Welcome to Curbed Comparisons, where we explore what you can rent or buy for a certain dollar amount in various LA ’hoods. We’ve found five homes and condos within $10,000 of today’s price: $529,000.
Hyde Park
This Spanish-style bungalow built in 1929 is fresh off a fashionable flip. The residence holds two bedrooms and two bathrooms in 747 square feet and sits on a tiny 1,690-square-foot lot, with a sliver of yard space and an attached one-car garage. Inside, the dwelling features barrel ceilings, a fireplace, picture window, open floor plan, new windows, and its original front door. The asking price is $529,000.
Long Beach
This fixer needs a lot of TLC, but is centrally located in Long Beach, off Redondo and Anaheim. Coming in at 1,100 square feet, it holds two bedrooms and one bathroom on a 4,781-square-foot lot, which also holds a two-car garage. It has a sweet front porch, moldings, and built-ins. The price tag is $519,000.
Hyde Park
Also in Hyde Park, this 1,355-square-foot house is positioned on a larger 6,075-square-foot lot with a grassy yard and a detached garage. Marketed as a “diamond in the rough,” it needs a little sprucing up, but it has some charming 1920s character to work with, including arched entryways, a tiled fireplace, and molding throughout. The asking price is $529,000.
Pasadena
This small 1960s complex (named The Odyssey) is an easy stroll to all of the shops and restaurants on Colorado Boulevard. One of its 16 units was flipped over the summer and is now available. Measuring 958 square feet, the two-bedroom, one-bathroom has new floors, recessed lighting, and quartz countertops and stainless steel appliances in the kitchen. Other features include a balcony and in-unit laundry. After selling for $380,000 in June, it’s listed at $525,000, with HOA dues of $450 monthly.
Hollywood
In Melrose Hill, a 1920s fourplex has been converted into a tenancy in common property. This two-bedroom, one and a half-bathroom comes in at 1,000 square feet. Newly remodeled, it sports wide-plank wood floors, a brick fireplace flanked by built-in shelves, and shaker cabinets and quartz countertops in the kitchen. Just west of Western, near Hollywood Forever, Paramount, and Larchmont Village, it’s listed at $539,000, with monthly HOA fees of $300.
Comments
I picked Pasadena over Hollywood only because until I’m more comfortable with TICs and hear from more homeowners who have them I’m going to shy away from them. Let the beta testers discover the pitfalls. Also, in unit laundry
By mrjim1 on 10.28.19 12:00pm
I was the same. It definitely looks like the best of the bunch, but TICs still seem like such an unknown.
By CaliSon on 10.28.19 4:59pm
TICs in 1920s four-plexes have plenty of room for an in unit laundry. They generally have a large kitchen as well as a service porch. i own one of these beautiful fourplexes. I combined the service porch with the kitchen so all my tenants have can washers and dryers in their huge kitchens. The units in mine are 1200 sq ft, as big as a bungalow.
By lahope on 11.01.19 11:09am
The place in "Hollywood" is super cute. Just curious about that location…
By Anthony Espardelahti on 10.28.19 2:35pm
The Hollywood condo looks terrific. Might be worth taking a flyer and investigating the tenancy in common issue during the escrow inspection period.
By BingoWest on 10.28.19 2:36pm
Just discovered the Hollywood TIC has an in-unit laundry. I really like it for the money and actually all four are for sale, but I would have to seriously study that TIC before making a commitment
By mrjim1 on 10.28.19 2:57pm
Buy all 4 units and call it a day.
By subaruwrx on 10.28.19 3:15pm
Not the worst idea, 2.3 million you live in one and rent out the other three
By mrjim1 on 10.28.19 3:19pm
Yup, I’d guess you’d get around 2700 a month around there so you’d only be a few hundred shy of the monthly payment if you rented the other 3. Not inc taxes, maintenance or the 460k down payment of course.
By Jungun on 10.28.19 5:31pm
What $529K buys in San Francisco:
By keenplanner on 10.28.19 2:52pm
In-unit laundry! Commute!
By Necco on 10.28.19 4:23pm
Hands down the diamond in the rough. Great original 1920s details. Dining room. Ample space to expand in the back. Room for a pool. The garage can become an ADU. Nice house and a bargain in a gentrifying neighborhood.
By anthon40 on 10.28.19 4:40pm
Agreed. It has the best potential. And you don’t have to fix everything immediately if you don’t have the funds as long as you don’t mind living in a place that’s not 100% the way you want it for a few years.
By mrxman on 10.28.19 6:11pm
That condo in Hollywood is a gem. I love it.
By S.M.P on 10.28.19 7:53pm
Hollywood looks fantastic. In LA, nothing beats old, charming and ready to move into. I have a feeling we will be seeing a lot more TICs. $539k seem like a great price.
By calzada on 10.28.19 8:49pm
I’d be anxious to hear from people who have TICs as to how they are to get/live with/resell etc.
By mrjim1 on 10.29.19 10:14am
Probably not much resale history as TICs are new in LA. I only see older character units coming to market this way, which goes to show you how much more desirable a vintage anything is than a newer unit.
I think the best approach for a landlord would be to go in, make major repairs/improvements like a plumbing re-pipe, new electrical etc. and start selling off the units as tenants move out, and as you need to, if you own the building free and clear. Write all that stuff off.
Until he gets rid of them all, he has folks to share in the costs for maintenance/repairs. The capital gains tax would be less than what it would be if he sold the whole building. The owners in the TIC are going to be great "tenants" and have no problem tattling on someone who isn’t. A good deal for the owner and tenants too, no one gets evicted.
A cool thing for a landlord with a mortgage, and a building that doesn’t need major repairs, would be to sell off one (or two) of the units and use that to pay off the loan, especially if it’s an adjustable that could skyrocket down the road.
He gets 25% less income (on a 4-plex) but doesn’t have the mortgage payment on the building or the expenses on that unit. If he wants/needs cash for something else he can easily sell off another unit when the next guy moves out or he can trying doing a buy-out. Wait for the boom times to sell and enjoy built-in demand during recessions when more people want/need to rent.
Financing is probably a hassle but firms who specialize in TICs are starting to pop up in LA. I imagine TICs need a longer than average escrow period to figure everything out but, overall… maybe better than Ellis-ing these days?
By calzada on 10.29.19 2:29pm
You have some interesting thoughts, that’s why I’d like to hear from those with actual practical experience with TICs
By mrjim1 on 10.29.19 6:01pm
Me too but I doubt there is much practical experience in LA. A guy from NYC said TICs have been around for 50 years and are basically the same as condos, except for how you hold title in the building. He said the sales were 50/50 condos to TICs (he called them co-ops).
It would be great to hear from an attorney who specializes in TICs. From a buyer’s viewpoint it shouldn’t be much different than buying/owning a condo, if owner-occupied. I know the effect of rent control is tricky and in the few TIC listings I’ve seen the agents go out of their way to disclose that rent control rules apply.
From a landlord’s viewpoint the big benefit would be being able to take out cash without having to refinance or sell the whole building.
I love the idea because it will give Millennials the chance to own something old and charming. Until now that meant spending $$$ on an old house because the only way you could occupy an old unit was to rent it.
By calzada on 10.29.19 10:50pm
I hope we see a lot more of these TICs. I own a charming 1929 four-plex and a couple of duplexes on a beautiful street in a neighborhood that is a mix of four-plexes, duplexes and single family bungalows. I would rather preserve my buildings by turning them into TICs than sell to a developer. I hope this becomes a trend so young people who don’t want to live in ugly stucco boxes will have an alternative to renting and perhaps will be able to get their friends and family together to buy these and save them from the wrecking ball. They are incredibly liveable and gorgeous if properly maintained.
By lahope on 11.01.19 10:54am
I know all about TIC’s. Here are the problems: 1. you’re almost always living in the home of someone who was forced out by a greedy speculator. The karma is awful. 2. You’re married to your neighbors. And nobody knows how disputes are settled. There’s no precedent. 3. VERY limited borrowing options. Two banks total know what these things even are and they don’t offer fixed rate mortgages. 4. No proven resale value. Nobody knows if TIC’s will stand the test of time. Housing law is changing fast. Do you want to own some weird piece of paper that may not be recognized in two years? TIC is just another way to reward landlords who displace long term tenants. Don’t buy the hype that it’s helping people enter homeownership. The discounts are small and the risks (and guilt burden) are huge.
By TracyAlan on 10.31.19 12:01am
Thanks, your points are not surprising. This is why buying a condo in a medium to large complex is so preferable. Condos have a board which are designed to deal with maintenance and homeowner issues. Also, the more units you have the less impact it is if one or two homeowners fail to make their HOA payments. These TICs are too small to absorb financial issues if one owner goes bust
By mrjim1 on 10.31.19 6:39am
Unfortunately the alternative is selling to a developer who will displace your long term tenants to build a pricey stucco box, ruining the neighborhood in the process. Be careful what you wish for.
By lahope on 11.01.19 10:58am
Yeah, it’s not like if you wave a wand and make TICs disappear, the only alternative is the tenants just get to stay there forever. And if they start gaining in popularity, it won’t be long until they are codified and more lenders enter into that market. If you’re a tenant worried about affordability in LA, you should be doing two things – advocating for a ton more housing to be built to put downward pressure on prices, and making a plan B to relocate to a cheaper area in the alternative.
By disqusted on 11.01.19 4:19pm
"you’re almost always living in the home of someone who was forced out by a greedy speculator. The karma is awful."
How’s the karma of living on Tongva land working out for you then? I would hate to think you aren’t consistent in your karmic principles!
By disqusted on 11.01.19 4:08pm