All Forum Posts by: Jaylan Archer

Hey Eileen! 

Super difficult to find owner financing right now but it is possible.

It sounds like it is a credit issue as far as not being able to qualify for traditional financing? 

Hey Cliff!

Great insight. I'm just curious, do you know of any towns that have started to tax STR's?

Hey Joe!

Congrats on starting the journey into investment property. I'm glad to hear you are working with an agent experienced in rental properties. Unfortunately many agents out there don't understand the dynamics with multi-family property.

Like others have mentioned - I would definitely go with the FHA, 3.5% route. That is by far the best way to get started in small multi family properties by owner occupying. I have found that typically the more units 3 or 4 the better in regards to cashflow using this method.

It's still a really strong sellers market in Maine and NH in just about all markets. You are going to struggle finding great rental properties that you are the only buyer offering on so getting your closing costs covered might be a tough thing to do. If you are able to find something off market that is likely the best option but also will take the most time.

I have had a lot of success sending out mailers, door knocking and looking up sellers on properties I knew I was interested in buying or had a buyer for. By far - the most important property an investor can buy is the first one. I always recommend a buyer wait on the good deals to find a great deal. 

Hey Sarah! 

This is a great question and I am sure not something that most STR investors would consider as they start building out their direct booking websites.

Are you looking for an accountant that is familiar with real estate short term rentals as I am not sure who else would be able to be of assistance for this.

Hey Lauren!

Definitely wouldn't hold me up in Maine or NH. Like others have said you can just side over it if it is just the siding. We haven't seen any regulation or restrictions about that yet but there is the possibility that codes could change for asbestos.

That is just for siding though - as obviously asbestos can be found in various places like flooring and insulation.

 You're not wrong! There's a huge push for inventory of single family homes as well as rental property. NH housing just did a study and found us 23,500 homes short of a balanced market. I know that is for single family homes but it is as equally as bad if not worse for rental properties. 

There is no great solution with the cost of land, development and construction for rental property. NH and the northeast don't typically see entire cities built like a Florida or Texas can. We don't have institutional investors or builders but there is a push for more housing.

Hey Michael! 

I would agree with Anthony on this one.

Each property and town could have different percentages based on the property, location and unit sizes. I try to take a look at each property and run the numbers on maintenance and cap x based on the roof, siding, heat, etc and when they were last replaced.

For vacancy - I think that is a good running average but the state of NH has been averaging under 2% for the last several years. The other benefit that I think NH has that is keeping that number low is the lack of new rental properties coming to the market. Most of NH's rentals are older compared to the national average. 

I personally would generally run numbers at 5% for maintenance, 3% for vacancy and 8% for capx.

Hey Nicholas!

This is definitely a town by town case but very common especially along the coast like Dan said. They really want to make sure properties aren't turned into rental two units in areas that aren't zoned for it. 

Maine did just recently pass a law that goes into effect shortly that should change downtown growth areas for those that know about it. It does not impact all properties but rather areas in Maine designated as growth areas. The legislation is called LD 2003 and it is essentially an act to implement increased housing opportunities in downtown Maine cities.

A lot of good opinions on here already but I figured I would share mine.

I don't personally have any short term rentals in NH or Florida but do have one just over the border in Southern Maine. I will speak more so on the Northeast market as I really don't know the Florida STR market.

Parts of Nh are going to have a great year round draw to them. The lakes region which benefits from summer and winter travel is a small, well-kept, secret market. The STR's here are primarily second homes that out of staters have converted over after realizing the returns they could get. Because of this - I don't believe there are many huge players that are truly running their properties as businesses.

The lakes region benefits from some of the nicest bodies of water in New England as well as close proximity to some excellent skiing, snowmobiling, snowshoeing and other winter activities. With several large cities within driving distance 6+ hours - the demand for recreational activities I believe is a safe play without the requirement for airfare. 

Gregg posted a great article with information into one of the more popular markets (Conway) just announcing a win for property owners. This is huge for a lot of local owners as well as the STR market in NH and potentially the surrounding states. Although others have said it won't necessarily impact what other cities do - I personally think the courts decision is better for STR than if the opposing opinion had won. Conway is one of the largest markets in NH and personally where I would like to purchase next.

Hey Courtney!

Personally speaking I would like try to get a better idea of what I was looking for. If I was interested in just a STR that I also could enjoy for a few days out of the year - I wouldn't consider a town that already has restrictions or regulation against short stays.

However - if I was primarily looking for a second home that I could also try to rent to gain some income offsetting it's overall cost I wouldn't have an issue with these two towns. From experience, the most lucrative short-medium term rental property will be one without the restrictions on how you rent the property.