All Forum Posts by: Bob D.

After a few days and conversations I am running my numbers with the following assumptions/goals. 7% rate on mortgage, about 3% closings costs, 20% property management costs, and desired COC of 10+%. With those assumptions in place it seems like the we would need $15k of gross rent per $100k of purchase price. $500k place would need $75k gross rent. Is that doable? Am I missing something?

 Thanks Wes. Would love to hear more about your experience here. 

 Hey Doug, thanks for the insight and I would be happy to chat with you about Oaks Island. I am looking for property management as well. 

@Mack Lengel

Mack, that is super helfpul...thanks. I've been to Charleston and HHI many times and love those areas but understand the limitations with my price range.  I will look into those other areas and it would be great to meet your connections there. 

I bought my first STR last year in New Hampshire with the strategy of purchasing homes that I can occasionally use in locales that I like to visit with my family.

I want to purchase a something near the coast in Carolinas, Georgia, or Florida in the $500k max range that is can be managed fully remotely and I can visit once or twice per year. I really don't have the ability to provide "boots on the ground" but just want the property to sustain itself through STR.

We love Charleston and I have family in Vero Beach, FL but I'm willing to look elsewhere if the numbers are better. If anyone has suggestions on location, team, etc., I'm all ears. 

I would have 25% down and mostly likely use conventional financing. 

I realize this is a pretty vague request but honestly I have rarely been to a beach community down south that I didn't like so I'm open to getting off the beaten path if it's better economics. In reality this is 20% consumption 80% investment so I need to like the place/area. 

Hi, I'm a long time Bigger Pockets fan and a financial advisor/CFP and former tax lawyer by trade. I've been advising high net worth families for ten years. I find that Bigger Pockets is a very high integrity/character company and generally does a wonderful job of weeding out the huckster gurus peddling their wares to folks that need a shortcut. 

I heard about Tardus yesterday because I listened to a RTR podcast and thought...what the hell are these people talking about? 

I tried to model out the income snowball system based on what I've read here and what I learned from the videos/podcasts. I have a call with Tardus next week to understand more. 

What I don't understand is how you transition out of constantly feeding the snowball with your own savings it just dies. The notes amortize and you can never really use any of your cash flow because you have to keep borrowing to buy more notes and keep paying down the LOC. I think you can model a decent double digit return but how do you transition to actually pulling money out?

I guess I'm missing something here...it seems like I'm stuck putting money into this system indefinitely. At no point does there appear to be an accumulated balance but rather just a series of payments coming. I suppose if I just paid off the balance and let a bunch of notes mature it would create a lump sum after a few years but I don't see how that's a true reliable cash flow stream. 

Does anyone have this successfully modeled out? And how was this granted a patent!? 

It was through AirBNB and Vacasa runs the booking. I can get in contact with them though. 

Thanks Michael. All good suggestions. 

I don't think that's the situation. It's a ski town in peak ski season that several adults booked four months in advance.

We just had a party of guests book our ski house in Bartlett, NH for 40 nights over January and February 2023. I'm pretty skeptical of doing this and will likely cancel the reservation but is there anything I can do to protect myself against something going horribly wrong here? I was thinking of (1) signing a formal short term lease agreement (2) having the renters pay utilities and (3) requiring that the renters obtain "renters insurance" over the course of their stay. Anything else?