All Forum Posts by: Ryan Arth

@Alex Lickenbrock If your young family needs schools and you don't want to pay for private, you may want to consider the suburbs (and there is a range of school/suburb quality as well). 

As for strong rental potential, the more desirable the neighborhood the stronger the rental demand will be. As you go up that curve the housing price and rent that it can command start to diverge rapidly. If you are only planning on living in it for a year or two, your payment relative to the market rent should be top of mind when looking. 

The consensus seems to be that the Fed will drop rates by 1% by year end, which could allow you to refi in the near future, but there are costs involved in doing so.

Congratulations. How many similar projects have you done?

I have a friend that is pleased with his PM in the area. They handle his 150ish doors, and he has high standards. I will PM anyone on this thread that was looking.

I used to see one of their bizdev guys at meetups. I had a client gathering information from them, but you had to borrow through a new LLC (at the time), which didn't make sense to me. You had to start a new LLC, sell whatever from your old LLC to the new one, and I was out right there.

Also, because I was uncertain if the Neal Wolf in that video is the same Neal Wolf that was a mortgage guy who got convicted in a large mortgage fraud bust in 2008. The defendent was 33 around then. 

https://www.cleveland.com/metro/2008/09/company_president_se...

@Robert Ellis Great project. Is this stick built or modular?

@Robert Ellis Are you using LIHTC financing or is this affordable with a lowercase "a"? 

@Thomas Yokum Congratulations. Do you plan to move into the next one, transitioning this one to a full rental? 

 Exactly, if someone else has a different motivation, lower return threshold, or is a fool, let them have it. 

When I used to go to auctions it was pretty clear when a couple was bidding to buy for their personal residence, and you didn't bother to bid against them. 

@Richard Schubert As was previously stated, given your description of the area and the property, it looks like a property that was significantly underpriced to generate a bidding war (and get contingencies removed in the process). 

@David De La Torre Also look at AirDNA if you haven't yet. Lots of people think that STR is just instant cashflow, but it is fundamentally a different business model. They are more of a small hospitality company than a long term, tenant occupied, rental would be.

So it really depends heavily on the attractiveness of the area and the competition. STR people don't really care about access to a grocery, MTR will. If the target client is a healthcare worker who makes 100K+ per year and is staying a few months they will want a certain type of area, whereas a person only staying a weekend wants to be near their "event" and is more forgiving on other things. The property may matter more than the area in the latter scenario.