All Forum Posts by: Jason Kern

Hi @Vysakh Sivarajan - I've also got some local knowledge. Reach out directly and I'll share what I know, etc. 

Looks text book! Nice one. 

Get an attorney or title company to do the title work. That's what they're for! Then, buy a title insurance policy at closing. ALWAYS buy a title insurance policy. If the title insurance policy comes back with some exceptions before closing that they won't "cover over" then back out or give them a chance to correct it. A quit claim is just fine as long as your title insurance policy covers it. You'll discover this through your title company or title attorney. 

Note: This is free advice from a stranger but quit claim deeds, often misunderstood, are something you can capitalize on. 

My advice (it's free, so...) is usually:
1. If you're buying a STR property and you're managing yourself then you're buying a job in hospitality. It's a great way to go but if you get burned out make sure you've got a PM lined up and/or be ready to sell it. A few bad experiences have zapped some of my early investor clients' and taken their enthusiasm so they backed out.
2. Your PM is your lifeline. The right one will make a good market great and a bad market ok. The rest is just a math problem. 

I'd like to hear more. 

I face this doubt/nerves/fear every time I buy a property. I've got a bunch of them now. 

If you don't do it, you won't have DONE it. 

Hi @Vu Pham - I'm from Maine. It's an awesome state in a bunch of ways. BUT- There are only 1.3MM people in the state so there's not a ton of interest from big data companies diving into the data. That said, any STR is likely going to be seasonal. Either summer or winter. Having a property that does both is the traditional challenge. The "more densely populated" areas, which is basically Portland can accommodate but there's bunch of pressure on the Portland market right now and it's causing some turmoil between pro/con groups in the town. I don't mean to sound gloomy I just want to make sure there are tempered expectations for folks considering a move into the state. Honestly, I love it and I'd love to talk shop about my experience as a broker and investor here.

J

Keep your risk/leverage/LTVs in check and play the long game. Let's just not lose our heads when it does what it always does and keeps us guessing at the same time. 

I'd aim to set a precedent to stay legit. You'll have opportunities all along the way as you build your machine but it'll mean more if you keep your integrity too. Can you rent out the RV?

Hi @James De Stefano - I think you're right. I don't see an end to inventory shortage but I do think the middle income will continue to be stretched and thinned. Personally, I'm looking to stay pragmatic with my LTVs and use a little less risk while focusing on residential rentals. If there's a point where the middle income households get squeezed and can't write big checks for overvalued homes they'll need a place to rent and will be crowding out the millennials for rental housing. All in all, keep an eye on it but proceed "like a river".