All Forum Posts by: Antonio Bird

Depends on if you are looking to generate cash flow, appreciation, or dividends? I would split my millions into relatively newer apartment complexes, self storage units or mobile home parks, or commercial buildings, where you could get a great deal now due to Covid-related vacancies / remote workers. These can all be cash cows if you buy them right. Raw land 'could be potentially good', also, if in an area that is growing fast, has easy access to the interstate- to buy and hold and sell to farmers maybe (maybe at first, while the area is 'growing up around it) or eventually to builders- but you'd have a lot of due diligence to do before buying, then you have to determine the highest and best use for the property in the end- before buying, paying for and performing perc tests every 12 feet or so, determining if the area can be serviced by city water and sewer or if the tracts would have to have well and septic permits pulled for each lot, etc.- you may lose some acreage if you find unsuitable soil or creeks or wetlands, so land can be a risky investment. So, I would stick with well-maintained apartment complexes, self storage units, mobile home parks and possibly a short term rental in a desirable area (like the beach)- here's mine, outside of Charleston, in a gated community in Isle of Palms, SC called Wild Dunes: www.vrbo.com/1930478. I bought it just before Covid was even a 'thing' (February 27, 2020), fixed it up, still have the kitchen and master bathroom to renovate- but it cash flows like a champ- and, when it's not rented, I have a place at the beach. Best investment in my portfolio due to that alone! :)

Basically, I would diversify my assets, park it and let it cash flow and appreciate. Best of luck to you!

We love that area! Great tennis program at Wild Dunes. We briefly lived on Sullivan's Is years ago, and my in-laws had a house at WIld Dunes for many years. They occasionally rented it out using a mgmt company. How did you wrap your head around the hurricane risk? Are there any special considerations with your property being part of a large resort?

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Originally posted by @Account Closed:

Spending hypothetical money is completely different than spending your own. There are a lot of people with $10M and none of them would put it into a single asset class. This kind of speculative thinking gives no actual valuable insight into anything at all.

I agree, probably most of us mere mortals invest in more than one asset class. Although Buffet has famously set up his estate planning to provide his wife with 90% in the S&P 500 and 10% in T Bills (OK, 2 asset classes).

For someone like me who only started investing in real estate more recently, this thread is thought-provoking.

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I am referring to the apt complex deal, not crypto

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Yeah, I stumbled my way into one of those (sister's husband's brother put it together) and it turned out great. I don't consider myself sophisticated enough to analyze a deal put together by someone who was not family. Is that a difficult skill set to develop?

1 Vote

80% VT (Vanguard total world stock market index), 20% AGG (bond index). Withdraw 300K per year from the portfolio with no danger of running out of money ever.

If you have 0-3M then maybe need to get more creative.

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I'm sure I will be one of the least experienced here to comment--but are you set on LTR instead of STR? We went with STR + self managing bc my wife didn't mind the day to day work (OK, once in a while she does) and the potential for CoC returns seemed so much higher. If we had done LTR in our area (Asheville) I am not sure that we would have seen positive cash flow. We went "big" (for us) because managing 2 properties seemed much more desirable than managing 4 or 5. I'm s/w familiar with the Triangle area having lived in Durham. Can you even get a small house in the outskirts of Raleigh for 100K?

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Hi Michael. We have a STR in TN and one in NC. If I remember correctly we would have paid TN corp taxes of 6.5% if we used an LLC. Also financing was more favorable without.

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We have owned a STR in Sevierville for the last couple of years. We recently had guests who were snowed in, with power out for most of their stay. We of course gave them a full refund. My question is this--if a winter storm made it impossible to access our STR, would trip insurance generally cover that? We already encourage renters to buy trip insurance, but have not steered them toward any particular policy in the airbnb platform. VRBO recommends Generali insurance and it is not immediately clear to me whether their policies would cover this. Basically, we would like to shift the risk in the same way we would with cancellation due to illness. Is this something you all have dealt with or thought about? Any input would be much appreciated. Thanks!

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All Forum Posts by: Antonio Bird

Antonio Bird has started 1 posts and replied 8 times.

Post: $10,000,000 to deploy -- where would you put it?

Post: $10,000,000 to deploy -- where would you put it?

Post: $10,000,000 to deploy -- where would you put it?

Post: $10,000,000 to deploy -- where would you put it?

Post: $10,000,000 to deploy -- where would you put it?

Post: First Timer: My Goals + Buy two $100K homes, or one $200K home?

Post: Creating LLC for Airbnb?

Post: winter storms, trip insurance