All Forum Posts by: Kent Caldwell

@Spencer Cornelia good to know, hopefully I'll pop in one day.

Cash flow positive from day one in Vegas with financing? No, I don't believe those really exist here at the moment. That's why I'm trying to keep my eye on out of state markets....

@Spencer Cornelia I work evening shifts and you guys always meet up so early, hah! I see the updates on facebook though and am gonna try to make it out one day. Clearly, I need to check BP a bit more often, too. Crazy to hear how much more your insurance was than the previous owner and glad you got out clean.

I've got my condo and rental house here in Vegas going pretty well. I'm pretty conservative with my risk-taking, so that will definitely be all for Vegas for now. I'm keeping an eye on the market here and especially in other parts of the country and hope to pick up one more property that's cash-flow positive from day 1 by the end of the year....

@Spencer Cornelia, best of luck with your deal, this has been a fascinating thread for me to read as a fellow LV investor curious about small multi-family in Vegas, but not really seeing much locally.

Would be really interested in how you can manage turnover and rent payments with that property. Probably does seem crucial to really push for for the best quality tenants you can, if that means sacrificing a tiny bit of monthly rent or paying a PM a bit more, it's gotta be worth it if you can keep vacancy / missed rent payments low and avoid evictions.

Personally... I've always wanted to try to grab some of those smaller units near the Arts District, "value add" them and whatnot.... They seem like an interesting product but I have no idea about their pricing and how those numbers would work. Maybe one day!

@Account Closed that was my hunch, but it's nice to hear it from a pro. Thank you for your insight!

Hi Marty and Kimberly, thanks to both of you for the info, will follow up both leads. @Account Closed - I've not spoken with AvenueWest Las Vegas but will look into them. Thank you!

Hi LV Bigger Pockets,

I've got a property in Las Vegas that I am having a very hard time finding a tenant for the "traditional" way. Home has currently sat on the market vacant for two months, coming up on a third. I know this is a tougher time of year to find a tenant, but didn't expect this back in mid-September when the listing went up.

...We have done several price drops, altered marketing strategy a bit, and we have had some interest, but no applications. It's a beautiful, mid-century custom home, over 3000 square feet, with lava rock walls, epoxy flooring, brand new kitchen, and tons of fun retro touches. For me, it's biggest "downfall" is that the back yard, while very large and private, is uninteresting (no pool or significant landscaping.)

I am considering furnishing the home and listing it with a PM who specializes in corporate, furnished rentals. These are NOT short-term rental properties and require 31 day minimum leases. The PM company I'm speaking with says they have a big surplus of demand / calls for these types of properties. They have over 35 properties in their portfolio, all furnished rentals. (NB: I CANNOT list the home on VRBO or Airbnb for less than 31 days, since I do not have an STR permit.)

I'm just wondering if anyone here on BP in Las Vegas has experience with furnished, corporate housing rentals and could speak to their experience / difficulty keeping the property filled, costs of furnishing a home, options for staging the home to get it photographed / listed before I dump 15k+ into furnishing, etc....

Some photos of the property: https://photos.app.goo.gl/eAzW6svo2cbrHe5W8

I think this property would operate better as a furnished rental because:

-It's size relative to other homes in the area is mismatched (1000 square feet larger than most homes in the neighborhood). This drives up the traditional lease price point too much.

-It's located in a quiet part of downtown, very close to the Strip, Fremont, convention center, and UMC hospital. (so would cater to WSOP, Zappos / downtown crowd, CES folks needing extended stay, doctors on rotation, etc etc)

-The eclectic, 60s retro-factor allows it to photograph well for online marketing and I think it would be a very appealing and "fun" home for a brief stay in Vegas.

Of course, I'm worried about extended vacancy gaps since I don't have an STR permit to fill those in, and I have no clue what to expect for an average monthly rate.

I believe this home to be a solid long-term hold and has the potential to generate significant cash flow in the meantime with the correct strategy, so I'd really like to hold onto it and make it work.

Thanks all!

-Kent

@Robert Adams dunno really, maybe I'm spoiled back from my days of buying in 2012 or 2014 but it seems hard to find things that Cashflow slightly positive (to have reserves for CapEx improvements) when having to factor in Mortgage P&I also. CF seems ok when bought with cash (I have a condo that is doing OK) but maybe not the best return on my money - it's around a 6% cap rate I think, probably slightly less actually. Just very curious what returns are like in other areas right now, since the market for selling is so hot right now in Vegas and it doesn't seem like there are very many small multi-family deals (at least, not much on the market.)

@Terry Lao Thanks for the insight about the benefits of different markets. Just another reason why I'd like to diversify, and try out some OOS properties that can cashflow better and avoid speculating purely on potential appreciation.

Hi @Christina J., thanks a ton for reaching out and that's encouraging to hear re: Chattanooga!

@Ali Boone Cheers - not sure of my budget just yet; I'm used to having done traditional lending through banks and don't have much experience cash-out refinancing yet, but currently reading up on all that stuff and exploring options.

I'm actually from Charlotte originally so I would feel a little more comfortable investing in the city....

I think for OOS I would prefer something more turnkey at first unless I was very confident that I had good contacts (contractor) "on the ground." I do have a decent network of college buddies spread across the country, and there's always the potential to team up with them for the right deal in the right market. I would like to get into multi-family ... finding a nice deal on a 4 plex that cashflows nicely would be ideal. Under 500k.

@Jeffrey Holst Southeast Michigan is intriguing to me also (I went to school in Ann Arbor)....

@Jon Lee Thank you for the welcome! Would love to connect. Know a couple local investors in the Cirque community (don't know Barri myself) but looking forward to expanding my network here in Vegas.

@Michael S. Thanks for the welcome!

@Phillip Dwyer Cheers - trying to get that passive income maximized by the time I'm 35-40 so that I can comfortably shift away from my current job...

@Robert Ombres I was born and raised in Charlotte, NC and have always been a huge fan of the Smokey Mountains... definitely would love to grab something up there at some point!

@Account Closed Thanks for the welcome. Good to have a contact in Nashville!