All Forum Posts by: Chad McMahan

Thank you so much for sharing this insight, @Chad McMahan! I was hoping you'd respond to my post bc I saw you respond on a few other Sedona posts with great feedback. :-)

Based on what you shared, we would not be a good fit for Sedona real estate. Are there any other AZ markets you're familiar with that you would recommend? We were considering Page, Williams, Flagstaff and Cottonwood, but we can open it up to anywhere that makes sense.

If I purchase in Sedona, my budget would only allow for a 2-bedroom townhouse. Is that area too competitive and oversaturated now? 

If that's no longer a great market, where else would you recommend in Arizona? I'm thinking of Page, Williams, Cottonwood and Flagstaff, but I'm open to any area that is not Phoenix or Tuscon. Many thanks!

Hey @Michael Baum, really appreciate the insight, but wholeheartedly disagree. Yes I am in the space, yes I am doing well. That said, doing well compared to what?  I've spent a good amount of money on coaches across many different industries and time and time again I've felt that when I put myself in front of the right coach the growth has been really strong. I can workout at home, somewhat goal less, and do ok. I can set a goal, hire a coach to guide me and hold me accountable to that goal, and I'll hit it every time. No I don't want to pay some kid on youtube $10k to send me his prerecorded videos. Yes I do want to find that needle in a haystack coach looking to help someone grow their management business in the short term rental space. This business is strictly a fun 'few hours at night' deal for me and I'm looking for a coach to help me set a few goals and then hold me accountable on attaining them. Will I pay for that? You bet.

DSCR (Debt Service Coverage Ratio) loans are great for real estate investors, especially those buying rental properties. One big benefit is that these loans look at the property's income rather than the borrower's personal income, which can make qualifying easier for investors with multiple properties. It also allows investors to scale up their portfolio faster. However, the downsides are that DSCR loans often come with higher interest rates and require the property to have strong cash flow to meet the lender's standards. For new investors, DSCR loans can be a good option if the property generates enough rental income, but it's important to carefully check the numbers to ensure the deal is profitable.

Hi Everyone,

Does anyone have any recommendations on general contractors and hard money lenders in the Sedona area? We are looking to rehab a place and then do a cash out refinance.

Thank you.

Is flagstaff saturated for STR? Sedona is saturated, but i dont see that many houses for sale, maybe the returns are still good? i am looking to invest north of Phoenix. Thanks

If your land is in Yavapai county - From the Yavapai County website “As of January 1, 2017, Yavapai County allows the short-term rental of permitted habitable structures. This means that ONLY structures PERMITTED as habitable space for overnight occupancy can be used as short-term rentals. This includes single-family residences, guest houses, apartments and condominiums. This does NOT include travel trailers, recreational vehicles, tents, yurts, gazebos, teepees, sheds, garages, barns, caves, offices or any other structure not permitted for overnight occupancy. Short-term rentals do NOT allow events such as weddings, parties, specialized retreats or any commercial activities.”

So make sure your geodomes qualify for STRs. And that the number of them per acre is permitted. The town of Sedona and the county are not generally in favor of STRs, but have to allow them per state law, and more restrictions have been allowed by the state over time. 

Hi everyone,

Wife and I visited Flagstaff over the weekend and loved it. Now are considering purchasing out there to become part time "snowbirds". We have about $100k to put down which is about 20% in the market we are looking at. With high interest rates, we'd be looking at around $3800 PITI. How successful have any of you been in that market? We can cover that monthly but would be happy with a 50% occupancy to help offset those costs. Recommend any tips (for STRs), any guidance etc.

We live in the Phoenix metro area..

Thanks everyone.

It's semi-recession era in STR-landia..... not that bad, but not that great.
I read occupancy read nationwide now is moving back to pre-covid era, maybe less.