Barrington Malcolm, CEO of Dynasty Dynamics Inc., an experienced Real Estate Investor and expert in California real estate says that the trend he’s observing in the market is billionaire hedge fund investors have purchased so many properties it’s reduced the supply available, inflating home values. Barrington says eventually when they decide to sell these properties the market could suffer if there becomes too much supply and not enough demand.
As a self-taught real estate investor with more than 25 years of hands on experience he’s just about seen it all, from recession, to boom, to bubble, the burst and back to where we are today. An equally emerging trend finds International buyers purchasing luxury trophy properties and paying cash for them. Particularly in an area known as the “Platinum Triangle” consisting of Beverly Hills, Holmby Hills and Bel Air.
A recent LA Times article affirms, “After an International bidding war, a Westside mansion often described as a French palace has changed hands for $102 million, making it the most expensive residential sale ever recorded in Southern California.” The buyer was initially identified as a French billionaire who paid all cash and closed in 10 days. However, it is said the purchaser could be from the US, but the identity of the buyer is not truly known.
Barrington says these investment styles are great, however his investment flair is a little different and more hands on, having not been exposed to hedge funds or investors with unlimited capital, he started his career one deal at a time, one client at a time. Although he now invests in multiple property types from single family to multi-family simultaneously, he would not trade the experience and the journey. His philosophy is different, being raised in Compton by a single hard-working mother connects him more to the real life experience, giving him a genuine heart for people and the passion he has for real estate.
He remembers starting at the young age of seventeen while still in high school after watching late night infomercials on buying real estate with no money down. This encouraged him since he had no money. He recalls his hunger for knowledge back then going to a real estate seminar at a local hotel; his focus remained undeterred on making this dream a reality. He listened and learned things in that seminar that motivated him to begin knocking on doors and speaking with people.
After two decades, he admits to making some mistakes along the way but never saw them as failure, just a part of the journey that he could build on and profit from. Barrington says although hedge fund investors are buying most of the properties that investors like himself look for, with patience and perseverance he is still able to find deals with equity. He then renovates the property to add value for his tenants and potential buyers making it a win-win situation. His motto is “providing homes today and tomorrow.”
He is a mentor and adviser in real estate and in life, he’s a stickler for integrity and values, he admits that when he first got into real estate at seventeen his sole purpose was to get rich and that he did, but through the years the wealth he gained was not just monetary, he learned that principles, standards and values go way beyond dollars. Although there were times he encountered obstacles he was unwavering about his goal to build long term wealth for his family and establish a Dynasty for generations to come. He says that although real estate in Los Angeles can be volatile, be patient because regardless of the ups and downs in the market, real estate will always be the greatest opportunity to build wealth.
Contact Barrington Malcolm at: Twitter@Barrington1.