All Forum Posts by: Brett Deas

Deals come first, I find all of mine on the MLS. Until you have a proven track record people need to see the deal, they wont just give you money to find one. When it comes to finding deals on the MLS you need to be creative, don't just look at other properties that investors have listed, dive deep into zoning and regulations. Maybe you could make more if you rent by the room, Maybe you can build an ADU and rent that out as well for extra income. Be willing to get creative and also know you might not be making much if anything for a while. Until you have money of your own be willing to work for cheap to build that equity and get a proven track record.

 I think that spread is not bad, but if this is your first deal do not expect to profit. The first deal is always about education. Also, don't get hung up on this one, be willing to lose it. I don't know your market so there could be better/more deals around. 

Do you have a good agent? If so they should be able to help you negotiate that offer to a good price range.

Always build in a buffer in your estimates, whether that is renovation time or selling price you don't want to be caught out at the end with no return on your capital. Also what is your expected renovation cost? depending on the reno cost the spread would not be too bad on that deal, but that is just me.

For some context, I have been told you can't close in an LLC in CO if you are obtaining financing, I am not sure if that is entirely accurate. Either way, I am looking for a workaround to close in an LLC but also obtain financing for Short term rentals. I myself cannot qualify for any traditional financing, but I have a long list of investors willing to put their money into deals. What I have done in the past is just take the joint title but that caused them to go through the mortgage app. process which was a chore and none of my other investors will waste their time going through that.

All that said, does anyone have any ideas on possible structures? I have looked into doing a syndication-type model but that won't work as of right now. Does anyone know of a structure where I can obtain financing without having a partner go through the loan application process?

I have not used this strategy but have you taken into account a refinance when you move out? 

I do not know how you want to finance this so when you move out it may not apply, but when you move out and refinance, probably when rates are lower, would it cashflow at that point?

I am not sure if they are in your area but in high school I had a few friends sell cutco knives via phone and things like that. Or you can look for pure commission based options with local businesses. 

I am not entirely sure on how it works in Virginia but in CO you can go to really any title company and they have all sorts of data for owner occupied vs rent, and contact info for the people of record. 

Currently looking for value add STR's. I know many people are worried about the economy and saying vacations are going to disappear but a very strong rental will last.

Go to RE meetups, and just start talking to people. Don't be afraid to bring it up to friends and family either, they might know people that you don't.  Before however, make sure that what you are proposing is actually worth it for them. I have learned through trying to find partners that often you will have a small portion of the profit for a while to give them a half-decent ROC. So make sure that it gives a good return before trying to pitch people or they won't take you seriously. 

I use Duvets for my medium-term rentals, Easy to wash and take care of. The covers are relatively inexpensive, the inserts can be pricey depending on the quality and where you get them from.