All Forum Posts by: Justin P.

@Ashish Acharya

Ok! Thanks for the clarification. I am a newbie at this, very glad for this forum and your response..

Thank you in advance for your insight here. I am wanting to go through my cities “zoning” process to get an Airbnb going. As part of this process they have a mandatory requirement of reporting monthly statements on your rental income PLUS paying a 2% Hotel/Motel tax to the city. Is this legal if I am not providing Hotel/Motel services as described by the tax code? I am wanting to structure this as a long term rental tax designation but if I am paying to the city a mandatory “Hotel/motel tax” and then claiming that as an expense on my tax return, will this not complicate matters as to filing in the “long term rental” designation?

@Daniel Hennek

True that..And that is exactly what I have found in discussions with them, although, my bank does have a mortgage broker internally and she does have a couple options with investors no not as many as The mortgage broker did. In my case though, as of yesterday, my local bank mortgage broker was able to offer me a far better deal then a highly recommended mortgage broker.

@Stephanie P.

Thanks! So I have spoken with a mortgage broker and also my local bank (which has a mortgage broker internally). Definitely a lot better options as far as interest-rate with my bank rather than a standalone mortgage broker… they both estimate I will need to put around 25% down though.. I can do that, but I guess there’s not a better way around the 25% down other than going with a partner? At this point I have the cash on hand so with rapid inflation happening I feel it’s better to get rid of cash on hand rather than stack it… of course not totally depleting yourself of cash but the dollar becoming of less value is very concerning. Thanks for your advice!

@Ryan Herting

Yes Ryan, the property will be non-owner occupied (entire home rental).. Very small portfolio at this point..one rental property (single-family home) that has some acreage available for future development in the middle of town, another parcel right on the edge of another town of 17,000 people prime for development.. not a big dog yet😅 

Hi everyone, looking for some good advice on obtaining a mortgage for an Airbnb property.. is it smarter to go with a recommended mortgage broker or stick with your local bank that you worked with for a few years (15) that you have a good relationship with? Wise advice is much appreciated! Thank you!

@Brian Pulaski

 Interesting!. Yes that could be the case. It is a learning experience on how much to harp on the customer/contractor/house flipper to do an apples to apples comparison and turning him off from being too pushy in his or her mind. I guess the fix for that would be to give them two or three options with different qualities of end result.

@Brian Pulaski

Yes, it is frustrating when price gougers ruin it for other people. It would be interesting to know if you used the exact same windows and options as he had priced you just for that example. That is also another hurdle that you have to somehow clear, the apples to apples comparison when dealing with price shopping clients.

@Matthew Paul

Thanks for the advice!  Our business plan is to have a good base of residential and commercial service clients and then I can branch out into more niche type of work in the future so if the economy does a downturn, we can be kept busy with the still needed service work. I’ve been working in the industry for 17 years but it is interesting and needed to get advice and encouragement from others. 

@Todd Rasmussen

No, I have not gone to any meetings like that. I have wondered where I might find them for that reason and also to broaden my horizons for real estate investment. Haven’t been sure how to find out about them.