All Forum Posts by: Jonathon Hunt

My three simple strategies to increase savings:

1. Live in a campervan - save that rent money!

2. YNAB - You need a budget!

3. Earn more - its salary negotiating season!

Let's make that bread and achieve financial independence together!

@Kevin Zhang I am a Bay Area worker who bought a single family home in Sacramento last year. I'm operating it as a vacation rental on Aribnb/VRBO/Furnished Finder. I've found that it is in high demand for long term stays (31+ days). I had a 100% booking rate last year and already booked 64% of the days for this year. 

Bookings have been the following:

1. Our of state parents visiting adult children over holidays - 47 nights

2. Out of state parents visiting daughter who is having a baby - 42 nights

3. Theater performers - 31 nights

4. My Family / Friends bookings (discounted) -  25 nights

5. New parents in town to receive and bond with surrogate child - 38 nights

If I'm fully booked for the month, there is about $800-$1,000 per month in cash flow after all property level expenses (mortgage, insurance, tax, utilities). Break-even is likely 80% occupancy so there is not a lot of room but I can use the house when its vacant and I'm building equity. 

@Dustin Allen My family has a small cabin in Tahoma, CA and we want to rent it out but saw that there is a 500' proximity rule as well as a 900 STR cap in Tahoe. There seems to be dozens of STR w/in 500 feet of our property. Do you have any strategies of getting around this, getting on the waitlist, purchasing rights from someone else, etc?

@Sebastian Marroquin Thanks for the advice and wish you much success; you're value proposition is a good one. I'll see if I can start putting together a list of builders (starting with yelp).

@Caroline Gerardo thanks for the reply. I sent you a private message with some more detail on W-2, but my current primary residence is ~90 miles from my office. I'm not a remote employee and this will not change in the future. I'm not familiar with remote letters / full doc. Can you explain?

@Sebastian Marroquin I am looking at 2-3 unit properties in Sacramento, CA with large lots that can be developed with 1-2 ADU's in the back with alley access. The missing piece to my underwriting is the terms for the construction loan to build these ADU's and where can I find a builder? I would be interested to hear how your clients are getting this done.

Hi BP - I'm trying to purchase a 4-plex in Sacramento, CA that I can either use as a primary residence (owner occupy one of the units) or as an investment. 

Total purchase price is around $1mm. Property generates $66k in gross revenues per year, $86,500 once stabilized. This is about $1,800 per month per unit. 

I only have between 10-15% for down payment. After talking to a couple of lenders, I'm not able to qualify for conventional because they require 20% down on 3-4 unit properties. I'm also not able to qualify for FHA because properties in my market do not meet the self-sufficiency rules.

Are there alternative lenders with less restrictive lending requirements that could help me out? Have you been in this position before and how did you get it done? Should I consider tapping equity in my current primary residence (single family ~$80k equity)? 

I am listing on FurnishedFinder.com

Nice! Look forward to attending. I'm actively looking to invest in Sacramento and have a few deals I'm hoping to get funded with partners.

Thanks @Dmitriy Fomichenko. Hoping this is one of many!