Meet Victor Migenes

Some of the old-timers in L.A. might remember Victor and his father’s traditional landmark cigar factory in downtown L.A., La Plata Cigars established in 1947, where the finest cigars were made by Cubans.  We first met Victor when we read about La Plata in the L.A. Times, and a group of us took a field trip into downtown L.A. to visit.  What a place! The walk-in humidor was amazing, and it was quite educational to watch his workers roll cigars.

Victor is also known around town as a drummer in several bands. notably Dance Hall Pimps, but these days he pays his bills as a realtor.

Victor Migenes is an old-school hard-working realtor in Northeast Los Angeles.  We meet at the Old L.A. Farmers Market on Marmion Way one Tuesday, and over some excellent non-GMO tamales, we discussed the local real estate market, mostly for my edification.

Migenes, who works for Keller-Williams Realty and Property Concierges Brokerage, points out that the Northeast L.A. market has changed considerably over the past several years, a point which has also been an issue of controversy. 

He points out that buying into Highland Park was a bit cheaper than buying, for example, in Los Feliz or Silver Lake, and younger executives moved in over the past several years, purchased Craftsmen homes and bungalows, and renovated them.  Some were just flippers, but many came to stay.  The trend, which has occurred in many U.S. cities, is called  Gentrification.

The word “gentrification” means different things to different people, depending on whether you are a renter, a buyer, a seller, or someone who has lived in the neighborhood for generations.

“Remember,” says Migenes, “that many of the younger executives from the entertainment industry saw Highland Park and the overall Northeast as an affordable  beginning of home ownership.  They felt priced-out of Silverlake and the more popular areas, and they moved to Highland Park and began fixing things up.”

He’s empathetic towards those who have been displaced by the changes that have occurred.  Still, Migenes, as a realtor, works to help people sell their homes, or to buy the best possible home. His job is to help buyers and sellers avoid the many pitfalls that can occur during the buy and sell process.

He points out that you can buy a house in Texas for about $240,000, and a similar house here will cost you about $800,000!  “Why?” I ask.  “Because everyone wants to live here. It’s all about demand that drives up the price,” he tells me.

“The entertainment industry has changed, and continues to grow in our area.  Fewer young executives are buying into Hollywood unless they have some attachment to that area, and the entertainment industry is today more focused in Glendale and Burbank,” he says.  And the Northeast is regarded as a more affordable segue to home ownership.

His advice to buyers is to consult with a good realtor, and to get to know the individual character of the neighborhoods.  Even if the prices seem to be on the higher end, Migenes believes that most of the neighborhoods have improved for the better in the Northeast.

“Still, even though it’s a sellers market today and the prices seem to be on the high end, the buyer should be very picky about where to buy.  You have to consider how long you want to be there.  For those who intend to stay, and be a part of the neighborhood, your home values are going to rise over the long run of say the next 10 years.”

Areas that seem to be over-priced, where there is a lot of renovation both in residential and commerce growth, are the very areas that will maintain or increase in value over time, advised Migenes.

“There are still pockets here and there that I would avoid,” adds Migenes, and that’s the sort of thing that you can find out by asking around.

I told Migenes about real estate predictions that I’d read about on line, mostly from people who were selling a financial newsletter.  “Subscribe to our newsletter and you’ll survive the financial collapse of western civilizatioin” seemed to be their selling point.

Migenes smiled, and said, “We do not have a crystal ball. Some actually thought that there would be a minor crash two years ago in the housing market, but that didn’t happen, largely because of the maintaining of low interest rates by the Federal Reserve.  But at some point, there is an adjustment. It always happens.  When it becomes a buyers’ market, in the wave of time, the prices may dip or level off.  That always happens in a changing market. So if you need to buy, you need to  buy smart. And over the long term, you will earn some good equity.”

As for advice for those who need to sell, Migenes says that if you have a well-maintained, but older house in good condition, paint goes a long way.  “By that, I mean professional painting. But don’t make it personal.  Do neutral tones so the next buyer can visualize more readily how they may want to personalize it later.

He does not recommend renovations of bathrooms or kitchens, since it may be more money than you’ll get back from that work, and you don’t really know what the buyer may  want.  Instead, Migenes advises sellers to make sure the plumbing and electrical systems are sound.

Landscaping can also add a good appeal to the house you are trying to sell, but keep it simple.

 [Victor Migenes can be reached at  (213) 718-3558.]

[Nyerges is the director of the School of Self-Reliance, and author of books on self-reliance. He can be reached at www.SchoolofSelf-Reliance.com]