All Forum Posts by: Erik Kraemer

@Richard Lovering FYI, ended up w/ an approval for a portfolio loan (10/1 ARM) through Northway Bank who are familiar with all of the HOA's in Lincoln. Super quick, easy to work with and very helpful in understanding financing options on a 2nd home. All in far less expensive than I had projected which is nice given the uncertainty of rental figures!

Best,

Erik

@Richard Lovering thank you! I'll check NBT out to see what they can do.  I've spent some time on AirBnB, HomeAway and AirDna to try to get a sense but definitely hard to gauge what they will turn YoY etc.  Realtors have provided conflicting opinions and numbers from the sites are a bit all over, but generally speaking helpful to get a sense of vacancy rates.

Thanks again!

I'm currently evaluating 3 bed condo's near Loon Mountain in Lincoln NH. While they seem to cash flow with traditional financing, most HOAs will not qualify and require a portfolio loan. Does anyone have any experience with portfolio lenders or creative financing methods to avoid 25% down?

As I analyze these properties I'm doing my best to evaluate the STR market and avg price/night but having a tough time w/ 3 bed comps. This market in particular seems to have significant opportunity 3/4 seasons (winter, summer, fall). There seems to be good cash flow opportunity or at the very least break even opportunity w/ some personal use.

1. Does anyone have experience in this market or offer any advice on avg price per night for 3 bed condo?

2. Any data on vacancy rates?

3. Any ideas for financing a property outside of 25% down?

Thank you!

Erik

@Charlie MacPherson - Thank you!  Good point on the flood zone, didn't even cross my mind as I'm not, but this maybe .1 mile closer.   Very much appreciate the insight.  Not sure on the summer rental appeal as it's just outside a reasonable walk to beach/harbor and no water view.  $2000 is roughly what I've been seeing as well and appreciate the referral to Tim.

Happy Holidays!

@Brian Ellis Thank you!  I've reached out to a few and used a few other websites, but I'll check out rentometer.  Still running numbers and a lot depends on what I can get it for, but there's meat on the bone regardless.  Cash flow isn't the main driver so would be happy w/ ~$200/month if it were to work out.  

Appreciate the help!

EK

Hi all,

I'm analyzing a single family property in my neighborhood (near Egypt Beach/ Wompatuck Elementary for those familiar with Scituate).  The property needs A LOT of work, so there's value to be had as either a buy and hold OR flip.  I don't know the market for SF rentals and don't entirely trust the research of done, looking for help from local realtors or investors who may have more in depth knowledge to help me evaluate the potential for BRRRRing this property.

Thanks!

EK

All good thoughts and perspective.  

Additionally, I think it depends on where you are looking to invest.

On where- If you are looking at suburbs, I'd research rules for that specific town. Lowell, for example, may have attractive opportunities, but there are added risks given the political climate (specifically around rent control). 

I own (currently selling) a single condo(1/3) in South Boston and have been renting it for a couple of years without issue.  I think Andrey and Brian nailed it with selecting the right renters and getting everything in writing. I worked with a realtor to rent our condo which worked out really well. She was able to share more than just the standard information per application which helped in the process, along with writing up the lease with all terms clearly stated and agreed upon.

I'm looking to reinvest the capital from sale and would be interested in hearing where you land!

Best of luck!

@Jaysen Medhurst Thank you for the reply.

We tapped into the HELOC to purchase our primary. The current balance is $23K, paying interest only.

I'm not familiar w/ velocity banking, I'll do some research.  

Thank you!

I currently own and rent the top floor unit (specs below) of a 3 unit building in South Boston.  This market has exploded over the last 10 yrs with little signs of slowing down. This property is on the corner of East 2nd and O st, a block to the beach, 1 mile to Seaport, on several bus routes, with several high impact projects w/in walking distance.

While the property currently nets about $300/ month, my wife and I want to tap into the equity for primary residence improvements and potentially cash out entirely to build a more diverse, cash flowing portfolio.  

Our inclination is to sell, cash out (avoiding taxes for holding outside use as primary residence), reinvest cash in next investment (potential BRRRR ops) and build from here. The main question is- Do we sell or are there other options to access equity we should consider?

Specs:

Condo- top floor, 2 bed, 1 bath, exclusive back deck and roof deck, laundry in unit, modest updates

Purchased- Oct 2014 for $415K (5% down)

Current valuation- $625-650K

Mortgage- principal $370K ( conventional 30yr,  4% fixed)

HELOC (for primary residence purchase)- $23,000

Additional investments- $27,000 

Rent (beg Aug 2017)- $3000 /month

Net (condo fee, taxes, ins, HELOC)- $300/month

Thank you in advance for your help!

Erik