Buying land in Joshua Tree

If you are looking to buy real estate in Joshua Tree, buy a turnkey property or a property you can remodel. Buying land is a terrible idea!
Interested in buying or selling your property in Los Angeles? Or if you have any other business inquiries, contact me at: [e-mail]
For more information and to get a curated weekly list of the best investment properties in Los Angeles go to:
www.daviknowsrealestate.com
Instagram: / daviknowsre. .
Facebook: / daviknowsrea. .
In this video I covered:
00:00 Intro
00:50 Why not Palm Springs?
01:50 House hunting
02:45 Planning to build pre-fabricated house
03:50 Issues with finding a lender
04:22 Why it is a bad idea to buy land and build in the desert
06:37 Why pre-fabricated houses are a bad investment
10:02 Utilities & building near Joshua trees
14:00 Yet again without a loan
15:35 Selling the land
Watch more:
Is the housing market going to crash in 2022?:
www.youtube.com/watch?v=z05xq...
What does $2 Million get you in Silicon Beach?:
www.youtube.com/watch?v=2Xuph...
The perfect HOUSE HACK:
www.youtube.com/watch?v=aubKx...
Filmed and Edited by - / katezikranec
#RealEstate #airbnb #joshuatree #buyingland

[@emmas1082]

You are so right about contractors, and in the mountains it is the same thing: they charge more, say they don’t work up here, then if you do find someone they always have an excuse as to why they’re not here working, you do not get the best.

[@DaviKnowsRealEstate]

Unfortunately, I wish it could be better out there

[@10MM-MAGAMAN-420]

Yea it's real easy to get a landscaper in city but in rural area it's really hard and service isn't best and random time they'll show up

[@jeffgent764]

Don’t buy a house out here if you’re hoping to pay the mortgage by using Airbnb or other short term rental apps. Everyone in LA had that same idea and now there’s a glut of vacation rentals and few bookings. If you can afford a vacation home, there are lots of beautifully renovated homes for sale as of 11/23, all are failed Airbnbs. If you’re on a budget, check out nearby Landers, it’s only a 15 minute drive from the Joshua Tree National Park entrance and full of artists and musicians that left LA. 29 Palms has seen a huge influx of hipsters recently, always a sign of impending gentrification.

[@Malibukenn]

I’ve never heard anyone expose the fact that a prefab home or modular home won’t hold value the way a traditional home will. This is vital and alarming information 😳

[@DaviKnowsRealEstate]

I am glad this info was helpful, it’s important for people to know that.

[@samatsaintpierre9889]

finally a person that tells it how it is !! need more of these guys.

[@DaviKnowsRealEstate]

Thank you

[@caseptlabailey9017]

💯💯💯💯💯💯💯💯💯❤️❤️❤️

[@darrenhankner5282]

I live in Joshua tree. I love it. fine. you stay in LA with all its problem. you don't seem too wise. I bought 80 acer of land in Joshua tree. I sold it within 6 months for twice what I bought it for.

[@DaviKnowsRealEstate]

Good for you Darren. You are very wise

[@rudyperez7628]

Hello Darren, I'm thinkin of buying land in Joshua Tree to get away from the big city life on the weekends. I don't plan to build a house, just plan to pull my travel trailer and enjoy mother nature. Would like to get your thoughts about my plan and your recommendation.

[@darrenhankner5282]

@@rudyperez7628 I think it is an excellent idea. same reason I moved here from a suburb outside chicago. it is small town life. a big change but I love it. a 2.5 hour drive gets you into LA or San Diego. I am currently in school here at copper mountain college in Joshua tree for nursing. I say go for it. even land has gotten on the high side here. but always choose a lot that has access to city of Joshua tree water and electric. otherwise a well will run you 40,000 dollars. you will need a septic tank too.

[@l.l.5464]

Great video. The market has softened in JT now (Dec 2023). I was looking in late 2021 to 2022 and thought it was so over inflated by about 100-200K. Now things are down to where they should be and can even go about 50K lower.

[@DaviKnowsRealEstate]

True because Airbnb there is not that profitable anymore

[@hunterscott7592]

All good info, I love JT and own a couple of houses there and a business. All good. However, five years ago I bought land and just ran into so much red tape and costs for utilities, that it’s just sitting for now.

[@rickvenuto8944]

I remember seeing this video I thought it was the ones who bought the property. They built a house that blocked our view finally realize it wasn’t. We have a limited view from our property only from the office upstairs and from one angle, somebody built the house that blocked it very irritating, but understandable. The main view remains unobstructed so far. You mentioned water is probably accessible water out There. Water is huge and very expensive. You’re right, he dodged a bullet.

[@emmas1082]

Excellent analysis.

[@DaviKnowsRealEstate]

Thank you

[@bombaybeach208]

The endless obsession with buying homes to rent them is one of the main reasons why there is such low inventory and super high prices for people who actually want to buy and live in the homes.

[@DaviKnowsRealEstate]

Unfortunately that is not one of the main reasons. Government policies that made it hard for developers to build have a much bigger impact. Rent control which is one of the worse laws ever passed in California and New York have a huge impact on inventory as well, also contributes to higher prices of real estate

[@bombaybeach208]

@@DaviKnowsRealEstate I still maintain the rental craze is a significant part of it. I get calls from people wanting to pay cash for my home and when I press them about it they all tell me they plan to turn it into a rental. The short term rental market is so bad they even had to put a limit on it in Palm Springs, I think it can only be a max of 20% of all homes that can be short term rentals.

[@willjay916]

I think that the couple in the sub video actually lost money on the deal. Although they may have appeared to gain $50K on the land, the Architectural design fees alone were probably in the $60K range. This wouldn't include any other preliminary engineering fees for geotechnical, civil site work etc. that they may have paid and edited out of their video.

[@AbeHomesRodeoRealty]

Great great video, thank you!

[@DaviKnowsRealEstate]

Thank you

[@rickvenuto8944]

I haven’t finished your video yet, but I agree with you don’t buy property there. I don’t think it’s a good investment. First of all we don’t live in the desert we live in Los Angeles county but we own property there that was given to us by our parents. The house across the street from us sold for 630,000 I think it was. Now they’re using this for a short term vacation rental the town of Yucca Valley send us the property management contact information and the owner contact information. I have to say that I am extremely happy with the rentals. We have never had any complaints. However, I cannot imagine how you can recoup this investment while having a property management company take care of it, it just doesn’t seem profitable. I know they’ve had problems with leaks. We’ve had a heavy rain season. I just don’t see how it can make money. But as far as the neighbor goes, I’m happy because if I get a bad neighbor, it’s only for a couple of days and typically we’ve been very happy with the rental people. Nobody has disturbed us. In fact, I think they’ve been beyond good. But as far as a way to make money, I don’t think it’s a good idea. I think it’s a fad that the property values are going to go down eventually. I hope not because I’m a property owner but I just think that was gonna happen.

[@DaviKnowsRealEstate]

Airbnb is definitely safer and steadier in cities like LA for example

[@reyrecks]

Wonder how much the fixer upper they were looking at in the beginning is worth today

[@fragout9575]

As an Architectural Designer, a lot of what you're saying has validity, but it's also vague in nature and should give further information for your viewership. "Manufacturered Homes" are hard to build equity, specifically because they are built on a trailer chassis and typically set on land in which they lease such as trailer parks. They are not attached to a foundation of any kind and a meant to be "movable". There is a bit more information to further validate why they don't build equity, even if not placed in a trailer park, but the basis is the same. "Prefabs/Prefabricated Homes" are built in a manner similar to manufactured homes, but are set onto a foundation in which makes them a true home. They are also built under all of the code requirements like a stick built home as well and have to meet very stringent guidelines above those "manufacturered" homes. Also, while this couple went through process of hiring a design firm, which isn't cheap, that cost of $660k most likely included those costs as well, which is somewhere in the range of 12 to 15% of total construction costs. That could be lower, but that's about the typical cost, but because they were working with an office in london and had to coordinate with the manufacturer here in the states, I'm erroring on the side of higher range. Nevertheless, their upfront costs of that and whatever the down payment the land purchase, and the carrying costs of at least a year and sell of the land, they still walked away with a small profit. On the other hand, had they actually built this project, more than likely, they would have been in the black within at least two years or maybe longer with that property and equity built just from the developed land.

[@WatchMeMsCali]

This was a eye opener sadly

[@jackbandit2164]

Yeah it's a shame how tough it is to build a house on land in California.

[@KosherGoddess]

Great video, honest straghtforward opinion, we def need more of those and I am looking to buy a land in defferent places and for differet purpose, and in my family I have a pro who deals with costruction, and he sais very same thing so I completly agree with the guy. I can't fathom this obsession with Joshua Tree these days, but thats fad mentality. AirBnB is also tricky situation and I am beging to see houses there for sale in Joshua Tree that were clearly AirBnB and now they are selling.

[@DaviKnowsRealEstate]

Thank you for the feedback🙏🏾

[@KosherGoddess]

@@DaviKnowsRealEstate What area you specialize in? Do you have experience with land purchasing?

[@DaviKnowsRealEstate]

@@KosherGoddess Hi I did sell multiple parcels of land. What are you looking for and where? Text me to schedule a call 562-708-4083

[@davegibbs6592]

Love Joshua Tree but would be a nightmare to build there. Much better to buy someone else's dream home IMHO.

[@Constellasian]

Based on your info in this video, is it easier to build/add to a piece of land that already has a property on it? For example, I bought a 3bed/2bath single family house that has 5 acres of land. Is it easier to just add another building on this land compared to a piece of unimproved land?

[@DaviKnowsRealEstate]

That is correct! And if the land is flat its easier too

[@DanKPhotography]

Why are lenders so behind with prefabs and so afraid of them? Prefabs are fast becoming better quality homes vs typical stick build homes. I feel like lenders are still in the mindset that a prefab is of the quality of a mobile home of the 90's, which it is just not. I think in 10-15 years we'll hopefully start to see a normalization of prefabs. Some designs are incredibly beautiful, make it for amazing homes, and are just most efficient to build.

[@DaviKnowsRealEstate]

Great question! Unfortunately we have to follow their guidelines, I agree they are behind but buying a prefab now counting they’ll be able to lend on it in the future is a gamble. At least prefabs that have an attached foundation most lenders should be able to lend on it

[@paigematth3w]

i’m literally glad i watched this video. almost bought land in joshua tree

[@rudyperez7628]

Hello Davi, I'm thinking about buying land in JT just to get away on the weekends from big city life of LA. I don't really plan to built a property out there, just want the land to be able to pull up when ever I want with my travel trailer and enjoy the open outdoors. Do you know if there are any restrictions regarding boon docking on weekends?

[@DaviKnowsRealEstate]

Hi Ruddy, it will depend on the lot but you should be good for the most part

[@NoExperienceRequired]

In San Bernardino County, you can’t do that for more than 4 consecutive days in a 30-day period, and the parcel must be 5 acres or larger as well as being in the RC, AG, and RL land use zoning districts.

[@embededfabrication4482]

@@NoExperienceRequired the only enforce it if people complain no?

[@NoExperienceRequired]

@@embededfabrication4482 I would hope so!

[@carlosvillalta9974]

From what im told if you build it permanent foundation then its real property. But $600k+ is waaayyyyyyyyy to much.

[@ZE308AC]

can you add value to a house by adding trees or a food forest that is sustainable?

[@DaviKnowsRealEstate]

Yes you could, its more of a specific improvement if it costs too much don’t do it. Not every buyer would appreciate that

[@user-ke9yk5qp3u]

A food forest when it's over 105° all through summer and in spring and fall the winds blow 50 miles an hour with huge dust storms that destroy everything in your yard. Just look at all the homes with roof tiles blown off for a hint.

[@edmundogoris2682]

Agree

[@ericsantarsiero9700]

Why exactly would a pre-fab home not appreciate in value the same way a normal house would? Especially if it's an older house, wouldn't that cost more for fixes? Genuinely curious since Joshua Tree seemed like such a cool idea but research is discouraging me.

[@DaviKnowsRealEstate]

Great question! banks and appraisers are not used to prefabs plus legally if on title says its a prefab lenders are weary about it. Any home will need repairs whether its old or new, but older homes zoned as a single family are a no brainer to lend on consequently selling faster and appreciating more.

[@ericsantarsiero9700]

@@DaviKnowsRealEstate okay got it! Isn't that more of a current market perspective though? Is it possible that pre-fab homes will become more normalized and in the future will hold more value than say a home built in 1950's? Just playing devil's advocate for my own knowledge

[@DaviKnowsRealEstate]

@@ericsantarsiero9700 they could but a midcentury modern built in the 50s or an early 1900s home will always be worth more. They are more unique, built with better features and zoned single family. The new homes today are built cheap, especially prefabs to cut cost and make it affordable.

[@davesites893]

👍

[@caseptlabailey9017]

💯💯💯💯💯💯💯💯💯💯💯❤️❤️❤️

[@ezingles698]

RobBuilt made a Fortune cookie

[@DaviKnowsRealEstate]

Yes, and sold it before Joshua Tree became a failure!

[@JR-eq6jz]

He's even greasier looking without that stupid beanie hat on. :)

[@Zek1472]

If he had listened to you he would have missed out on the land appreciation or $70,000

[@staticvideo]

And doing what he said would’ve given them $300k in equity last year on the property they initially looked at.

[@clairego-trasoras]

You’re using this noob as an example to make a generalized bid against desert properties?

[@DaviKnowsRealEstate]

I sold a lot of properties in the desert and know a lot of agents there. Unfortunately they get weekly calls from 'dreamers'

[@jackbandit2164]

I want to buy land, I hate the HOA regulations and fees people charge when you don't own the land. Whats wrong with wanting to owning the land your home is on? The world has become so challenging to live on. Them Joshua trees are taking up land space that could end homelessness in California and make housing more affordable over time from supply and demand. To not be able to build 40 feet from the distance of a Joshua tree is a joke. The worthless laws against land buyers are the only reason their plans didn't work perfectly.

[@DaviKnowsRealEstate]

Its very challenging to build something with all the ongoing building codes and regulations we have today. Its better to have experience so I always recommend people to buy a house first if its their first time looking to buy land

[@jackbandit2164]

@@DaviKnowsRealEstate Buying a home these days seems nearly impossible, It doesn't have to be this way..... california need to use all that open land and get rid of at least 25% of the Joshua trees! I Saved up for years and still barely able to afford a down payment on a crack or trap house. Rent has spiked everywhere Most people honestly just wanna buy the land and build a home, live rent free, be left alone and experience life at their own pace. Boomers already have a bunch of money and bought homes on the cheap for $30k in 1970s act like we have it the same as they did. Even with my 745 credit score, no debt, and 20k down payment theres no homes.

[@rnwick2646]

Dude buying land can NEVER be a mistake!!!! You make zero sense!!!!!!

[@lucybalyanify]

Land won't make $$ if no one renting the land but it can gain value over time. And of u develop add power, water, sewer & driveway & put tiny or modular home & rent it. But at least no toilets no tenants to deal with.

[@DaviKnowsRealEstate]

Its just not as good as buying a property. Thats a fact!

[@emmas1082]

You are wrong about that and your first mistake was saying never. If you’re not buying a lot and immediately developing it you are still paying taxes on it, you still need to make sure that there are no problems with it like overgrown brush, trees that need to be removed because they are going to fall on someone else’s house, the list goes on.

[@emmas1082]

It also depends upon where you buy the land. Some land is almost impossible to develop without putting a huge chunk of change into it. Then you build the house and you cannot sell it for whatever reason.

[@angeladiveglia4172]

Lots of companies sell nice pre fab homes for under 60 k And one could just buy it cash I think they are way better than a old outdated house and so do so many others

[@DaviKnowsRealEstate]

If it sounds too good to be true its because it is!! A fab home at that price will barely appreciate and it will be difficult to sell years late. Just ask pre fab homes owners, terrible idea

[@angeladiveglia4172]

@@DaviKnowsRealEstate how about you are 50 years old and plan to stay in it until you die ??? Sounds reasonable to me I feel like no one wants a old house and def don’t want to spend thousands on renovating it prefab homes come with solar fridge laundry machine oven tv everything u need inside of it , I feel like it’s a good option for people with a limited amount of money that need a long term home ) but hey

[@yumyumkitty2104]

Who has $60,000 in cash lying around??? 🥴

[@angeladiveglia4172]

Prob is there are no houses there there is land …. Land that needs houses and why pay people to come build by hand in the heat when u can have a boxable put up in under a hour ???????

[@katezikranec]

If you pay attention to what he is saying you will find out why this is a bad idea 🧠

[@user-ke9yk5qp3u]

Ridiculous comment