News


Projects, opportunities and real estate industry news

Impending Initiatives Impacting the Value of Your Multifamily Investments Potential Repeal Of Costa-Hawkins in the upcoming election. Costa-Hawkins essentially allows landlords to rent their vacant unit at market rate. If this were to go away, any upside potential in your multifamily investment would evaporate. Read more below. SB721 - this law has been around for a few years already and...

The recent onslaught of heavy rainstorms in San Diego County has left a trail of destruction, prompting local officials to take swift action in aiding affected communities. However, amidst efforts to provide relief and assistance, a storm-related emergency ordinance passed by the San Diego County Board of Supervisors has ignited a contentious debate, particularly within the realm of housing rights...

San Diego's apartment rental market, which has been grappling with a six-month downturn, saw a glimmer of hope in January as rents trended upwards for the first time since June 2023. This marginal increase of 0.2% may seem slight, but it marks a notable shift in a market that has experienced consistent declines, hinting at potential changes in the narrative...

Fannie Mae's recent policy overhaul significantly slashes down payment requirements for multifamily homes, dropping them from the previous 15-25% range to just 5%, effective after November 18, 2023. This broadened policy encompasses various loan types, enabling larger loans up to $1,396,800 for these properties. This aims to make owning multifamily properties more accessible, especially for first-time buyers or those looking...

Enclosed is the Market Trends Report for September 2023, showing 10 years’ worth of sales metrics for San Diego County Multifamily. We're hitting the third quarter of consecutive, historically low Sales Volume at $396-$404M for Q1-2023-Q2-2023 and $380M to-date for Q3-2023. To put the trends in perspective, Q2 2020 was at $377M in volume and Q3 2020 at $344M volume during...

San Diego County Multifamily Report - August 2023 Please see the links below to download the latest Monthly Multifamily Report for San Diego County. Sales volume looks to be trending towards the lowest volume since 2013/2014; price per unit is trending lower since it's high in 2022 and cap rates are continuing their upward trend since their 2022 low. 5 and...

A 1031 exchange, named after Section 1031 of the Internal Revenue Code (IRC), allows real estate investors to defer capital gains taxes by swapping one investment property for another. However, understanding the rules and implications is crucial before attempting a 1031 exchange. Here is a breakdown of key points to look out for: What does it do? A 1031 exchange enables investors...

San Diego has recently enacted stricter tenant protection laws that surpass the state's AB 1482 regulations. These new laws impose greater responsibilities on landlords and limit tenant evictions. This article provides an overview of the key aspects of the new tenant protection ordinance and its impact on landlords and renters in San Diego.Stricter Regulations:The San Diego City Council approved new...

Rents have increased, showing a 0.5% improvement through a T3 basis from April, as seen in the graph below. The San Diego metro average is $2,699, while the average in the U.S. is at $1,709. Year over year San Diego saw a 6.3% increase in rates while the U.S. saw an increase of 3.2%.San Diego’s unemployment rate has continued to...

The City of National City is undergoing a Focused General Plan Update (FGPU) and Climate Action Plan (CAP) Update. The update includes the implementation of a new residential density bonus program called House National City, which is based on the floor area ratio (FAR). The General Plan serves as the guiding document for the city's future development, and the last...

The Federal Reserve's policy-making committee has voted to raise its target rate by 25 basis points, marking the 10th consecutive rate increase and bringing the policy rate to between 5% and 5.25%. The decision was unanimous, but the statement removed language suggesting that ongoing increases would be appropriate, indicating that a pause in further rate hikes may be coming. The...

The average multifamily asking rent in the US went up $3 in March to $1,706. The national asking rent growth turned positive for the first time in 4 months. With this being said, nationally the year-over-year growth actually dropped to 4%. With the collapse of several banks making the financial markets unpredictable at the moment, the multifamily market has remained relatively...

According to CoStar data, property prices in the US are falling at the fastest rate since the Great Recession, partly due to the Federal Reserve's decision to raise interest rates eight times in the 12 months through February. The decline stems from commercial real estate investors closely watching economic developments, causing a ripple effect that is flattening the growth of...

Commercial property insurance prices have been on the rise everywhere, especially in the climate-affected states. These are the states that deal with frequent extreme weather events such as wildfires, hurricanes, or blizzards. Because of these larger increases in insurance price, it is starting to become an issue for commercial property owners to both start new developments or to try to...

Throughout the pandemic multifamily owners in California saw a 2-year delay in physical and economic terms. With situations like this, this can play into why SB721 was put into place. Through SB721 California multifamily owners must have their balconies inspected and there are now deadlines for this. The first deadline is to have balconies inspected before or by January 1,...

Throughout the past two-and-a-half years, we have seen asking multifamily rents climb at the fastest pace on record, at 21.7%. But with this, the asking multifamily rents have now fallen month-over-month for the first time since May 2020. The Fed has been aggressive with rising interest rates to combat inflation. These rising rates will eventually take its toll on the...

760-929-7846

evb@lee-associates.com

1902 Wright Place, Suite 180
Carlsbad, CA 92008, USA

Subscribe for Inventory & Reports