All Forum Posts by: Michael LemMon

I am exploring the different types of loan options I have and had a question about 2nd home/vacation home loans...

I understand all the financial aspects but as far as the other guidelines go... I know you need to occupy the house for at least 14 days a year and no long term renters are allowed. But what if down the road you want to turn it into a long term rental property and not use it as a vacation home - Is that allowed? How long do you have to stay within the 14 days and short term rental guidelines before you can do as you please with the property? 

I am looking for any advice or experience with the matter ( I know it'll depend on the lender, but just a general rule of thumb would be nice). For example, with a FHA loan you have to occupy for a year before you can do whatever you want with it, what is the similar guideline for vacation home loans?

Thanks!

I am new to the Arizona Real Estate market and have been previously looking at options in the greater Phoenix area for investment properties. I had briefly heard decent things about Tucson's market and decided to take a look. I saw that prices were much more manageable in Tucson than in the Phoenix area, now my interests are beginning to switch.

I am interested in multifamily properties for long term rental and I would like to keep it around the 300k range. My questions are:

• What parts of Tucson are "nicer" than others (Went once in college and saw some pretty dirty parts)
• Is there a good rental market besides college kids needing 1 year leases?
• Is the 300k price point reasonable for lets say a duplex in nice condition? (Newerish build)

Any general thoughts or recommendations would be much appreciated. Looking to learn anything I can about the Tucson area. Thanks!

@Paul Welden what parts of Mesa would be best to look at? Any insights on rental market in the Mesa area also? Is it as strong as a Tempe, Scottsdale, Phoenix?

@Stone Jin Thanks for the info. What parts of Mesa would be better to look at? I’ve never been so would like to have some context when doing a general search on Zillow.

Also, what about rental market in Mesa? I’d imagine Tempe’s is good because of ASU, Phoenix because major city and Scottsdale because of scene. Does any of that carry over to Mesa?

@Melanie Johnston Thank you for all the detail. How much do these prices change if the criteria is lowered to 3 bedroom. The 4 bedroom may have been a little over zealous on my part.

@DeWitt Gibson thanks for the recommendation. A townhouse in south Scottsdale is on my shot today as well. Seems like a doable place to get something in a fun area and can also have a pool albeit one in a complex.

I am highly considering buying a property in Arizona due to significantly lower prices than my current market (San Diego). I am interested in the Scottsdale area and have also heard great things about Chandler & Tempe (and not so great things about Mesa). Any thoughts, recommendations, or general facts on those areas would be appreciated. Some additional facts on my mindset and what I am looking for:

• -I would ideally like to turn this into an investment property down the line, so would like it to be in a good market for that. I will most likely "live" in it to start to qualify for the FHA loan.
• -I like the idea of Scottsdale because the vibrant social scene and baseball stadiums (I'm a male in my 20s and SF Giants fan)
• -I am looking for a single family home (3-4 beds + pool)
• -Ideally would like to keep budget under $500k and from what I've seen that is not very doable in Scottsdale, but seems obtainable in Chandler
• -I've heard Mesa is a dirtier more crime ridden town (which I don't understand if its in between Scottsdale and Chandler)

Morale of the story is I know nothing about AZ and want to invest in a place i wouldn't mind living, but with great rental potential. Please be as brutally honest about these areas or if my expectations are unreasonable. Looking to learn. Thanks~

My business partner and I are in line to buy a property and currently figuring out the best way to do this jointly. I have gathered that a Co Ownership agreement is the simplest way to go. Does anyone have experiences with drafting these? We live in separate areas, would we need to get notarized? How would we do that between two parties that aren't physically present? 

Any tips or experiences from forming a co ownership agreement are welcome. We want to act fast on this agreement in order to close on the land as soon as possible. Thanks

I am looking to buy investment property in Idaho and am a California resident. I am looking for the best/fastest state to form an LLC in. I have heard Wyoming is a good state, but then i run into an issue of conducting business in Idaho, having an llc in Wyoming and residing in CA. So my questions break down into a couple parts:

1) No matter where i form my LLC if I am a California resident conducting real estate transactions in other states, am i conducting business in CA? Would I have to register in California and pay fees/taxes? I am technically not conducting any business in the state and the law is a a bit confusing on the matter.

2) If I am conducting business in Idaho and registered in Wyoming I would have to foreign qualify in the state of Wyoming for business in Idaho, does anyone have insight or experiences on this matter?

3) Any tips for my current situation are much appreciated, I look at it as 3 options; form the LLC in Wyoming, Idaho or CA.