All Forum Posts by: Kelly B.

We just closed on our VR and used CBIZ.  My wife, an insurance agent, could only find one option through her usual contacts which was almost twice as much as CBIZ.  Also, she was happy with what is covered, limits, etc...

Has anyone experienced their SERVICE when a claim was made, which is very important???

My experience with cross collateralization is, similar the your HELOC research, that they will appraise your property and allow up to 75-85% of value which would give you $10-20k. Typically enough to be used in place of the "down payment" requirement of another property. You could go into the bank & show them how you fixed the 1st place up and/or improved cash flow and perhaps get better terms on your next property.

@Vicky Seibel

Welcome to BP!  I'm closing on my 1st VR (vacation rental) in 2 wks.  We were able to put 10% down with a smaller local bank that we've used to buy a long term rental and a fix & flip (commercial loans).  They have let us use equity in some of our other properties (cross collateralize) in lieu of the standard 20% down on other deals.  It helps if you have a previous relationship with them and we went in with a business plan for the VR.

Perhaps, if you have equity in your rental or personal home, they may allow less down payment.  Or, try to find a partner?  Just remember, you'll have to come up with a fair amount of money to furnish the VR.

If you are buying mostly for personal use and renting to subsidize it is one thing or as a business is another.

Check out the forum here on BP about VR. 

Suspect there may be rules in your municipality about dodo required to be picked up DAILY, also there are probably leash laws.  Simply require that dogs are allowed out only on a leash and the owners pick up as things happen, or was that, sh¥t happens.  Lol

Hi @Poua,

Check out a forum here on BP that specifically talks about short sales,

  http://www.biggerpockets.com/forums/103-short-sale...

Not sure what you mean about owner financing, I think you just need to qualify & get a loan to buy it from the landlords bank, once the bank gets all the paperwork it needs from your landlord, which can take time.

Hi Jordan,

Around here it is usual to see properties bought for 5 to 10% under listed price, is `appraised` price close to listed price?

Also, you need to consider time on market/holding costs and the joys (delays/inspections/fixes needed) for buyers with FHA loans.

That being said, I don't think a cash offer precludes some negotiations. 

Copied from the short term rental forum here on BP

Maura Paler

Aug 24, 06:33 PM
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CBIZ is insurance designed specifically for vacation rental owners, we have them on all 4 of our Vacation Rental properties. 

If you have a claim on a vacation rental that is only covered by homeowners you will most likely not be compensated...if it's a liability claim could then become a legal issue...so it is definitely something to be concerned about. 

Many homeowners policies allow you to rent 2-4 weeks or so only. Check your policy. 

Don, sorry @ fund doesn't work with m nexus, but maybe your dealing with a management Co.

Ramon, sorry the @ feature doesn't work with my nexus,

Purchase,  under $200k

Reno, about $6k

Taxes, under $3k

Still working on quote but expecting ≈ $1k

Pass thru cleaning fee $100

Furnishings will be huge expense as we will be setting it up to sleep between 10 to 14 people and will probably add an outside hot tub next year.

Samson, congrats and your thoughts hold true because that is what's going on in Florida, especially the Orlando area. You're selling a business so you can base the price off of the cash flow, so like others have mentioned, you'll need a longer track record (winter months). 

People sell turnkey rentals, win/win for buyer & seller, they are doing the same with STR (short term rentals). Still at the ground floor for STR ( people will say 5 or 10 yrs from now, "I wish I got in when it was still good!"). Selling turnkey STR will grow right along with the STR industry, which is starting to come together a bit, as an 'industry', successfully lobbying/educating some municipalities into allowing STR!

Check out the STR forum here on BP!

Check out Heather Bayer (awesome podcasts about STR) and Matt Landau (STR mastermind). Also, they both advocate setting up your own website & cut your reliance on the 'hosting websites' since you don't know when they will change things on you!

As your slow season approaches, look to Realtors for clients needing housing between homes and look into workers on a temporary gig from another city, especially if you are near some large corporations or a hospital.

I'm in the process of closing on a vacation rental up here in WI myself, located on the Wisconsin River, and plan to buy a couple more (will rent for $200 to $300/ nite).  Skiers/snowmobilers in the winter, kayakers/canoers, musky fisherman, 'up north experiencers' in the summer.

I think you've got a great idea, just pick your properties/locations wisely.