All Forum Posts by: Julie Gates

I appreciate your reply. The complexity does keep investors from flooding the market. Savannah has had STR regulations for many years, keeping the competition out and the prices secure. In places like Arizona where there are no regulations, there is too much competition, so in a way, these complexities are very good.

Buying a short term rental in the Savannah area is complicated. However, buyers who have a full understanding of the licensure requirements and know how to plan their rental strategy (short-term, medium-term, long-term) will be very successful as this little known market appreciates on the back of the fast growing Port of Savannah.

1. There is a licensing requirement for Savannah’s Historic District and also Tybee Island. You have to purchase a property with a certificate in place (STVR) to be able to legally run a short term rental in these locations.
2. The MLS doesn't have a way to select STVR Certificate (Short Term Vacation Rental), so buyers have to read every listing description when searching in Savannah's Historic District and also on Tybee Island.
3. Buyers can get a new STVR Certificate in the Historic District and Tybee Island if the property is zoned Commercial.
4. Buyers who plan to live in the Historic District of Savannah and will be making the home their primary residence on their tax returns can also get a new STVR Certificate IF the home is multifamily and IF the owner occupies the main unit.
5. Areas of Chatham County that are NOT in the city limits CAN get a Chatham County STVR certificate fairly easily by applying with the county.
6. Some web sites say that some areas of the Historic District haven’t met their STVR quota yet. This is categorically untrue. There is a 3 year waiting list for a new STVR certificate.
7. For investors who are patient and really want a short term rental in Savannah’s Historic District, investors can buy a property in the 31401 zip code and rent it long term. Once the property has been acquired, they can put the property on the waiting list for a STVR certificate. If the investor is lucky enough to make it to the top of the list, the property will become 20-30% more valuable with the STVR certificate in place.
8. Both Savannah and Tybee Island take these certificates as very serious sources of tax revenue. Be aware that if you purchase a property with the certificate in place and you do not rent the property enough to provide the city with the expected tax revenue, the property will be on probation for a year and the STVR certificate will be removed and handed to someone on the waiting list if the tax revenue isn’t levied.
9. Savannah has an 11 month market for short term and medium term rentals. The slowest time of year is typically between Thanksgiving and Christmas.
10. Tybee has an 8-9 month market for short term rentals. When the temperatures drop below 70 degrees, the beaches tend to sit fairly empty

Are you interested to learn more about short and medium-term rentals in Savannah, GA? Reach out to me anytime through Bigger Pockets for more info on great investment strategies in Savannah and the surrounding areas.

I appreciate it. Thank you.

 I'm starting my first facility. I'm trying to get up and running with web self storage, but I sort of hate them already. My biggest complaint is that the site doesn't save my user name and password, I've never seen a more clunky site. But the price is great, am I over thinking it? Would you choose them again?

I'm a commercial agent in Savannah, GA. I have a client willing to seller finance, but the property is in a rougher area. The property is zoned commercial. I have two potential tenants who would love to lease to own. Neither is qualified to buy outright, so they need to use this option. The rent on the property would be $1,600/month. But if they want to lease to own, how do I establish the additional amount? Also, how do I establish how much of the additional income goes toward the principal pay down? Do you typically set it up with a 5 year balloon? I would love any thoughts you have. I want to protect my client first and foremost.

You need to document the return of the money every single time. The first time let the tenant know that rent is still due to the PM, but this one time you will remove the late fee if paid by X date since they accidentally paid to the wrong entity. Send it certified mail so that you can show that you didn't keep the rent. 

The next month, return the rent and have the PM charge a late fee before accepting rent. This may cause you to have to remove the tenant, but if they won't accept the new PM, it sounds like you don't really want him. The worst thing you can do is let the tenant dictate how things will go.

I genuinely wish you the best and I don't have an opinion on what you should or shouldn't do, I have an opinion on the timing of your ask. I always buy my real estate with a very clear plan for what I will do with it. I always have other exit strategies if my plan doesn't work out, but I don't think it's a good idea to buy a property and then take time to figure out what I'll do with it later. I am usually painting or meeting contractors within a few hours of closing. Time is money!

 WELL SAID, SIR.

 This is a good question. Does the property manager pay the utility bill? I don't pay utilities for owners. The city will typically only speak to the person on the bill. However, at the end of the day, it's your money and this is A LOT of money. If it were my $4,500, I'd pitch a tent on the lawn and just stay until we all fixed it.

If he has great credit and a high income, a seasoned lender can see the income before tax credits. He needs to work harder on that, which is what everyone is saying. However, I didn't read that he had amazing credit. No matter what your income, a credit score above 700 really helps.