All Forum Posts by: Jillyan MacMorris

I have been invited to JV on an investment property using a DSCR loan, but I don't have enough cash on hand. Can I borrow money for the down payment and use it for the JV? If so, how would I need to structure the JV agreement? I have never worked with someone else on an investment property before.

To clarify: the scenario is a buy and hold residential rental property, no plans to pull money out of it.

Hello everyone!

Just reaching out to see whether any midterm rental operators or hopefuls are headed to the STR Summit this weekend hosted by the Real Estate Robinsons in Orlando? Zeona McIntyre (co-auther of the BP book 30-Day Stay) will be one of the speakers, and I'm hoping to connect with as many other MTR folks as possible! DM me if you're planning to be there and I'll buy you a drink!

I don't know, but I have the same wonderings! Hunting for my own REI-friendly CPA in Illinois to help me with the same questions. Go get 'em, Miranda!

I would love to purchase one ticket as well!

Hey @Siobhan Cooney! This is a condo unit, so it's a relatively simple setup.

Monthly expenses:

- $750 mortgage

- $250 HOA (includes most utilities, in my case)

- $78 cleaning fees (assuming one new guest per month)

- $90 internet

- $50 capex

Monthly Income:

- Avg $2,500 over the course of the year (higher in the summer; lower in the winter)

Avg Monthly profit: 

- $1,282

@Jay Hinrichs Thank you! I’ll reach out to someone!

@Zachary Carver, I’m glad you mentioned that! I have only lived in the place for 14 months and it’s being sold. In that case, @Bill B., should I opt for a 1031 exchange? 

Thank you @Bill B.!! That makes sense, and I will not be making more than $250k, so I’m good! I appreciate you explaining my options!

I own and live in a condo, but my building is being sold in a deconversion! An offer has been accepted and I we are in the 60-day closing period as we speak. Can I use a 1031 exchange on my primary residence to purchase a new primary residence? Or only on investment properties?

I purchased my existing condo as my home, but started renting it out on AirBnb a few months ago. Would it then count as a rental property for this purpose? I intend to house hack the next property, opting for an owner-occupied conventional loan. Does a 1031 only apply for loans on properties which are 100% rentals from the start?

Investment Info:

Condo buy & hold investment in Arlington Heights.

Purchase price: $116,000
Cash invested: $13,000

Mid-term rental condo. 1b/1b. High demand and low availability in my area.

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

I needed a home!

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

I bought it in spring of 2021, and didn't succeed in negotiating AT ALL with the seller.

How did you finance this deal?

Private money for down payment; conventional, owner-occupied, 3.125% interest loan.

How did you add value to the deal?

Remodeled a dated bathroom

What was the outcome?

I lived in the unit for a year before I started renting it out as a mid-term rental. It is fully booked with traveling professionals on a monthly basis.

Lessons learned? Challenges?

Condo associations can be really rough. The fact that I can rent this unit out as a mid-term rental was a fluke I likely can't replicate! I will not buy another condo in the foreseeable future with the terrible experience I had living in the unit and getting any help with maintenance issues through the property management. Next time I will house hack. I didn't purchase this place with an investing mindset, but as my home! It worked out better than I ever intended.

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

Andrew Street - Manages my mid-term rental through AirBnb. I met him through a question I posted on a BP forum!