All Forum Posts by: Neil G.

Thanks @Ned Carey. But to clarify, it was the actual lender, not the broker who wrote me "nothing changes with the loan terms if you transfer the note to a LLC."

But I will verify with them regarding the due on sale clause.

Thanks,

Neil

Hey @Ned Carey, that's what I'm realizing. However, my lender said that "nothing changes with the loan terms if you transfer the note to a LLC."

And my insurance provider has offered me a STR plan that works for me.

Really my only remaining concern is if it's going to cause a problem with my lender if they find out I'm using the place as an STR (once they receive the STR insurance declaration).

I purchased my first property under my personal name and secured a mortgage as a "second home", but the plan was really to rent it out as a STR. My mortgage broker told me to simply get the "second home" insurance policy in order to secure the mortgage and then change the insurance plan later.

So now I'm looking to move it into an LLC and convert the insurance policy to an STR, but I'm a bit worried about the implications.

The lender said it's fine to convert it to an LLC and that this would not cause any changes to the terms. My insurance provider also said I can change the policy to cover STR and put it in the name of the LLC.

But I'm concerned that the lender will have issue with the house being used as an STR since we secured the loan as a "second home".

Did my mortgage broker lead me astray with the manner in which we secured the mortgage? How would you proceed in my situation? Am I overthinking this?

@Andrew Bonner thank you. Yes, I've checked out the Mutiny. Actually, I recently learned it was a favorite amongst the old cocaine cowboys back in the day! Kind of interesting. 

I am a bit weary of those older buildings though, since the collapse earlier this year. 

And my latest concern is that a lot of these condos haven't appreciated in value in decades. 

@Alex Coelho I'm thinking of doing something similar. Use a place as a home base in the US and rent it out short term when I'm not around. A couple more things to think about in regards to STR condos:

1. Don't trust the rental numbers the buildings give you. Do you own due diligence.

2. If you read some of the reviews of these buildings, lots of people get fed up with the noise and ruckus that STRs create, especially when the units are alongside permanent residents. The HOAs could presumably change the STR rules under your feet.

Good luck! 

Hey @Andrew Bonner one thing I realized from doing a STR on my own is that I absolutely don't want to furnish a rental again. These apart-hotels often come fully furnished and they take care of all linens.

But in answer to your question, I'd want to be in Coconut Grove, Brickell, Midtown, Downtown, Edgewater, etc. Somewhere central. 

Hey @Andrew Bonner, I ended up purchasing an old house in Tampa instead. It's been a heck of a journey... I realized I never want to do a DIY with an old house, unless I'm living in it. 

But I'm still considering Miami. I will be looking to get my second property in Q1 of next year.

I'll probably get one of the Airbnb Apart-hotel units that won't need much work (if any) and has in-house management. Thoughts on those?

I just bought my first investment property in Tampa (Airbnb rental). It has original 1920s oak flooring. In one half of the house, that flooring has significant termite damage and the floor is a bit uneven. I also don't know what's going on underneath with the floor joists (inspector couldn't get underneath the house).

I can't decide how to proceed with flooring contractors, as I have no construction/rehab experience. Flooring companies are recommending I rip up all the floors on that side of the house, check structure underneath and put down plywood and then new hardwood or a vinyl on top. However, that's going to run me around $10K for wood and $7500 for vinyl. I'm worried replacing original flooring will devalue the home.

Is it advisable/possible to simply contract a flooring specialist to cut out the damaged boards, check what's underneath (with joists) and then go from there? Maybe it's possible to just replace those damaged boards and try to match color with existing flooring?

Any tips appreciated. 

Thanks!

Exciting! I'm closing on a house in Tampa right now, but will start to look for condos after this one. Old houses are a pain in the butt, I'm learning.