All Forum Posts by: Ralph Poirier

Look at Zillow for whats available in that area.  There's also Rentometer.  Good luck!  I hope you don't mind some constructive criticism but you really should have figured this out before you put an offer on a house.  How did you figure out how much to offer without knowing how much gross income (rent) it could produce?

From what I've seen high end homes don't cash flow.  Given the size of the mortgage people looking for a house like this will most likely be able to get the mortgage themselves.  The renters you are looking for are out there but they are slim pickens.

@Andrew R. Lucas is correct about the insurance.  The rest of it (utilities/landscaping) is up to you.  I take care of the landscaping because I know they won't.  I look around Cola and you can see many don't take of there lawns.  I also pay the utilities and get reimbursed by tenants.  It makes it easier for them to cut me one check a month then having to have that responsibility to fall onto the students I rent to.  This helps keep the peace within the house without them chasing each other for money.  It's all how you want to approach the business. 

As I understand it there are benefits from having the LLC there seem to be several cons. Is this correct? What about the tax implications? Is that a benefit or a con?

Benefits:  They can't access my personal assets

Cons: Potential issues with mortgage; they can take the house but leave you with the mortgage; insurance and taxes can increase; potential to break the LLC seal which would negate the benefits

Thanks!

I don't have any experience with partnerships (self funding to this point) but logically you are putting in 50% of the cash and 100% of the work.  Doesn't seem that 50/50 is right.  Whats your time worth? 65/35 or 70/30 seems fair just depends on how much work you will need to do.

Just because the property isn’t across the street from Starbucks doesn’t mean that there’s no rental pool. There called suburbs!!!  Listen to Ryan and check those sites. 

These towns are ridiculous. Folks its called revenue!!!! I'd bet all of these towns are having budget issues and the like. The complaints of STR's are all one-off issues (similiar to Uber). If you don't take care of your property the people should hammer them with bad reviews. If you don't read the reviews who's fault is it. Thank god for our local governments if it wasn't for them I'd drown on my own spit (sic.).

I rent to students.  I send some cookies to the house each semester just before finals and wish them good luck.  I'd like to think that they appreciate it and they always pay the rent on time (i say that with fingers crossed).

Sorry but I disagree.  I believe a large percentage of the homeless have severe mental health issues so I look at it as a mental health crisis.  Here we go again.  The news is telling you "a" story not the story!  So if you take out the mental health issues the problem is much smaller than advertised.

Columbia doesn't have a large supply of multi-family (duplex).  Many of them are converted single family.  Good luck!