All Forum Posts by: Branden Pfaff

@Joey Schad

Are you familiar with House Hacking? Perhaps try a 2-4 unit. I think that is a great way for you guys to start with minimal money down. It will be enough to cut your teeth on and get some property management experience while having a huge expense eliminated.

Best of luck

Try Keith Portner at Metabank. I think he funds a lot of flips around town. 

Fellow Sioux Falls investor here. You could tap into a HELOC if you have existing equity laying around. Seller financing is always a good option as well - although a little tougher to find. Private money then go with a BRRRR method..

The possibilities are endless! 😊

@Paul Sandhu

I love that idea too! We get lots of pheasant hunters this time of year so I’m sure they would appreciate that as well. Do they come in kits that a contractor assembles?

@John Underwood

That is a good idea as well! And yes - I think it would be a good mix of weird and midwestern flare that would draw people toward it.

@Michael Baum

I have been looking at a handful of grain bins that size around my area that are being sold for $1000/ piece. I have been trying to get ideas on how to relocate one. In your experience, have you seen these moved before? Does it require that it’s taken apart first, or moved as a whole?

But yes - one that fancy would be 60-70k I would imagine.

@Michael Baum

Here in South Dakota grain silos go really cheap and make a really cool “frame” for a unique Airbnb (check them out on google) I have seen reports of some people doing 1 for around 20k, so it was just a rough estimate.

Hello BP - looking for creative financing options for building Airbnb units on empty lots.

I have recently learned about 18 acres of land that is forested with beautiful areas for small cabins. Through some connections I know I can get the land for a decent price, but I will still need to finance building 2 small cabins (probably 2bed 1bath) - approx 20-30k each.

Has anyone done this in the past? What sort of financing were you offered? How was it structured? Lessons learned?

@Daylen Fiallo  I think this depends on your strategy.

If your strategy is to buy and hold - I would HIGHLY recommend going with a RCV (Replacement Cost Value) policy which is offered by many carriers. In the even that a Hurricane blows your roof off, insurance will pay for the complete replacement of your roof.

Conversely, an ACV (actual cash value) policy will only pay for the replacement cost minus depreciation of your roof. If you plan on holding a property for a long time you might have to front most of the cost of replacement in the event of a claim. Some say that the savings you have in an AVC policy make up for it over time, but I am skeptical. Perhaps an ACV policy would be better for a strategy that involves a short holding period.

Either way - I am still a proponent of the RCV policies. Allied (nationwide) seemed to be a good fit for my long term goals.

Man thats a tough go. I've been taking the approach of knocking down my student loans while looking for a duplex to house hack. It was a solid 9 months - but now im closing at the end of the month. Keep at it and dont be afraid to knock doors, go to the country to find multifamily owners, or post on social media and ask if anyone has one to sell. Get creative. I think you will be much happier in the long run if you wait for a deal you feel confident in. 

In the mean-time - pay those loans. They suck.