All Forum Posts by: Marc Rice

@Andres Andrade

Most banks need 2 year work history, unless you were a student directly prior which they’d consider that part of your employment time-clock as long as you’re getting a job in the same field as your major. Example: if you spent 4 years in college as an engineering major, then graduate and get a job as an engineer and have only been working 3 months, then the bank would view your work history as 4yrs 3mo.

@Lawrence Paul

I like some of the options @Dave Foster mentioned. I think at least take out a HELOC on the condo. I would caution pulling out too much cash on the refinance whereas the numbers become too tight to hold if it goes vacant.

You could look into doing a reverse 1031 exchange too if a new opportunity arises that you want to buy come available and then you could sell the condo to pay for the new property.

@Curt Bixel

I operate a short term rental hosting company that handles dozens of rental units in Columbus and we’ve seen great performance across our clients. Your operating expenses will be closer to 50% of gross short term rental income if you use a management company. Also I advise you USE a management company and not self operate as it’s a lot of work and details to iron out.

@Steven Jefferson

Columbus, Ohio is the only main city in the state with an increasing population. I’d recommend Columbus for cash flow and appreciation.

@Joseph C.

@Alan Siciliano

I have some lenders in Ohio I can connect you with for a cash out refinance. How long have you had the property, some require 6-12 month seasoning period?

@Matt Jennissen

Increase revenue (add more property) or decrease expenses (cut costs, self manage, etc).

@Josephine Wilson

They could be turning those 1bds into short term rentals. If it was an A class market I could easily clear $1,250/net/mo on those 1bds making it a 1% rule with airbnb.

@Wesley Myers

I price with peak vs off season. Weekday vs weekend. Tier A event vs Tier B event vs Tier C event.

Every market is different and everyone has their own strategies. You’ll want a pricing software to adjust your prices gradually just in case you overshoot. Vacancy is your largest expense...if you’re still profiting on a lower nightly rate then I think it makes sense to fill it. Just my opinion.

@Mikael Winkler @Austin Steed

We’ve been seeing normal performance here since July. From May - June we flipped on our lever to longer term multi-week/month stays to play it conservative because we weren’t sure if the City would temp ban STRs. During that time we were just around what normal market rent would’ve been for that studio/1bd.

Since then we’ve been back to normal and been killing it as usual with our units well above market rent. We have 25+ studios/1bds only in Short North/Ohio State campus. We like to do smaller units in A class neighborhoods as of now because we can always beat the market rent for our clients. Slow season is Dec - Feb, as of now seeing no slowdown in normal Sep - Nov but we’ll see without football how much we are losing from normal football season.

Our goal is to beat the market rent. If we can’t near-guarantee that for our clients we won’t touch it. Hope that helps. Make sure you have a quality unit and know how to get it filled before going into it.

@Wesley Myers Keep all financials separate to that property. That’s always a good practice to ensure you’re ready for lending or making tax season easier