All Forum Posts by: Jeffrey Daniels

@Andrea Finkelstein, you may want to confirm a tenant need have actually lost income, or even needs to prove they have been impacted in order to be protected.

@Thiyagarajan Madhavan, I agree with Pamela in that we shouldn't be panicking. Investing in buy and hold rental assets is a long-term strategy, that already has a good amount of risk involved. If the numbers made sense to you before news of the pandemic hit, they should still make sense. Numbers show we are months away from even normalized appreciation rates here in the Valley. Even with the increase over the past two weeks in available home inventory, supply is still incredibly limited. We're learning more every day, but I can't see home values dropping significantly in the near future - and rents sure aren't going down. If this does lead to an increase in evictions, I expect owners to take advantage by increasing rents.

@Brett Gibson available listings were up 10% across the Valley this last week as compared to last year. A huge shift to the trend so far year to date. Among other contributing factors, it's thought that short-term rental owners are in trouble with losing our Spring Break tourism. If you're relying on cash flow for operations, losing March may equal a loss for 2020 here. There are probably many here that "understand" the short term rental market, as we've just experienced the longest increase in market value and economic growth since the post war era. As they say, everyone's a genius in a bull market! Fact is, nobody knows for sure what's going to happen in the foreseeable future.

@Patrick J. Many people far wiser than I are detailing how today's market isn't anything like '08. Phoenix could see a large drop in demand while still having it outstrip supply considerably. If lost wages result in increased evictions, rents may decrease. Personally, I still don't see owners losing property value.

@Cameron Tope it's sounding like many Colleges are closing for at least the remainder of the year. A portion of students rely on financial aid to pay the rent, and if they're not in school they may not be receiving those funds.

@Monty Bruckman maybe a problem if you're doing short term with new guests every few days. Otherwise it seems many people have paying roommates. Someone has to report it for it to be a problem, yea?

Which model are you planning on here? To flip, or BRRRR? If you're thinking flip, you're not going to be putting a family-member tenant in there. If you're going to make any profit under hard money, you'll need to sell before the % eats you up. If you're going to BRRRR, depending on the specifics of the property - you may not be able to rent it and profit under hard money. I agree w/ @Zach Wain that conventional should always be less costly financing. Unless you just started 1099, income is income for getting approved, right?

My partner @George Mevawala is the man you need to connect with. 

I think a passion for servitude is certainly commendable! Since you're already involved w/ real estate investing, I'd recommend researching the liabilities of being a licensed real estate salesperson in Arizona. You may want to check out the code of ethics, ARS, and commissioner's standards to see how they may alter your current way of handling buy/sell business and investments. Talk with brokerages where you may hang your license, to get a better idea of what an increased cost of doing business may be. It takes a good bit of time and money to maintain the license, and then you get to worry about errors & omissions, or even losing your license. I love what I'm doing in real estate, if I had the choice between being licensed or adding doors to my portfolio every year... well, I don't have that choice yet!

Hi Stanley! I did the in-class program through Arizona School of Business and Real Estate.

Just curious why you're planning to get a license?