All Forum Posts by: Chase Helm

@Myka Artis, I really appreciate this feedback. I have been running the numbers on a lot of properties and feel like every sign is saying to look for a different path like you broke down above. I am going to start expanding my search to look for straight SF into the up and coming adjacent areas.

Hey Haley! Welcome to Dallas (in June), it's a great city.

I have the furniture costs built into the rehab cost right now since I am not 100% confident on which way I am going with yet (rental/Airbnb) but if broken out I am targeting about $2,500 for the 1BR.

I plan on handling the cleaning myself for the first unit but will most likely hire a service as I expand but I have not factored in that cost for this one. Cleaning supplies I have built into maintenance and capital expenses Long-term (5-10 years) I plan on flipping it as this area will continue to appreciate barring another recession. Long-term furnished is definitely on my radar as I move forward, especially around Baylor/Deep Ellum and the Medical District with Parkland/UTSW, I've talked to a couple of friends who are doctors and they know people that do this and puts people like us in a good situation to help each other out. Sometimes, you may even be able to get in with a company that handles the travelling doctors/nurses and they help cycle tenants in and out.

Agreed on sunk costs, we do have some extra furniture in our house since we recently moved, that could be used in the Airbnb until we can figure out what all works and improve/upgrade as me move along.

@Whitney Hutten, thanks for the response!

$1500 would be just buy and hold and AirBnb would be around $2000/month.

Yes, the property taxes are tough here when putting the numbers together, Buy and Hold would work if they were more like national average. HOA's around running between $200-$300/month in the areas we are looking at so not awful but not great either. I agree, a Single Family may be the better option to take a look at for this 1st one to give us a little more cushion.

$50k would be out of pocket, we would pay back HELOC no matter what.

I do believe there is a chance to get a lower price and that is what we are pushing for on a couple of properties we're looking at but no bites yet.

Howdy everyone!  This is my first post. I have been a member for awhile but just now taking the jump into real estate investing.

I am trying to avoid falling into analysis paralysis and just wanting to get started. I have a HELOC set up and am looking to use that money to do a BRRRR on a 1BR/2BR townhome close to where I live (I know I can probably find better deals further from home but am not comfortable going that far out with my first). When I run the numbers, I am either not able to pull enough back out with the refinance to pay back the HELOC or I have to leave more of my own money in the deal than I would like ($50k) in order to maintain a $100/$200 cash flow. Now, in order to just get the 1st deal off the ground, I am considering using the first property as Airbnb in order to pull more money out and get the returns I am looking to achieve. With it being Airbnb, I was considering buying a unit in a mid-rise condo building or the townhome. Does anyone have any recommendations on whether or not one is better than the other for Airbnb/rentals? (assuming similar neighborhoods).

Basic info on the Deal:

- Location: Dallas, TX

-Budget: $200k

-Purchase Price: $150k-$175k

-Rehab Budget ($10k-$15k)

-Average rents: $1400-$1500/month  ($1500 gets me right around break even)

Just looking for any recommendations and would love to hear about anyone's past experiences with a similar situation or Airbnb in general.

Thanks!

Chase