All Forum Posts by: Christian Longacre

@Justin Brown and Christine Stefchak at Light House Realty LV for buying and for property management.  They are both investors and work with myself and other Allentown investors.

@Mitch Davidson those are great points. I spoke with an appraiser about converting my finished basement to an ADU years ago. They told me it would not really change my home's value, but it would provide cash flow.

Additionally I spoke with another local investor and contractor several years ago.  They indicated that for almost the same effort and cost, it's much more profitable to subdivide the lot and build a second home.  Personally I think this is a better solution for most investors.  

Hey @Katie Kapelsohn!  I'd talk with @Justin Brown.  He hosts an Allentown meet-up and should be able to help you get connected.

Hey @Justin Laughter!  Welcome to BP!  I host a meet-up in Asheville for rookie investors and we have a few folks who invest out of state.  DM me if you'd like to come to the next meet-up.

@Sarah Schopbach that sounds like a great idea.  I think there are definitely some advantages to Homestyle over 203(k).  Give @Mitch Davidson a shout and he can walk you through the differences. For example, I think 203(k) has some limitations on what types of repairs/renovations you can borrow for, whereas Homestyle is more flexible. Keep in mind that either way, you want to make repairs/renovations that will actually add value to the property or create additional income. Also, do you think you could open a HELOC on your current primary before you move in order to help fund your next property?

You probably know this, but VA loans aren't great for fixer-upper houses since they have stricter inspection requirements than other loans. Best to save that for a future purchase.

Good luck!

@Mitch Davidson I've also found that allowing pets makes a huge difference in the Asheville market.  I decided to limit the number of pets allowed and their combined weight to reduce the wear and tear on the property.  That strategy has worked well for my properties.

Hi @Javaughn Harkness, what areas of NC are you interested in?

Hi @Matthew Hanbury, I'm sorry to hear that you're in this position.  I'm not a lawyer, you should definitely consult one before taking action, but here are my thoughts. 

I think this decision should have been sorted out in your divorce decree (who continues to own the property, who remains on the mortgage, etc.).    Keep in mind that being on the mortgage and property ownership are separate topics.  Re-read your divorce decree and your talk to your attorney before planning anything else.

Keep in mind that if you need to refinance, you'll need to requalify for the mortgage. Does your DTI support $1750/mo?

Finally, I suspect that you've been through a lot in all of this.  I applaud your desire to start a small rental property business, but you don't need to do everything at once (finishing school, raising kids, starting your business, etc.).  I'd suggest taking things one step at a time, setting yourself up for success in the long run.

Feel free to DM me if you'd like to chat about anything privately.

Hi @Bryan H.!  If you're feeling like you can't afford to make a mistake and talking about taking-on a development project in another market, my first thought is that you've probably backed yourself into a corner unnecessarily.  Could you brainstorm 3, 4, or 5 other ways to go about it?  

In my experience, @Abigail Gibson's recommendation of 20 minutes from downtown Asheville is solid (for the Asheville market).  In many ways Maggie Valley / Waynesville is it's own market, but still a good one if that's where you want to invest.  Each of the sub-markets around Asheville are unique in terms of attractions and restrictions (there's plenty of discussion on BP regarding the recent restrictions in Woodfin).  

I'd be happy to talk more about specific sub-markets, just send me a DM.

Especially if you can build from scratch, go for something unique if you intend it to be an STR for the long-haul. The Asheville market has been a vacation home / second home market for a long time and I wouldn't expect this to change anytime soon. Make sure you are dedicated to operating a top-notch business as well (achieving superhost status, etc.). Investors tend to get caught-up on the acquisition, but I'm convinced that operations is the key to being profitable.