure form states landlords must disclose if the property was inspected for bedbugs, and if so, the results of said inspection.  Tenants must tell landlord if the rental property becomes infected; landlord must address issue and eviction of the tenant is not allowed.
2.  Carbon Monoxide/Plumbing form is now mandatory. Low-flow plumbing fixtures are required; it is seller’s responsibility to disclose whether such upgrades are in place. If the plumbing upgrades are not in place, expect it to become a point of negotiations during the sale.
3.  Effective January 2018 real estate license numbers are required to appear on signs, websites, and all marketing.

Other timely tidbits of useful information:

Income units are moving toward individual water meters; they are required in new construction. There is a new Water Meter form for use in the sale of income property.

Landlords cannot discriminate due to applicant’s criminal record (within reason), nor refuse because tenant does not speak English.  The landlord should request the tenant have a translator of tenant’s choice.

A new rental rule is a smoke detector is required in every bedroom–one in the hallway will not suffice.  Many local city ordinances have required this for some time.

The housing shortage in California is generating some relaxation in the zoning for two-on-a-lot requirements.  Granny Flats and Tiny Houses are growing in popularity. State guidelines override some city restrictions.

I’m glad I spent the morning receiving an update on new laws and changes in my industry. It’s one of the many ways I bring value and expertise to my client’s transactions. Norma Toering broker/owner of Charlemagne Int’l Properties independent real estate firm.  310.493.8333 or Norma@CharlemagneProperties.com

About the Author: Norma Toering

Norma Toering is the broker-owner of Charlemagne Intl Properties a boutique real estate company in Los Angeles. She has been a local South Bay real estate agent since 1992. Norma is the most well known & award winning real estate blogger in Palos Verdes. Forbes magazine consulted Norma on Palos Verdes property values when compiling their Forbes 400 list. Cell: 310.493.8333

Where Should I Invest $1,000,000?

That's the question I'm going to work on this weekend.  I hope to be able to provide several viable options for several clients who are ready to expand their real estate portfolios.

The answer is easy if the prospective buyer is a first time home buyer, as owning your own home provides several benefits in addition to providing shelter.  Once the primary residence is in place, and perhaps even the move-up residence, it becomes a matter of personal choice as to what real estate vehicle best fits your real estate portfolio model.  Vacation homes o and income properties are always options.

Although throughout history a great many people made their fortune in real estate, it is not without its risks.  Ask anyone who was trapped "underwater" during the Great Recession, and you will hear one horror housing story after another.  With mortgages larger than the value of their property, many walked away, did a short sale or were foreclosed upon.  Many learned the hard and costly lesson that real estate prices do not always go up.  It was a difficult time in the world of real estate as well as the overall economy.

Real estate is a market, and like the stock market, today's prices do not reflect tomorrow's value.  The secret sauce is location, and there is nothing new about that.  However, it is wise to investigate why one location is superior to another even though they may be within the same general geographic neighborhood.  The sub-categories of location are view ( buy one if you have the option).   Another location factor is proximity to amenities such as shopping and dining, schools, freeways, public transportation (close enough to keep commutes easy, but far enough away to avoid noise and pollution), and perhaps the most difficult to project--future growth and value potential.

Every savvy investor would like to get in on the ground floor of the next trendy neighborhood, the deal of the decade and so on.  The key to identifying real estate opportunities is first to know what's happening in the communities of interest and watch local trends.  One of the driving forces of today's rental market is more young people are delaying the purchase of their first home.  This translates to a higher demand for rental units in urban and beach locations as this is where young professionals want to live.

On the other hand, suburban areas with top-rated schools will attract renters who do not purchase due to affordability or other personal factors but still want their children to enjoy the benefits of the best education they can provide.  I've leased many Palos Verdes homes for this exact reason.

Income producing property in a highly sought-after neighborhood may not be offered at a bargain price, especially if in a coastal location, but chances are there will be a growing demand for such properties.  This translates to increase in value (equity building) and a low vacancy rate--both positive factors from an investor's point of view.

If you're in the market to purchase income property or a second home, I would be honored to discuss your investment goals and help you meet them.

Norma Toering - Broker/Owner of Charlemagne Int'l Properties 310.493.8333 or NormaToering@gmail.com

Beach Cities Residential Income Report--November 2016

The South Bay of Los Angeles is popular with landlords for a variety of reasons; perhaps the top one being real estate prices are high, and that supports an ever-growing pool of renters.  The Beach Cities of Redondo, Hermosa and Manhattan are prime coastal locations for residential income properties. It's a lifestyle many aspire to and although the purchase prices are high there are a surprising number of rentals available near the beach.

Let's begin with a market update for Redondo Beach's residential income properties:

8 Residential income properties are currently for sale in Redondo Beach.

6 Redondo Beach residential income properties are in escrow with accepted offers.

41 Redondo Beach residential income properties sales have been recorded year-to-date.

Hermosa Beach residential income property report:

30 Hermosa Beach residential income properties have sold year-to-date as of November 17, 2016.

6 Hermosa Beach residential income properties are in escrow with accepted offers.

4 Residential income properties are currently for sale in Hermosa Beach.

Manhattan Beach residential income property update:

13 Manhattan Beach residential income properties are currently for sale.

2 Manhattan Beach residential income properties are currently in escrow with accepted offers.

19 Residential income properties have sold year-to-date in Manhattan Beach.

For more information about residential income properties in the Beach Cities of the South Bay of Los Angeles contact Norma@CharlemagneProperties.com or 310.493.8333

Photos taken by Norma Toering while out and about in the gorgeous Beach Cities.

South Bay of L.A. Residential Income Property Report--October 2016

From the Beach Cities to the Los Angeles Harbor in San Pedro, here is your residential income October 2016 Report.

There are 132 income units listed for sale in the South Bay.  77  units are in escrow, which indicates a very active market and less than two months of available supply.

Two to four unit building still dominate the available market in the South Bay at approximately 75% of the local apartments for sale.

Available income units by city (non-c0mpliant units are not reflected)

• Palos Verdes – 0 ( A PV condo is listed in this category, but it is not multi-family)
• Manhattan Beach – 13
• Hermosa Beach – 7
• Redondo Beach – 7
• Torrance – 12
• Lawndale – 8
• Lomita – 3
• Harbor City – 2
• San Pedro – 49
• Wilmington – 15
• Gardena – 14

383 South Bay of Los Angeles residential income properties have sold year-to-date in 2016.

The fourth quarter is a smart time to purchase income properties--seasoned listings with a high number of days on the market may have sellers who want to move the property before the end of the year.  Sellers, many buyers are out shopping for a property they want to add to their income portfolio before the new year.

For more information about selling or buying residential income in the South Bay of Los Angeles contact Norma@CharlemagneProperties.com or call me at 310.493.8333 to discuss your wants and needs.

 

South Bay of Los Angeles Coastal Residential Income Market Report

Here's a September 2016 update on sales and listings of residential income properties for several South Bay of Los Angeles coastal cities:

Redondo Beach:  11 Residential Income properties are currently listed for sale.  Year-to-date 22 Redondo Beach income properties have sold per MLS records.

Hermosa Beach:  22 Hermosa Beach income properties closed escrow YTD per MLS records.  There are seven Hermosa Beach residential income properties currently listed for sale.

Manhattan Beach:  13 Manhattan Beach income properties closed escrow in 2016 as of September 13.  There are 12 Manhattan Beach residential income properties listed for sale.

Torrance:  15 Residential Income properties are currently listed for sale.  Year-to-date 32 Torrance income properties have sold per MLS records.

San Pedro:  47 Residential Income properties closed escrow in 2016 YTD.  49 San Pedro residential income properties are currently available for sale.

Palos Verdes Peninsula:  No multi-unit residential income properties are currently for sale. Per MLS records, no Palos Verdes residential income properties have closed escrow in 2016.

Coastal income properties can be quite pricey, but the option to purchase a single condo is often a good way to participate in the residential income market. For more information about coastal South Bay of Los Angeles income property in areas of interest to you, contact Norma@CharlemagneProperties.com or 310.493.8333.

Palos Verdes-- Residential Income Units

Residential income properties are rare finds on the Palos Verdes Peninsula, but once in a while, one will come on the market. The largest concentration of multi-family income properties is the prestigious Malaga Cove neighborhood in Palos Verdes Estates along Via Campesina.  A few residential income properties are scattered throughout the Palos Verdes area.

It's not surprising there are currently no Palos Verdes income properties listed for sale on the MLS. Although when a Palos Verdes income property comes on the active real estate market, expect high interest and multiple offers.   :)

The good news is the neighboring cities of Redondo Beach and Torrance have a much larger supply of income properties for sale.   For more information on income property in any of the neighborhoods in the South Bay of Los Angeles contact ToeringandTeam@gmail.com.

Beach Cities of the South Bay of Los Angeles Residential Income Property Report--July 2016

Beach Cities Residential Income Property Report–July 2016

Redondo Beach:

There are currently six Redondo Beach residential income properties for sale.

Eight Redondo Beach income properties are currently in escrow with accepted offers.

Twenty-two residential income properties have sold year-to-date in Redondo Beach.

At the current rate of absorption, Redondo’s supply is extremely limited, and demand remains high for premium coastal income producing properties.

Hermosa Beach:

There are currently ten Hermosa Beach residential income properties for sale.

Thirteen Hermosa Beach income properties are currently in escrow with accepted offers.

Thirteen Hermosa Beach residential income properties have sold year-to-date.

13 seems to be the lucky number for Hermosa Beach’s income producing residential properties.  Given these figures, it is clearly still a strong sellers’ market in Hermosa Beach’s residential income properties real estate market.

Manhattan Beach:

Ten Manhattan Beach residential income properties are currently for sale.

There are currently two Manhattan Beach income properties in escrow with accepted offers.

Twelve Manhattan Beach residential income properties have sold year-to-date.

The Manhattan Beach income property inventory reflects a cooling market as there is approximately a 4-5 month supply of residential income properties available at the current rate of absorption.

South Bay Income Property - June 2016

There are 132 income properties on the market in the South Bay. This month's price range is from $300,000 for a short sale duplex in Wilmington to $7.4M (reduced $300K) for a 7 unit building in Hermosa Beach.

This is almost the same inventory level as May.

87 units are in escrow, which indicates a very active market and about 1.5 months of available supply. In May there were 48 apartment buildings sold. The highest sales price was $4.5M for a triplex in Manhattan Beach.

Two to four unit building still dominate the available market in the South Bay at over 79 bggh% of the local apartments for sale.

Available income units by city:

• Palos Verdes - 0
• Manhattan Beach - 6
• Hermosa Beach - 14
• Redondo Beach - 5
• Torrance - 10
• Lawndale - 9
• Lomita - 6
• Harbor City - 4
• San Pedro - 42
• Wilmington - 15
• Gardena - 10
• Carson - 2
• El Segundo - 1

South Bay available income units by type/size:

• Duplex - 57
• Triplex - 28
• Fourplex - 20
• 5-8 Unit Building - 17
• 9-19 Unit Buildings - 5
• 20+ Units - 1
• Details not provided or non-code compliant "rental" units - 3

If you'd like more information on any of these apartments for sale, just let us know.

Josh Toering, REALTOR at Charlemagne Intl Properties
310-525-9440 or email us

Need a top agent to help with your South Bay real estate?  Give us a call.

Redondo Beach Income Properties

The beach cities remain the hottest market for income units in the South Bay. While the water frontage areas have had amazing jumps in value, we're still seeing some appreciation plays in North Redondo.

 A fourplex on Curtis was listed this week for $1,625,000. This one not only has the appreciation potential we're continuing to see in Redondo, but the mix of 2 bedroom and 3 bedroom units are rented out under market so there is also upside in upgrading those to current rental rates. Would you like more information on this building or other income properties in the South Bay? Give Josh a call.

• Josh Toering, Agent at Charlemagne Intl Properties
• 310-525-9440

South Bay Income Property - May 2016

There are 134 income properties on the market in the South Bay. This month's price range is from $300,000 for a short sale duplex in Wilmington to $7.7M for a 7 unit building in Hermosa Beach.

Even with a busy sales market, we did pick up about 30 more apartments for sale this month.

96 units are in escrow, which indicates a very active market and about 1.4 months of available supply. In March there were 34 apartment buildings sold. The highest sales price was $5.3M for a 6-plex in northern Manhattan Beach.

Two to four unit building still dominate the available market in the South Bay at over 79% of the local apartments for sale. Quite a few larger buildings came on this month though, as that is a 6% change in ratio from April.

Available income units by city:

• Palos Verdes - 0
• Manhattan Beach - 8
• Hermosa Beach - 12
• Redondo Beach - 3
• Torrance - 7
• Lawndale - 11
• Lomita - 3
• Harbor City - 4
• San Pedro - 42
• Wilmington - 16
• Gardena - 12
• Carson - 6
• El Segundo - 1

South Bay available income units by type/size:

• Duplex - 55
• Triplex - 29
• Fourplex - 22
• 5-8 Unit Building - 19
• 9-19 Unit Buildings - 4
• 20+ Units - 3
• Details not provided or non-code compliant "rental" units - 2

If you'd like more information on any of these apartments for sale, just let us know.

Josh Toering, REALTOR at Charlemagne Intl Properties

310-525-9440 or email us

South Bay Income Property - April 2016

There are 104 income properties on the market in the South Bay. This month's price range is from $339,000 for a triplex in San Pedro (rented out under-market) to $7.65M for a 20 unit building in northern Redondo Beach.

Quite a few income units accepted offers in the last month which has dipped the inventory a little. The Beach Cities in particular had many apartments go into escrow, so the available inventory in those cities dropped by half or more.

86 units are in escrow, which indicates a very active market and about 1.2 months of available supply. In March there were 27 apartment buildings sold. The highest sales price was $5.15M for a fourplex about a block off the Strand in Manhattan Beach.

Two to four unit building still dominate the available market in the South Bay at over 85% of the local apartments for sale.

Available income units by city:

• Palos Verdes - 0
• Manhattan Beach - 3
• Hermosa Beach - 2
• Redondo Beach - 2
• Torrance - 6
• Lawndale - 8
• Lomita - 6
• Harbor City - 4
• San Pedro - 39
• Wilmington - 14
• Gardena - 12

South Bay available income units by type/size:

• Duplex - 46
• Triplex - 26
• Fourplex - 16
• 5-8 Unit Building - 12
• 9-19 Unit Buildings - 1
• 20+ Units - 1
• Details not provided or non-code compliant "rental" units - 1

If you'd like more information on any of these apartments for sale, just let us know.

Josh Toering, REALTOR at Charlemagne Intl Properties
310-525-9440 or email us

Just Listed - Duplex in Wilmington CA

Wilmington, CA is a “hot spot” in the South Bay of Los Angeles for income producing properties. Charlemagne Int’l Properties recently listed a side by side duplex on Ravenna Avenue, and this upgraded property will make a savvy addition to most rental income portfolios.

1111 & 1113 Ravenna Ave, Wilmington CA

• $365,000 listing price
• Two one bedroom, one bath units. One unit has remodeled kitchen. Some appliance upgrades.
• Garage with two spaces.
• 1152 sq.ft. building
• 3630 sq.ft. lot
• West Wilmington location is one of the highest demand rental areas of the city.

Each unit is one bedroom with interior laundry area and one space in the two-car garage. One unit’s kitchen was recently remodeled with new cabinetry, granite counters and stainless appliances. The other unit is upgraded with stainless appliances as well.

Income – One unit will be delivered vacant at close of escrow, so you can choose your tenant and rent rate.

• Proforma annual gross rental income – $24000
• 1 Bed/1 Bath rent – $950/month current rent
• 1 Bed/1 Bath rent – $1050/month (proforma based on actual offers from prospective tenants)

Call us soon, this one won’t last!

Josh Toering, Realtor at Charlemagne Intl Properties
ToeringandTeam@gmail.com or use our contact form
310-525-9440

Side by side one-bedroom units with laundry hook-ups inside.

Each unit gets a garage space.

Nice detail features inside.

Side access to the garage.

Updated bathroom