All Forum Posts by: Denise Fitzgerald

@John D.      Thank you for your advice appreciated.  I ran the numbers and if I don't refinance my cash flow will average $1,000/mo and if I refinance will average $1,500/mo (for short term/vacation rental).   

Right now the property is just being leased/one year --- I have no cash flow.  I can make cash flow I just need to wait for the renters lease to be up June 1.  I have about half of the furniture needed to furnish and decorate for short-term rental (VRBO, Airbnb, Vicasa).  So I will have to invest about $1,500-$2,000 to finish furnishing the entire place.  It is brand new and in a highly desirable area in my city.  3 Master Bedrooms/3.5 baths 1900 square feet.  My cash flow numbers are not solid they are based on the market and my research. My husband an I ran the numbers and it just does not make sense to refinance the property.  I do appreciate people on here giving me advice.  The low interest rate I cannot give up especially since rates have risen quite a bit since then.

The place will be my second short term rental property.  I will make it work and be profitable (cash flow).  

Then on to look at other deals.............

I currently have a 15 year mortgage on a rental home I bought 8/1/16.  My rate was 3.25% I have a renter in the home and I just break even every month.  When I bought the home I was not interested in cash flow, just pay it off and later reap the benefits.  

I would like to refinance the home into a 30yr so I can get cash flow and the rates are looking higher now 4%-4.5%  

The renters lease is up June 1st.  At that time I would like to use the property as a vacation, short term rental.  I will put the place on several websites and Airbnb/VRBO.  I have another property I have been successful with for 3+years for vacation/short term rental.  I have 300+ reviews on Airbnb for the other property.

If I get a 30 year mtg. I am looking at cash flow of $1,500/mo after all expenses are paid that would be average monthly.  Some months will be less and some months will be more but the average would be $1,500.  Please remember I have 3 years of experience managing another short term vacation rental.

I would appreciate any advice on what to do financially.  I just don't know if it makes sense.

Thanks in advance --- Denise