All Forum Posts by: Dan Thomas

I think you will definitely want to talk to your lawyer because there may be items linked to this transaction you are not considering. In general though, I would think that if this is a partnership LLC you could make a capital contribution in return for equity in the LLC. If you are paying cash for the STR this seems pretty easy. If you are taking on debt for the STR this gets a little more complicated, but not much. Your lawyer will have advise for you. Their capital contribution should be pretty easy to establish as it would be the value of the land.

Like I said, I'm not a lawyer and I would suggest you talk to one but this seems logical to me. 

@Christopher Morris

You got alot of great insight already. I'll add that every successful real estate investor i know personally has a w2 job and none intend to get rid of it anytime soon.

Making real estate your primary income source isn't passive unless you have access to significant capital. Not debt but YOUR money. The example that Arn gave you probably gets a whole lot more expensive when you give 8% of gross to a manager to make it passive.

@Jacob Anderson

I've only used my HELOC for investing when I have a quick exit plan. For example funding rehab with the goal of a quick refi to pay off the heloc. There are alot of risks using your heloc and you need to understand how you will make the monthly payments for the heloc AND how you plan to pay off the principle of the heloc. Being 100% leveraged isn't a good thing. It may make sense to save a bit more and invest from a position of power.

Keep in mind most helocs are adjustable. I got bit a couple years ago and went from a 6% rate to almost 10% rate. The impact to a balance of 100 or 200k is substantial. Make sure you are prepared for that and have a contingency for that.

 Thanks!  I'll check them out.  I have not looked into them previously.

 We don't specifically ask for them to "close" but we do ask for them to lock the door behind them.  I would assume any halfway intelligent human being would understand we mean "shut and lock" but maybe I assume too much.  We can certainly be more blunt in our wording.

I will try a different rep..good idea, Thanks.

 I don't see the value there....paying a plumber to come re-iterate common sense.  I suspect I will throw more money at a problem Airbnb has no interest in covering

 We had a back to back booking that day so the cleaner was there at exactly check out time to ensure they could turn the place in the 4 hour gap we have.  I can't speak to what time these slobs left as I don't require notice but the cleaner was there promptly.  

 It doesn't make sense.  It's only $1200.  I am just really frustrated that they advertise this insurance that they refuse to pay out.  I have supplemental insurance so I am of the mindset that they should get rid of this bogus insurance and lower my host fees..

@Patricia Andriolo-Bull

Yes, they stated they would not cover the chair.

Yea, not sure how to prove that. We have cold winters in northern NH. We heat and keep the doors closed and don't have issues normally. I guess I can't wrap my head around the fact that anyone can make an argument as to how the doors and windows being left open was not the root cause of this issue. Seems clear as day to me....

@Bryant Xavier

Yes we provided documentation from the property manager who responded stating that the cause was the open doors and windows...didn't seem to help.