All Forum Posts by: Kevin Smith

@Dylan Speer , a few thoughts...

Why not at least try listing it to see what kind of offers you can get from the market?  Is it a low equity situation?

Does this potential buyer have a track record they can point to?  What's their strategy for the property?  Do they have reserves?  Will they provide their credit report along with their track record?  What's their plan should the lender decide to accelerate the note?

Why not look for an owner occupant directly rather than going through this person?  You could use a land contract or wrap with said owner occupant and retain more control over the situation and likely get a higher down payment and monthly payment.

@Kyle Allen

You're not wrong.  Without a large down payment, cash flow can be tough to find with a traditional rental right now.  You'll find that many investors in our area are opting for house hacking or MTRs.

Is house hacking an option for you?  This would require a lower down payment, and after a year, you could move on to another property.  If having roommates is not an option, you could still utilize this strategy with a small multi-family property.

Alternatively, a 2BD MTR might be the sweet spot for you.  These can do quite well in the Denver area if well furnished and marketed appropriately.  If you go this route, you'll want to make sure you budget for furnishings.

Some folks are venturing down to Pueblo if they want to go the LTR route, but in that case, you may not want to self-manage given the distance.

Finally, while it's understandable that you don't want to be losing money every month, don't lose sight of the long term gains from appreciation.  Many investors who focus too much on cash flow find they end up with properties that don't offer as much appreciation and give them too many headaches.

Hey @Dan Guenther.  If you haven't already, I would definitely reach out to Vern Harris with A Better Way Realty.  He's the go to guy for all things RAL around our area.  You can find his group on Facebook and his monthly meeting on Meetup.

Congrats on starting the search @Justin Lee.  I'll send you the names of some local lenders.

 One such company is ALE Solutions.  Here's their page to register your property:
https://www.alesolutions.com/r...

Thank you for posting this update @Kenny Smith.  Last time I had spoken with them, point #2 was still TBD.  Did they happen to provide their rationale?

@Bob Foglia,

I just noticed this thread in addition to the other one I responded to.  I know someone managing rent-by-the-room as well.  I'll pass along their info.

Hey @Bob Foglia,

I know of a few.  I'll shoot you a message.

@Ginger Pruitt

Some other locations in greater Denver you may consider are Arvada (240 nights/year), Unincorporated Adams County, Centennial, and Northglenn.  Westminster may also be a possibility though we won't know until next year.

Hey @Jarrod Covey

That's pretty cool.  I definitely wouldn't mind seeing such a tool here in the Denver area.  I'm not sure how much you've looked into the Denver area yet, but Denver proper and many of the surrounding areas aren't allowing nightly rentals for non-owner-occupied properties.  Some notable exceptions would be Arvada and Unincorporated Adams County.  There's also Wheat Ridge, but last I checked, they were close to issuing their final license.  Westminster should have their rules in place next year (it's still up in the air whether they'll have the primary residence rule).  Finally, Northglenn and Centennial may be options, but I prefer the Arvada and Unincorporated Adams locations more.