All Forum Posts by: Joseph Bafia

I've got 5 out in Western NC in surrounding towns around Asheville.   Definitely opportunities in the region.  I will recommend @Ryan Howell as he has helped me and a few others land some properties.  $200k is possible but it will take alot of research and maybe some off-market searches as many looking for that price point.  Happy to answer anything further!

You've done your homework and there is no right or wrong answer to your findings. Although I do believe there are "better" places for REI value, you can really find a good investment in any of the markets you mention. What's really important are these 2 things.

1) How much research, work connections and investigating are you personally willing to do in any of these markets?  You are competing with investors in those markets who know those areas so you have to outwork them to find a deal that they can't find.

2) Network in those areas.  If you have connections, resources, fellow investors, friends, etc. in those markets, you have connections to hearing what is available.  If you are missing these resources, again you are competing against "experts" in those markets and they have an advantage over you.

I'm in Raleigh, but I invest in Western NC (4 hours from me), coast of NC, (2.5 hours away), CA, and IL.  It can be done.

My advice is pick a place and put ALL your efforts into a strategy to get into the game in that market.  Start by finding someone who has been successful in that market and willing to help you get into it as well.  (those people are out there)

I've done a few partnership deals on STRs and they work well.  First step is to identify what you want in a partner.  Are they bringing the financing, hands on help, admin decisions, etc.?  Once you determine what you need, you can start creating a plan as to how much value that partner brings and how it equates to a cashflow and equity split.

Keep in mind that partnership deal is different from an "investor" who is just financing you. We have an LLC that outlines each partners responsibilities, equity and exit strategies.

Happy to help answer further questions.

Here are 2 good resources:

@Jordan Lockaby @Ryan Howell

Congrats on jumping into the game!  I'm in Raleigh so don't have many connections in CLT, but I do have properties in Western NC.   I'm tagging @Steve Jones as he's in the CLT area and may have some words of wisdom and is a good guy!

Happy to help answer any questions.

Using AirDNA is a good start to get some ideas for rates but depending on location and how much data in those markets, always good to vet with your own research.  We self-manage 8 properties and up to this point, don't integrate a ton outside of using the Airbnb/Vrbo tools and the Schlage app for door locks.

A master at the tech stack is @Will Parks and has some cool integration.  Reach out to him for some tips or maybe he sees this post.

I'm happy to help answer any STR specific questions, but personally have no presence in the area you mentioned, howvere, I suggest reaching out to @Alyssa Czopor as she has a successful one in VT.

Best of luck!

Great to hear someone at your age jumping in and taking action.  Are you networked with any other real estate investors in your area?  If so, is partnering with someone an option where they fund to the finish line and you share some profits?  Does it have some added value already for someone to buy you out and take over?  Its a very similar situation that happened to my son (19 year old) when he got in too deep on a flip and ended up selling before he finished.  

The CC route is always an option as well.  With some low interest terms, it could make sense.

Best of luck to a fellow Iowan! (we lives in DSM for many years before moving south)

Congrats on getting ready to move forward.  We recently bought one in CA as well.  As stated, make sure you know all the regulations.  Outline your systems and start building your team which will start with a great investment minded-realtor if possible.

Happy to answer any more specific questions you may have!

As @Jeff Langley mentions, location is important with lenders as not all can go to every state.  We used the same bank and lender that financed our primary home (First Citizens) to purchase several STRs.  You can test several banks, but we chose one where we felt the lender knew us and our situation.  These were bought as 10% down 2nd home loans.  We've also bought other STRs through asset based lenders, but those were 20% down.

...And also very possible to get 10 properties in 7 years.  We're up to 8 in just about 2.5 years.  Various strategies, partnerships, creative financing and some grinding!