South Bay Real Estate Blog by Eric Kredatus, Real Estate Professional

As a top Realtor in Manhattan Beach, I am excited to announce that I made a big move! After several years of working with a national brokerage, I have decided to switch to a local boutique broker to better serve my clients and vision.

 The decision to switch brokerages was driven by my desire to offer clients a more personalized and attentive level of service. I felt that working with a smaller, more nimble brokerage would allow me to better cater to the unique needs of each client, without being bound by a larger company.

 While I have certainly made a name for myself at my former brokerage, I am excited to join forces with DOMO Real Estate and continue building on my success. With a reputation for being highly knowledgeable about the local market and a track record of securing top deals for my clients, I am poised for continued success in my new role.

 For my clients, this move is great news. They can expect to receive the same exceptional service and results they have come to know and trust, but with even more personalized attention and care. I can't wait to see what the future holds for me and my clients under my new brokerage.

All The Best,

Eric 

Cross-segregation studies are an essential tool in the real estate industry for evaluating the compatibility of a proposed development with the surrounding properties. In this blog post, we'll explore what cross-segregation studies are, how they are used in real estate, and why they are important.

What is a Cross-Segregation Study?

A cross-segregation study is an evaluation of a proposed development to determine its compatibility with the surrounding properties. It takes into consideration factors such as zoning, land use, and the character of the surrounding properties. The goal of a cross-segregation study is to ensure that the proposed development will not negatively impact the value or desirability of the surrounding properties.

How are Cross-Segregation Studies Used in Real Estate?

Cross-segregation studies can also be used for tax write-offs in real estate. The studies can identify and allocate certain components of a property to specific categories, such as land, buildings, and personal property. This is important because different categories of property can be depreciated at different rates for tax purposes. By correctly identifying and allocating components of a property, real estate investors can take advantage of tax deductions and write-offs, such as bonus depreciation.

Bonus depreciation is a tax incentive that allows businesses to take an additional deduction on top of regular depreciation for qualifying property that is placed in service during the tax year. This tax incentive is designed to encourage businesses to invest in new property and equipment, and it can provide significant tax savings.

Under the Tax Cuts and Jobs Act of 2017, businesses can take a 100% bonus depreciation deduction for qualified property that is placed in service after September 27, 2017, and before January 1, 2023. This means that businesses can deduct the full...

A 1031 exchange, also known as a like-kind exchange, is a tax-deferred transaction that allows investors to exchange one investment property for another without paying capital gains taxes on the sale. This type of exchange is often used by real estate investors to acquire new properties while deferring the payment of capital gains taxes. Here's a closer look at 1031 exchanges and how they work.

Key Benefits:

1. Tax Deferral: The most significant advantage of a 1031 exchange is the deferral of capital gains taxes. Instead of paying taxes on the sale of the property, the investor can defer the payment until a later date, usually when the property is sold for cash.
2. Investment Diversification: A 1031 exchange allows investors to diversify their portfolios by exchanging properties in one market for properties in another market. This can help spread risk and potentially increase returns.
3. Increased Buying Power: By deferring the payment of capital gains taxes, a 1031 exchange allows investors to use the proceeds from the sale of their property to acquire a larger, more valuable property.

Key Requirements:

1. Like-Kind Properties: To qualify for a 1031 exchange, the properties being exchanged must be of "like-kind." This means they must be investment properties, such as rental properties, commercial buildings, or raw land.
2. Timing: The exchange must be completed within 180 days of the sale of the first property.
3. Intermediary: An intermediary, such as a qualified escrow company or attorney, must be used to facilitate the exchange. The intermediary holds the proceeds from the sale of the first property until the investor acquires the replacement property.
4. Identification: Within 45 days of the sale of the first property, the...

Are you looking to buy a house in Manhattan Beach, California? As a popular coastal community just outside Los Angeles, Manhattan Beach is a highly sought-after location for creative artists, families, and professionals. Its small population creates a tight-knit community feel, and its proximity to major cities like Hollywood, Beverly Hills, and downtown Los Angeles offers easy access to first-rate entertainment and shopping.

If you're interested in purchasing real estate in Manhattan Beach, there are many reasons why it's a great choice. The Eric Kredatus Real Estate Group can help you navigate the process and find your perfect home. Here are just a few of the reasons why Manhattan Beach is such a desirable location:

Top Rated Schools: Manhattan Beach is one of the highest rated school districts in the state. Consisting of six elementary schools, a middle school and a high school.

World Class dining: Manhattan Beach has a reputation for its phenomenal dining scene, with casual cafes, upscale eateries, coffee shops, and bars offering a range of options.

Beach lifestyle: Despite being just a short drive from Los Angeles, Manhattan Beach offers plenty of tranquility and space to enjoy the simpler things in life, especially at the beach.

Beautiful Homes: Manhattan Beach has a variety of real estate options, including custom-built homes with ocean views, waterfront properties, and single-family homes with top-notch amenities.

Outdoor Living: With its perfect climate, Manhattan Beach offers many outdoor activities for residents to enjoy, from hiking to surfing to beach volleyball.

Top neighborhoods:

• Sand Section
• Hill Section 
• The El Porto / North End
• East Manhattan Beach 

When buying a house in Manhattan Beach, there are a few things to keep...

1. Beautiful Beachfront Setting: Hermosa Beach boasts a prime location on the Southern California coast, with a two-mile stretch of white sandy beaches and crystal clear waters. This provides endless opportunities for swimming, surfing, sunbathing, and beach volleyball.

2. Vibrant Community: The city of Hermosa Beach is known for its strong sense of community, where neighbors and visitors alike come together to enjoy various events and festivals throughout the year. The Hermosa Beach Farmers Market, the Hermosa Beach Summer Concert Series, and the Hermosa Beach Comedy Festival are just a few examples of the many community events that take place in Hermosa Beach.

3. Outdoor Activities: Hermosa Beach is home to several parks and green spaces, including the Hermosa Beach Community Garden, where locals can grow their own fruits and vegetables. The city also has several hiking and biking trails, including the Hermosa Beach Strand, which offers a scenic route along the beach.

4. Dining and Entertainment: Hermosa Beach is home to a diverse array of restaurants, bars, and nightclubs. Whether you're in the mood for a casual meal or a fine dining experience, you'll find something to suit your taste in Hermosa Beach. Additionally, the city has a thriving arts and culture scene, with several theaters and art galleries.

5. Excellent schools: Hermosa Beach is home to several excellent schools, both public and private. Hermosa Valley School is a highly rated K-8 school, and Mira Costa High School is also one of the top high schools in the state.

6. Proximity to Los Angeles: Hermosa Beach is just a short drive away from downtown Los Angeles, which makes it an ideal location for those who want to take advantage of all that the city has to offer while still enjoying the benefits of a beach town.

7. Safe Neighborhoods: Hermosa Beach is...

Manhattan Beach has long been regarded as one of the best places to live in the country. Some of its benefits are clear – the beach, the weather – but there are many more reasons why Manhattan Beach deserves its place as one of the elite cities in which to reside. If you’re thinking of moving to a new location, consider these top 10 reasons to live in Manhattan Beach.

1.   Schools

The Manhattan Beach Unified School District is considered one of the finest in the entire nation. If you want your children to have a top-notch education, Manhattan Beach is the place to be.

2.   Beach

The 2.1 mile stretch of Manhattan Beach shoreline is revered among all Southern California beaches. The sandy coastline is one of the most pristine in the entirety of California. Novice and advanced surfers alike will all be able to catch great waves on the gorgeous and clean waters of Manhattan Beach.

3.   Lifestyle

The 36,000 residents of Manhattan Beach enjoy incredible weather, beautiful views, and outstanding homes. There’s never a shortage of something to do in Manhattan Beach. Events occur nearly every weekend, drawing crowds of happy families, couples, and friends.

The Roundhouse Aquarium and Manhattan Beach Pier are fan-favorites, offering fun for children and adults of all ages, and locals love to partake of the many coffee shops, restaurants, and boutiques that line the Manhattan Beach streets. 

4.   Location, Location, Location

The close proximity to the ocean isn’t the only thing that makes Manhattan Beach a prime location. It is known for being remarkably safe. Crime is a rare occurrence.

Residents of Manhattan beach experience the best of all worlds. While the area itself is calm and tranquil, it is an easy commute to many hot-spots in the LA area such as Santa Monica...

A Modest Start

America’s 71^st wealthiest city had humble beginnings. In the late 19^th century, miles of sand dunes and empty space stretched the length of what has come to be known as Manhattan Beach. Long-owned by the Avila family, the ranch land (then called Rancho Sausal Redondo) was purchased in 1863 by a Scottish immigrant named Sir Robert Burnett. Ten years later, he leased the vast expanse of land to the Canadian Daniel Freeman, who began growing crops there with his family.

 The nation’s centennial marked the entry of Rancho Sausal Redondo’s first true settler – the wealthy Col. Thomas Duncan. The former Virginia Plantation owner built a large home on the water. The Colonel’s home would eventually be abandoned and would sadly come to burn down in 1927. 

In 1885 Freeman bought the land outright from Burnett – who had returned to Scotland – for a sum of $140,000. Still undeveloped, the area did not see a boom in settlers until after the Santa Fe Railroad was established there in 1888. Once the land became more accessible, however, Rancho Sausal Redondo experienced a jump in population.

An Important Collaboration

At the turn of the century real estate development began in earnest. The northern part of what would become Manhattan Beach was owned by George H. Peck. The mid-land was owned by Frank Daugherty, and the southern portion was developed by John Merrill. 

 It was Merrill who first brought the name Manhattan to the area, after his former home in the Manhattan borough of New York. A coin toss in 1902 solidified the name for the totality of land held by the three men.

 A Sandy Situation

1912 would see Manhattan become its own independent city. Shortly after, the town of 600 inhabitants began its transformation into a full-fledged residential area. As development continued in Manhattan, one major factor...