New short term rental in Fredericksburg, TX

[Joe Rivera]

Investment Info:

Single-family residence other investment in Fredericksbrg.

Purchase price: $314,500
Cash invested: $75,000

Bought a 3bed 2 bath, 2 car garage SFH, that was used as a long-term rental. We will be rehabbing and then renting it out as a short-term rental. We are going to update the kitchen, bathrooms, put in new floors, new heating/air, roof, and update the backyard. We are going to turn the garage into an entertainment area that will include a sleeper sofa.

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

We like the short-term rental market. We were looking for a place that had year-round guests and events. Fredericksburg is in the hill country of Texas, so there is always something going on. This part of the state also has many wineries, making it a popular travel destination for a lot of Texans.

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

I found the deal on the MLS. The house was on the market for over 60 days so I put in an offer below asking. They excepted and then we negotiated a lower price after the inspection report.

How did you finance this deal?

I found an investor to put up the down payment. We are using a bridge loan to fund the remodel.

How did you add value to the deal?

I found the market and the deal. I will be the one who manages the remodel, and guest relations.

[Joe Rivera]

@Brett Blackmon welcome to BP. Things are moving slow, we are still trying to get our permits. We are hoping to get them here in the next week or two. Once we have them then the remodel should go quick. I am hoping to have the property on AirBnB by the end of September.