All Forum Posts by: Brett Gibson

we want to look at a few houses Monday and Tuesday for a short term rental in the Phoenix area. Looking for an agent that can take us around and help us find a good short term rental and knows the short term rental market.

I have SFR 5/3 that I purchased for $200K (hard money 8%) - I've remodeled it with about $80k (my funds) in improvements. The ARV is between 350-375k.

My initial plan was just to sell it and take the profits. But after evaluating my wealth building goals, I plan on trying to pull my investment out of the house but keep it for a short-term rental (which has been my hold strategy). The home is located in a good neighborhood, and I would consider it a keeper.

I plan to work with a family member that has an excellent W2 income to purchase the house from me at 80% of the appraisal. They would lease back the home with a 30-year lease (I would make the mortgage payments) and have an option to purchase the house at mortgage balance. We would place the house in a trust for privacy, and I would be the trustee with a limited power of attorney (which makes it easier for me to deal with any issues with the loan).

The family member benefits by receiving the depreciation, and I can rent it / control it for cash flow.

What would you do differently, what am I missing, or do you have any other advice?

Originally posted by @Mike Hambright:

@J Scott - given that we're governed by the FTC...we're not allowed to make earnings claims. 

Actually, if you are the franchisee, then you can give earnings claims! Franchisees aren't regulated by the FTC - the franchisor is:)

I currently just finished setting up a vacation rental. The property was cash purchased and extensively remodeled. I'm looking to pull my dollars out of the house and do a cash out refi. I'm wondering what your thoughts are pertaining to placing a vacation rental property into a trust. Also, should I refi the house into a trust or should I wait later to put the house into a trust after the refi.

I received a full price offer on my first flip at 140k. The appraisal came back at 135k. Any advice on what I should do. I'm tempted to to ask the buyers if they are willing to bring anything to the table. What have you done? Should I look for another buyer or just take an 8k profit?