All Forum Posts by: Lake Lutes

Hi Liana! Super fun to read through your thread - thanks for sharing. Like anything, there's pros and cons in both directions. One thing that is for sure is the market here on Oahu is and has been insane for the past 16 months or so. If you've ever considered selling your home here on the islands, there's never been a better time. Let me know if you want to chat about it! Aloha

I am buying right now! The market is tough, but deals can still be had. In addition, my team provides me a list of off market deals weekly from their lead generation, so that helps. Happy to share if you reach out! Aloha

Aloha from Oahu! Cashflow is a really tough goal to have on the islands, especially Oahu. However, it is definitely still possible. Of course, it's always going to depend on your mortgage which varies greatly depending on how the property was financed, but your best bet is probably going to be a property with multiple units, or a property with an "Ohana Unit" as we call them here in Hawaii. Think of these as "mother-in-law" units. Using a real current example on one of my investments, the home in the ~$750K range leaves me with an average mortgage of about~$3500. The 3/1 main home and has a 2/1 Ohana unit downstairs, renting for $2750 and $2000 respectively, cash flowing this property after all expenses are paid. To be fair, these kinds of deals have been much more difficult to come by in the last year and a half with the recent increase in demand. Nonetheless - you CAN cashflow on Oahu, you just have to be creative! Shoot me a DM if you'd like to discuss more.

I would absolutely add Lake Tahoe California to that as well - the market is so slim on inventory and over saturated with buyers. I don't necessarily think people in those markets are thirsty for affordable deals, they're just looking for deals period! Even those willing to overpay aren't landing deals in some markets right now.

Well done @John Mayer! Tough to find deals that work this well in this market, but they're out there. Came out really nice.

If you click the link I posted above, then navigate to the left side where it says "approved STRs", it has a list of all addresses and properties!

In late 2019, the government passed a number of different laws and restrictions concerning short term rentals (defined as less than 30 day stays). Check out this website for more details: http://www.honolulu.gov/dppstr...

In summary, there are very specific areas/buildings allowing short term rentals, and the taxes and fees for those units are much higher than non-short term permitted properties. A few properties got grandfathered in around the island but it is next to impossible to get a new property approved for short term renting.

Long term rentals (30+ day stays) are great options and the right properties/areas have extremely high rental demand.

Sounds good to me! I’ll always take an opportunity to chat real estate. Let me know when you have in mind.

Hey Tyler! Great post/question. I think it depends on your risk tolerance levels and how good of shape the home is in. Is it going to need big capital expenditures or fixes in the next 1-5 years (roof/HVAC/appliances/etc.)? Because if so, you are not putting any money aside for these expenses through cashflow, and could be put in a situation where you're coming out of pocket and wiping out any monthly appreciation gains pretty quickly. In addition, be sure you're factoring in property management fees to get to your "$0" monthly figure. If the home is in good shape and you don't anticipate any big fixes until you move back, perhaps it could work out well for you. Finally, if your risk tolerance is low, the stress brought on your life could potentially outweigh the gains. If it sits vacant for a month and you have to eat ~$1500, or a big expense comes about putting you deep in the $(-), that might hurt. Both sides have + and - ! Best of luck to you in Georgia! 

Aloha @Sanjeev Gurung! I know the Kukui Plaza building very well, as I am a realtor here in Hawaii and live right in the area. I am also active duty military so completely understand the "moving quick due to orders" dilemma after buying a property. If you'd like, I'd be happy to take a look at your place for you and give you some estimates on where your numbers might sit for continuing to hold and waiting for growth, or selling now. Theres 3 units on market now all for $359K, and one in escrow closer to $315K. Let me know if you want to chat and I can help you figure this thing out man! Have a great week