took the plunge; first STR in Galveston TX

[Quinn Olivarez]

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $315,000
Cash invested: $20,000

My wife and I have taken the plunge with our first STR. It's a raised cottage with a finished space underneath. So even though its technically a SFH it functions like a MFH.

What made you interested in investing in this type of deal?

My wife and I have wanted to get into the STR business for a while. We believe immensely in the long term upside of Galveston TX. 6000 ghosts can't be wrong

How did you find this deal and how did you negotiate it?

We found this deal sitting on the MLS for nearly 4 months after being dramatically overpriced. I was able to negotiate a contract $25,000 under appraised value, which was a huge win for us. Contact me for info on how I negotiated the deal :)

How did you finance this deal?

Vacation home mortgage, 10% down.

How did you add value to the deal?

I am a realtor whose sole objective is to negotiate contracts below appraised value, sellers market be dammed! So far, I am batting 1.000 :) I spent months scanning the MLS, analyzing deals, making offers, and making trips to Galveston from Houston.

What was the outcome?

We close tomorrow (NYE 2021) and plan to have both doors operational by Feb 2022.

Lessons learned? Challenges?

Be patient, trust the process.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Myself :) I am happy to help any investor interested in Houston or Galveston.