New Orleans Duplex for STR or Corporate Rental

[Lianna Mae Smith]

Investment Info:

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

Purchase price: $375,000
Cash invested: $30,000

Purchased a duplex for owner inhabited STR or corporate rental

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

Better profit margin, than long term rentals and higher turnover (not "stuck" with any person for too long)

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

standard search via redfin site

How did you finance this deal?

Personal loan and FHA mortgage

How did you add value to the deal?

Furnishing, builtins, landscaping, various upgrades to the home

Lessons learned? Challenges?

I need to have applied for the STR permit before even closing on the home.
I need to have chosen and ordered furniture /washer dryer before even setting foot in the home after closing day to get the ball rolling on photos for listing the home.
More strict and insistent on the punch list for the contractor

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

Redfin agent Jessica Carroll - Excellent. organized, knowledgeable and assertive.
Eustis Mortgage Sunny Shannon - creative and on the ball with getting us qualified

[Stephen E.]

@Lianna Mae Smith You couldn't have applied for the permit prior to closing on the home, so that wouldn't have been an option anyway. I don't know what they're doing for Covid but you used to be able to get your permit same day if you went to City Hall. Just need to have the Homestead Exemption already in place. I've always recommended people not try to get their STR permits online in New Orleans, just go to City Hall. Not sure if that's currently the option though.