All Forum Posts by: Ana Rodriguez

Hi @Tiera Smith, wondering how you managed all those things you mentioned you were doing. I feel the same way with work, family, home responsibilities, and properties. I am overwhelmed! How did you deal with that?

Thank you!
 

@Greg Franck Appreciate your input. This is a 5 unit complex with no HOA. It qualifies as a commercial property and the loan seems to have different requirements (presenting financial statements annually, providing rent roll, and others).

If anyone in the lending industry knows about this, I'd be interested to know how to handle vacation rentals in this case.

Hello BP community,

Do banks allow for properties to be leased as vacation rentals? If there is already a mortgage agreement in place, what would prohibit owners from entering the short term rental arena vs doing long-term rent? What wording would refer to this in the agreement, which currently mentions "income-producing " and royalties.

Any help is greatly appreciated.

Thank you!

Does anyone know if vacation rental can be done when the property has a mortgage? Any wording to look for on the mortgage agreement that would prohibit implementing vacation rental?

@Billy Davidson Thank you for your response. Will def keep you posted on final decision.

I recently purchased a new home that I need to do major work on (new plumbing, electric, HVAC, etc). My old house would sell for 250-300k and I have a 50k mortgage. I need money for the remodel, and construction these days is insanely high. I estimate needing at least 200k for the remodel.

The old house would rent for 2.4k/mo, with mortgage payment of $600/mo (6 years left) and HOA of $200/mo. Add to that management fees, repair costs, etc.

It looks like it would be very easy to sell and use the proceeds for the remodel (this is what my non-RE investors and parents tell me).

I see renting my old house as a means to pay for my new house's mortgage, while also having equity to borrow for the remodel and future investments. However, some days I wake up wanting to rent and others I want to sell and just move on. My 5-year plan is to buy a multifamily.

What would you do?

@Jonathan H.

What did you end up doing with the extra space?

Ana

@Kurt Linwood - A CPA is the best person to help you minimize your tax liability. It would have been best to have contacted one prior to the sale, but it is never too late, especially if you plan to continue investing in real estate. Find a CPA who is experienced in real estate.

When selling property, taxes are calculated based on the realized "gain" on the sale, which is the difference between 1. the sales price minus expenses (such as commissions, certain closing costs) and 2. the purchase cost (price you paid for the property, plus repairs, certain closing costs).

A tax professional would need to get more information on your specific situation to determine which options you have at this point.

Hello BP community,

As is probably the case with many investors, I started off the year very focused, with set goals and strategies to accomplish my objectives. After COVID-19 hit, I have had to reassess my plans and I just don't seem to find my focus.

1. How are you staying focused during this crisis?

2. How are you establishing new goals? Or have your short-term goals not changed?

Thank you for your input and I look forward to connecting!

Ana