All Forum Posts by: Kevin Koehler

Good Afternoon, 

I am in the process of trying to finance a triplex I have owned for 5 years.  Over the past year I had one unit (2 bed) that has been used for Airbnb, and in January moved the 3 bedroom to Airbnb as well.  In a recent discussion with the bank, they were hesitant to include the projected income from the two short-term rentals.  Does anyone know of a bank that will lend based on 14 months of Airbnb history? 

Investment Info:

Small multi-family (2-4 units) buy & hold investment in Ithaca.

Purchase price: $230,000
Cash invested: $46,000

Purchased as a foreclosure. I remodeled the kitchen in two of the units and the third only needed paint and new carpet. I have lived in one of the units for about 2 years now. I recently refinanced to pull out my initial investment.

How did you find this deal and how did you negotiate it?

The house was listed on MLS. The listing requested best and final offer be submitted by a certain date. I was in Mexico when they needed a new "best and final offer." I had to find a fax machine in Mexico to increase my offer by $30,000

How did you finance this deal?

Started with a commercial loan and refinanced into a residential.

How did you add value to the deal?

Remodeled 2 kitchens and one bathroom, refinished floors, new carpet.

What was the outcome?

The house of cards is still standing.