All Forum Posts by: Justin Anderson

I've never had complaints about a King but I have had complaints about Queens.  I don't think I'd change from Q to K until it was time to replace a bed, though.

That said, my wife complains that Ks are too big and we get lost in the middle of the night.  She's the only person I know that says they prefer Q over K.    

Xfinity (great) and wifi squared (not great) are two I know of in the area.

I'd get the current vendor from the selling agent since it can vary based on your exact location.

I've yet to find a ski town that'll be cash flow positive.  1M in Breck will get me 80k in bookings while 1M in Pigeon Forge will get me 140-160k+.  Being truly year round really helps PF and places like it.  I bought my first cabin in PF simply because I could take the profits from that to pay for my yearly ski trips and still come out ahead.

The ski towns can come out ahead if you figure in appreciation, though.  But I'm more of a cash flow guy preferring the reliable base hits to home runs, but that's just me.

I've bought the Zinus 9" for my last round of cabins and have had zero guest complaints so far.  I'd say definitely go with the 12", though.  Cheap and lasts a good long time.  I bought a couple a few years ago for my kids and they're still going strong.

@Todd Goedeke homes are DEFINITELY being built all over, especially in the burned out areas from the big fire.  It's just a fragmented market compared to big cities.  (As far as I know) there isn't a huge builder like Centex or D R Horton coming in to build out big communities.

I'm curious what other people answer on this... I'm getting 25-35% returns on the Pigeon Forge cabins I own but with appreciation lately I'm thinking 20% is more reasonable.

Daytona?  Myrtle Beach?  Branson?

Yes, the area definitely is still VERY cash flow positive and you can find cabins that'll generate 20%+ COC returns. Just be smart and don't spend 500k on a 2 bedroom.

The area has had huge run up post-COVID and doesn't show any signs of cooling off.  I don't think it will as long as interest rates are low, properties are cash flowing, and people want to 'get away' from the crowds and stay in a cabin.

There are a couple of agents in the area who are on the board here and they can give you specifics.  I can tell you that I've seen MANY properties under 500k get multiple offers the day it lists AND go for 20-40k over asking.   Often cash. So you'll have to be ready to make sight unseen offers before you get the daily emails.  There is a lot of money looking for a place to park and cash flowing cabins are a great place for it.

I own some and have some in a partnership (LLC). We both are part owners and he put up a down payment and I put in the 'sweat equity' for my portion since I have a lot of local knowledge.

Ultimately there isn't a right answer here and it's whatever works for you all.  Who handles operations, how are disputes mediated, how do you handle selling ownership interest (or handling death/divorce), do you have pro rata ownership interest, is there a management fee, etc.  Lots of questions that need to be answered and you definitely want an attorney to draw that up.

And I agree with Paul's wisdom, too.  Partnerships can be like marriages but without the benefits.

Definitely set up an escrow account for you to receive funds and then distribute from escrow once a month.  Do NOT count on them to pay your management fee and expenses every month -- why float them??  And what if they forget, get hit by a bus, decide to leave you because they're upset, etc.  Now you have to try and collect.

Instead, deduct that from their earnings and distribute it as appropriate.

It can work.  One of the lenders I've used will give you 75% of expected income.   (Or did a year ago, at least)