All Forum Posts by: Chase Cline

If I was under contract on anything I would get out, but that's just my opinion. In fact, I just sold two properties in TX (one in Jan and one in Mar) with a plan to buy a Smokies cabin this spring, but not really willing to go that route at this point. Yes, things could be back to "normal" (whatever the new normal is going to be) in a few months, but things could also go back to "normal" and then we have a second outbreak and things stop for longer. I'm not willing to risk sitting on an empty $500k cabin for 3 months (in the best case scenario) let alone for longer (much more likely).

Another thing to think about is all the people who can no longer pay their mortgages. How long will the banks be willing to let the payments slide?  Even if we get back to normal in 3 months, there will be 20M people without jobs who still can't pay their mortgages. Will the banks let mortgages slide for 12 months? 18 months? Who knows. The ripple effects of missed mortgage payments, missed rent payments, 20M people out of jobs, etc. etc. etc. is going to result in a lot of foreclosures in the next 6-18 months. Id rather stay liquid and be able to pounce on anything that comes up.  That's just me though.

On a side note, I'm actually really disappointed about not being able to buy a cabin. I've been super stoked about it for a year+ now and was ready to get going. There's an old saying, "there will never be a perfect time to buy." That's 99.99% true, however this current situation is the 0.01% time when its LITERALLY the worst time in human history to buy. Extremely high prices (which I was still willing to pay had this not happened), no revenue, and for the first time in history not a single person on the planet knows what's going to happen. 

Keep your dry powder for a better time.

@Synthia B. my wife was a travel nurse and we traveled for 5+ years and loved every minute of it!  We actually took an assignment in Corpus Christi and fell in love with North Padre Island and ended up buying a place. A few years later and we now have 3. It's a great place for STRs. Spring break and the summer months are KILLER for rent. If you have any interest in STRs shoot me a message. My wife decided she doesn't want to do travel nursing anymore and its been very hard for me to be settled in one place now lol

Not trying to be a dick, but why would you buy these lots without knowing the answers to these questions?  Seems like those are the very basic "must know the answers to" questions you'd have to have BEFORE buying... unless you have a backup plan.

I own a few rentals on the island there and Flour Bluff isn't really the best area unless you are out on the west end.

 Hi Jason - I own 3 properties on North Padre that I rent out and I can assure you the island will never pass any regulations that don't allow STRs. There are way too many part-time islanders and it would cause mass panic with all the owners.  I won't speak to the downtown area though as I don't know.  If you're interested in the island we are selling one of ours down there and it rents like wildfire! You could easily cover the costs of ownership by renting out during the summers.  The island is only 20 mins from downtown so its an easy commute as well. 

Hey Brett - I know this thread was from a year ago but it just came up in a google search so I figured id give you a reply. We are in the process of selling our condo at beach club if you still have interest in the area.  Just shoot me a PM. 

I would check out Corpus Christi and North Padre Island as well. The prices are half of that of Florida and rent almost as well. We bought a 1/1 condo for $135k and it did $28k revenue last year.  You can just about cover the cost of the place during the prime summer months and then live there the other extremely peaceful and quiet 9 months! Feel free to shoot me a message if you have any questions.

Remember the summer season is BY FAR the busiest. If the software projects off summer season only the numbers would be ridiculous. You can cut that revenue and ADR number almost in half and that looks to be right on the money for my properties. 

Your main goal on the island is to break even from Oct - May and then cash in during summer. My little 1/1s do $3,500-$4k in the summer months. 

@Rhonda McDaniel I’ll take payments. Let’s make it two payments; 50% upfront and 50% next month.

@Bruce C. Why would you ever not have health insurance?? That makes no sense in any way and it’s a terrible financial decision. Insurance is what keeps financially free people financially free

We are now selling both of our 1/1 condos on North Padre Island if you're interested.  One generated $28k revenue in 2018 and the other has only been listed since March and did $14k between March-Aug.  Good cash flow and I am willing to let the new owners literally copy/paste my Airbnb listing and use my pictures.

We are selling to consolidate into a single larger property.