All Forum Posts by: Natalie Medved

This is fabulous, Martha! Thank you for the feedback and the tip! I am going to check that site out this afternoon.  I also appreciate your complements on our place.  I put a lot of thought and design into the pallet and design, wanting to cultivate a space that was the opposite of the 100 kitchy-moose and "ski chalets" that are in the area (no judgment -- just not for me!).   

My dad has a ton of them:)

Because we house-hacked, put 20% down, and have stable w-2 income we were able to get a 30 year conventional with a 3-2-1 buydown credit from the seller. 

If you are a first time homebuyer you should take a peak at the loan products geared towards people in your position. You’ll likely have a lower down payment requirement (I am sure you will but as an attorney I am always skeptical of making and relying on definite statements, especially where I don’t know all the relevant facts). 

I know a lot of people that house hack with multi families but if cash flow and cost are a barrier and you don’t find room mates, look into a single family and treat every room as a “door.”  Obviously this means you are staying in or near your market unless you are willing to move.

 Thank you, Pat! Such great tips! 

Couldn't agree more! My husband and I househacked our apartment in Boston when we moved to NH during the pandemic and BRRR'd our second property (which balance a bit and hold/ STR). We just bought a 3/1 in Harwich, MA (where my husband is from) and are house hacking on that property now. A lot of the posts make two really good points: (1) a lot of people are trying to sell their services to newbies, which is completely understandable but can be a train wreck (I almost made a bad choice in 2022 when I was a newbie on the site and trying to get my feet wet). Be open to learning but balance that with a healthy dose of skepticism and your own research/ edification. (2) househacking is the perfect first step. You can get in the market with less money, could have more time to do a Reno/ make updates and force appreciation, and someone else is helping cover your mortgage.

Growing up my dad would ask me “how do you eat an elephant?”  The answer, “one bite at a time.”

Getting into REI is no different for the majority of people who do it. Start with what you can manage, be honest with yourself about the risk you are comfortable with, and go slow.

Good luck and feel free to reach out with any questions! 



 

Hi Jon:  This is great feedback, and I appreciate you taking the time to share it.  I agree that the updated ceiling fan will make it pop but am worried that the black would be too much or cut the room up.  When we bought the place in 2020 this whole room was a deep butter scotch yellow with pine wood stairs, cabinets, and massive furniture (see before photos below). When I planned the design I incorporated a good deal of rod iron (we did a mix metal theme in the house) in the custom stair case that we put in (after photos below). What do you think? Is there enough white and neutral tones or will the black ceiling fan make the great room feel smaller?  Next Q: what color would you paint the outside?  This house isn't winning any architectural design awards on the outside-- I joke that it is having an identity crisis.  I don't want to highlight any of the angles so I was thinking of painting it all the same color.  A ink-black, deep navy, or charcoal?  Thoughts? I figured those colors would pop from fall, winter, spring and through the summer.  Welcome any and all feedback!

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $197,500
Cash invested: $100,000

5 bedroom, 3 bath "reverse salt box" located in the heart of the White Mountains in Thornton, New Hampshire.

What made you interested in investing in this type of deal?

What started out as an "accidental" BRRR transitioned into a buy and hold/ STR.

How did you find this deal and how did you negotiate it?

My husband and I purchased the property from family out of necessity before the market in the area went crazy as we couldn't work remote in our apartment in the city. We had an inspection done and and then negotiated the price down to $197,000 from $250,000 based on the fact we would allow my husband's step dad rent a room during ski season, the faulty roof, and other issues with the property. Was not thrilled about the deal and knew we were taking on a good deal of risk.

How did you finance this deal?

Cash deal.

How did you add value to the deal?

We fully renovated the home with a lot of sweat equity and tears. New roof, new well, new septic, full gut renovation on two of the three bathrooms, new kitchen (cabinets, appliances, fixtures, counters), new exterior doors, and solid oak floors throughout. We also increased curb appeal with landscaping (there was ZERO), a ledge-pack driveway, and a fire pit area. The house recently appraised for $550,000 and we received an unsolicited offer in the $600k range a few weeks back.

What was the outcome?

he house recently appraised for $550,000 and we received an unsolicited offer in the $600k range a few weeks back. We are going to to continue to hold and convert the property to a STR.

Lessons learned? Challenges?

Get everything in writing. Don't agree to pay contractors (even if they are your husband's hunting buddies hourly) and stick to the plan. We got SUPER lucky every step of the way but I knew it was luck saving us from the red.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

N/a.

Quote from @James Carlson:

@Natalie Medved

In the competitive world of STRs now, you have to differentiate yourself. I agree with you that good interior design is a great way to do it.

My vacation rentals clients here in Colorado that pay for a designer outperform their competition by 25% or more. If you have that eye, go for it, but know that if you pay for it, it will be worth it. 

For instance, the below cute Airbnb between Denver and Breckenridge is projected by AirDNA to make $55k but is actually pulling $85k.

Likewise, the below client's short-term rental in the mountains west of Colorado Springs is grossing double their competition.

If you go it yourself, I agree with @Patricia Andriolo-Bull. Pottery Barn, West Elm, and Crate & Barrel are a touch above without being excessive. 

Good luck!!

 Did your clients use a local or national design firm? I was looking at Showplace and Heavenly but wondering if an in person assessment would be more effective.  If I had the time I wouldn't be worried about doing it by myself, but I'd love to get the property up and running before Memorial Day weekend.

Awesome. Seems like we share the same taste.  Lots to do yet (re art and decor), but it's good to know that the neutral ascetic has been embraced. Quick Q:  Note the crappy old fan - would you spend the money to upgrade it? Seems like we should bite the bullet and replace it as the devil is in the details. Or is it something that guests won't appreciate or care about? 

 So helpful! I have been looking at Article and West Elm's contract grade options. I will check out Pottery Barn, too.  What are your thoughts on Linens (for beds and towels?).  All white? All gray? I have heard and read a couple different perspectives on this.  My hope is that the clientele we bring in won't completely trash the place but I realize that is just wishful thinking and that people, regardless of income/ what they are willing to pay, can behave like animals (I was in the auto industry before becoming an attorney and the things I saw walking trades will forever haunt me).