All Forum Posts by: Daniel Hillman

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $440,000
Cash invested: $30,000

Single-family house hack. We were able to split into two fully separated units. We installed an additional kitchen in the basement.

What made you interested in investing in this type of deal?

I think house-hacking is one of the safest and easiest investments. With the current state of the market, a house hack made the most sense. Additionally, only having to put 5% down is a real plus. Finally, with the STR regulations in the Springs, we needed to live in the property.

How did you find this deal and how did you negotiate it?

MLS.

How did you finance this deal?

Conventional.

How did you add value to the deal?

A few minor cosmetic upgrades and installation of a second kitchen in the basement.

What was the outcome?

3 bed 2 bath Airbnb upstairs and 2 bed 1 bath apartment in the basement.

Lessons learned? Challenges?

Appraisal came back high, so we increased our purchase price and got an equivalent concession from the seller that was used to buy down the interest rate.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Courtney George from CMG Financial is a wizard at finance. She was able to fund this deal for through some very creative financing.

Does anyone know what the regulations are for STRs in Canon City? I've looked around online but can't seem to find much of anything. Thanks for any help! 

Hey everyone! A few people said they couldn't make it this Thursday so we are actually going to push the fist meeting until Thursday October 28th. Sorry for the change. 

Hey Wendy! Thanks for your interest. I'll share a zoom link with you as we get closer. 

Multifamily Millionaire Vol. I finally arrived! My wife and I would love to read it with other people. The first meeting will be Thursday October 14th at 6:00 pm. Location is TBD based on the number of people interested. The first meeting will just be a chance to meet each other and decide on a reading schedule.

If you can make it, please respond here so that we can plan for an appropriate space. We might have a few people joining on zoom. I will be happy to share the link if anyone wants it.

I would love some advice on possibly selling some property. My parents have two duplexes in Minneapolis that they have rented out for a number of years. They are planning on getting out of landlording and are considering selling both properties. They have the opportunity to roll the capital from the duplexes into another investment but the timeline is a little tight. 

I'm wondering if it is better to try and find a cash buyer that can close quickly or would it be better to take the time to go through a local  Realtor? Thanks in advance for any advice or ideas. 

Hey Jonathan. I'm more on the newbie side of things but I'll try to answer some of your questions as best I can. 

2. Cashflow? I've got a SFH that my wife and I have hacked into an AirBnB. We have positive cash flow even with us living in half the house. We plan on buying again within the year and will do mid-term rentals on both units and the garage. I'm estimating $500 in cash flow at that point.

3. Areas? The East side of I-25 is more affordable and where I am looking for deals. Old Colorado City also has some hidden gems especially if you are willing to do so rehab.

7. RE Meet ups. The House Hacker Mafia meets at Oscar Blues the first and third Thursday of the month. It is a great group of new and experienced investors. The group is focused on sharing knowledge and helping each other out. I'm also hoping to start a book club here in the next month to read Multifamily Millionaire Vol. I and II. 

Other thoughts. Colorado Springs has seen 20% growth in home values in the last year. Nothing I've read has indicated this will be changing in the near future. 

Good luck on the potential move! 

I think Colorado is a great place for STRs. Colorado Springs (El Paso Country) can be good but the regulations can be limiting. Teller County (Woodland Park and Cripple Creek) are next on my list though. Easier regulations for Airbnbs. Cripple Creek is busy year round and properties are relatively affordable. 

Congratulations on developing a successful business and selling it! I agree with everything @Grace Wang said. I think the BiggerPockets podcast is such a valuable resource. I also really liked The Book on Rental Property Investing. 

I would also add that you should try to connect with other investors in the community. There is a House Hacking group that meets every other Thursday at Oscar Blues. They are really supportive and full of great people that are looking to share their knowledge. I'm also hoping to start a real estate investing book club in October for anyone that is interested. I'm hoping to get into multifamily in the next year so we will be reading the Multifamily Millionair Vol I. and II. 

Tiffany Lachnidt from the Distinctive Group is amazing. (719) 232-1564