All Forum Posts by: Eric Prine

I'm about to finish renovations on my first rental property in the Frankfort area (19124) of Philadelphia and I'd like to start a relationship with a good property manager.  My goal is to add at least 2 properties per year to my portfolio and will need management for all of them.  for this first property i'm trying to decide whether or not to go Section 8.  the house was Section 8 previously and i've heard that the rents are higher and the tenants more stable.  I like the idea of providing affordable housing as well. 

Hey @Jake Washburn I am on this one but I think in the future i'd like to hire it all out.  it was just a conventional loan with 20% down.  Then i'll refi and pull 75% out of the

Hey Dylan. thanks! We have friends that started a management company down there.  we pay them 20% of the after tax income excluding cleaning fees.  We also go down once or twice year to stay in the house and check on the user

Investment Info:

Single-family residence buy & hold investment in Savannah.

Purchase price: $325,000
Cash invested: $30,000

Bought as a personal residence and house hacked it before I knew that term. When I moved away from Savannah it was used as a traditional long term rental. Four years ago we turned it into a vacation rental. Everything is above board and we have a Short Term Vacation Rental license from the city and pay all the city and state taxes and have a manager that runs it. We recently refinanced and pulled $80,000 out of it and are using that money to start our BRRR investing in Philadelphia.

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

It began as a persona residence then became a long term rental and then it became clear that in this area short term vacation rental are very profitable and if you stay within the confines of the regulations I think they can be fairly safe long term.

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

Bought it in 2005 as a personal residence. I don't recall if I negotiated at all or not.

How did you finance this deal?

$0 down conventional loan. They were giving those away in 2005 :)

How did you add value to the deal?

Did some renovations when we changed it to a vacation rental.

What was the outcome?

A great vacation rental that does very well and we were able to cash out refi.

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

Mike Tavani at Guaranteed Rate for the cash out refi.

Investment Info:

Single-family residence buy & hold investment in Savannah.

Purchase price: $325,000
Cash invested: $30,000

I bought this house as a personal residence and house hacked it before I knew that term. When I moved away from Savannah it was used as a traditional long term rental. Four years ago we turned it into a vacation rental. Everything is above board and we have a Short Term Vacation Rental license from the city and pay all the city and state taxes and have a manager that runs it. We recently refinanced and pulled $80,000 out of it and are using that money to start our BRRR investing in Philadelphia. Here is a link to the home:
https://www.airbnb.com/rooms/7896025?s=67&shared_item_type=1&virality_entry_point=1&sharer_id=1358294&unique_share_id=599e14d1-a4f5-45e4-8f9d-78173ecae5c2

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

It began as a persona residence then became a long term rental and then it became clear that in this area short term vacation rental are very profitable and if you stay within the confines of the regulations I think they can be fairly safe long term.

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

Bought it in 2005 as a personal residence. I don't recall if I negotiated at all or not.

How did you finance this deal?

$0 down conventional loan. They were giving those away in 2005 :)

How did you add value to the deal?

Did some renovations when we changed it to a vacation rental.

What was the outcome?

A great vacation rental that does very well and we were able to cash out refi.

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

Mike Tavani at Guaranteed Rate for the cash out refi.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $67,000
Cash invested: $25,000

Single family home that we are BRRRR'ing. We are currently doing some DIY renovations on it.

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

Seemed like a good BRRRR opportunity.

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

I am an agent and I found it on the MLS. We offered below asking and then negotiated down another 5% after inspections.

How did you finance this deal?

Traditional mortgage then after renovating with cash we will refi. On our next one we will utilize cash for purchase and a HELOC for renovations then refinance. That way we will not have 2 conventional loans on on property and we limit all the closing costs.

How did you add value to the deal?

We are doing a pretty full cosmetic reno. New kitchen, update bathroom, new floors, some exterior work, new water heater, and paint. It already has a new roof and the heater is only halfway through its design life.

What was the outcome?

Still working on it.

Lessons learned? Challenges?

We wanted to DIY this first one to have a base of understanding about renovations and costs. We are discovering that finding the time to actually do it is difficult with very busy lives.

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

Yes. I worked with me, I'm pretty good :) I actually just received the same award that David Greene won. I'm in the largest real estate office in Philadelphia (KW Philly) and was just awarded Rookie of the Year. I worked with Mike Tavani at Guaranteed Rate and as a lender and he is fantastic!