All Forum Posts by: Matthew Maynard

 Does VRBO have a similar data aggregator available that you use or is it more of a manual process?

As I'm looking at properties to turn into an AirBnB and running numbers using AirDNA, it seems like the market is still pretty strong down here. How have your properties been performing? In general, are the numbers pretty reliable from AirDNA? I'm also wondering if someone has a sample set of numbers they ran on a property when considering turning it into an AirBnB they can share so I can compare how I'm running mine.

Thanks!

Hello BP. One of the roadblocks I’m coming across as I run my numbers on properties is how to estimate home owner’s insurance. I’m not really sure where to start - I have heard it’s increased quite a bit since the recent hurricanes but is there a good rule of thumb I can use to give myself an estimate?

If it helps, I'm primarily looking at SFH or duplexes in Palm Beach County. Somewhere east of 95 in the 300-500k range. For anyone who owns a property in a similar area, what are you currently paying for home owner's insurance? Do you also own flood insurance?

Thank you in advance!

Thank you! @Aaron W.

What would you suggest to use as a percentage to budget for capex? And do you have other suggestions for different percentages, etc I should be using in my calculations I posted above? Thanks again.

Hi BP,

As I'm looking at properties, I want to make sure I'm running my numbers accurately. I know a lot of things I see online won't be the best deals (not to say they aren't out there), but am I being a little bit too conservative in my estimates? Any and all feedback is welcome. Here's how I've been calculating my numbers:

Estimated rent: look at similar properties in my zip code listed for rent on realtor.com, etc. Easy enough.

Monthly taxes: Plug in the address on my counties' property appraiser website and it gives you an estimate of the new tax rate based on the sale price of the property.

Monthly insurance: I've heard 2% of total purchase price gives you a good estimate of how much insurance will cost per year. Any other guidelines for this category?

Maintenance costs: 15% of monthly rent, give or take based on the age of the property.

Vacancy: I've been accounting for 1 month/year of vacancy (so 0.083 times the monthly rent)

Property management: 10% of monthly rent

Exterior care: $80-100/month for lawn care (no snow removal in my region)

Utilities paid for by the tenant. And no HOA fee as most properties I've looked at that have an HOA fee aren't close to cashflowing.

Thanks in advance from a newbie!

@Michael Burriss Have you considered also making extra income by potentially renting out the storage sheds? Depending on the size of them you could pocket a little extra money each month from those.

What have you discovered is the best way to meet a reliable contractor? Was it going to a major hardware store? Networking on BP/investor meetups? Maybe even just posting on craigslist?

I'm in the process of trying to assemble a team and would appreciate any and all suggestions!

@AJ Smith how did you determine your rehab estimate? That seems like a pretty specific number so I'm curious as to what your process was.

 Yes I have definitely noticed that with the duplexes in the area. Will most likely be sticking with single family homes.

Thank you for your help!

Thanks for the reply. I had never heard that some condos allow you to only rent once per year, I assume that comes down to the individual condo association?

I've definitely considered moving the search north to Martin County. I was mainly trying to start out with house hacking (I don't plan to move out of Palm Beach County) but if I had to buy something with conventional financing, going further north isn't out of the question. One thing I've noticed is that a lot of the single family homes in Palm Beach County have an expensive HOA which kills a lot of the deals. I know this isn't the case everywhere but as I've began my search, I've run into this issue a lot.