Miami Short Term Rental Transaction

[Jesse Rodriguez]

vestment Info:

Single-family residence buy & hold investment.

Purchase price: $715,000
Cash invested: $145,000

Listed Price: $745K (originally $745K, 30 days on market). Seller purchased in 1990 for $150K. Current "As Is" Value: $745K. Target Price: $715K Property was an existing STR and came 85% furnished in the price Loan: 20% down, $5,119/month PITI. STR income: $128K/year with pool. Net post-mortgage: $66572/year. Investment: $124.2K; ROI:25% /year; 10-year equity: $1.46M; Total cash return: $1.45M. 10-year equity multiple: 10x on $145K investment.

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

My company provides an all-in-one solution for clients. We operate a real estate, mortgage, and property management firm dedicated exclusively to Short Term Rental Investments.

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

Each week, I analyze the MLS, exploring cities and towns across South Florida to identify areas favorable (or not) to short-term rentals. I curate a list of properties priced under $800K with the potential to generate six-figure gross income and share it with my clients.

How did you finance this deal?

Non-Qm 20% down @7%. We own the mortgage company so the rate was below market as always.