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All Forum Posts by: Rhonda McDaniel

Rhonda McDaniel has started 7 posts and replied 63 times.

Post: Update to our first airbnb and why we sold it

Rhonda McDanielPosted
  • Realtor
  • Tulsa, OK
  • Posts 76
  • Votes 42
Quote from @Rhonda McDaniel:
Quote from @Nicholas L.:

@Rhonda McDaniel just curious, why not keep as an LTR?

Needed the funds for another deal. Also rents would not cover all ltr expenses for years to come….

Post: Update to our first airbnb and why we sold it

Rhonda McDanielPosted
  • Realtor
  • Tulsa, OK
  • Posts 76
  • Votes 42
Quote from @Nicholas L.:

@Rhonda McDaniel just curious, why not keep as an LTR?


Post: 1st Fix and Flip

Rhonda McDanielPosted
  • Realtor
  • Tulsa, OK
  • Posts 76
  • Votes 42

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $75,000
Cash invested: $2,847
Sale price: $180,000

Converted Single car garage to primary master with bathroom to add around 220 sq. feet.
Repair Costs: $47,610
Holding costs: $6,300
Closing costs: $11,150
Staging Fee: $2,300
Total Pay Out: $37,640

Construction Loan hold back: $29,000
Insurance Claim $12,529 (Roof damaged in Wind Storm) unplanned replacement and tree removal
Bank allowed me to keep my 20% down payment at closing, which would have been $15,000 due to total amount requested for repairs being $44,000.

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

I need to flip a few houses to get cash in. I chose this home because it had value add opportunity. It was down to studs already in the wall between kitchen and dinning area. I knew I wanted to add square footage to and it was there in the the garage.

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

Found it on the MLS myself as I'm a realtor. It was an inherited house. I did a walk through then offered $25,000 less than asking as it needed lots of work and had exposed wires etc.

How did you finance this deal?

Construction loan with local bank and personal loan.

How did you add value to the deal?

Turned garage into a master bedroom with bathroom and walk in closet. Created a dinning room and a dedicated laundry room. The washer was previously located in the kitchen. Turned bedroom by kitchen into dinning room and relocated laundry and gave it a dedicated room. All new bathroom and kitchen. refinished hardwood floors. new outlets and switches and electric box relocated to exterior. fresh paint, new roof, landscaping.

What was the outcome?

I learned from some mistakes but ultimately made over $25,000 on this deal and am already working on my next fix and flip.

Lessons learned? Challenges?

When converting a garage: If you are adding a bathroom you need to raise the floor- extra $4,000. You need to add insulation in attic above garage and in walls extra $500+. I relocated refrigerator but forgot to add the plug in...
I also learned how to do an insurance claim. Do not try to match vinyl plank to wood floor...I did not like final outcome in kitchen, but I was reusing material from a rent house.

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

Yes, I highly recommend ASN Realty Group. They are a Bigger Pockets agent and I am a Realtor with ASN Realty Group. I bought and sold this house.

Post: Update to our first airbnb and why we sold it

Rhonda McDanielPosted
  • Realtor
  • Tulsa, OK
  • Posts 76
  • Votes 42

Investment Info:

Single-family residence other investment in Tulsa.

Purchase price: $64,555
Cash invested: $6,200
Sale price: $154,000

Second BRRR and First Short Term Rental
Purchased on Construction loan with $27,569 construction hold back.
Extra Rehab costs (plumbing, A/C, and roof unknowns): $10,000
Down payment and closing costs : $13,656
Cash out Refinance (cash back to us after fixed and rented): $17,452
Total Out of Pocket after refinancing: $6,200
Cash flow varies by month as this first year we are doing a Short-Term Rental. Winter months have not been good in Tulsa, but summer months saw cash flow of up to $600 month...Sold in August after realizing we are not in the best neighborhood for an airbnb and we needed cash for other investments.
Lesson learned: get those construction quotes during inspection periods. Go with the more expensive quote for construction hold/back costs.
Time Frame: Bought at auction.com...bid in November and won...Quite Title suite followed paid by seller...closed March 1, 2022...Finished rehab July 1, 2022. Opened AirBNB July 4, 2022. Sold August 2023.

Lessons learned? Challenges?

Ask more questions from the electrician. I thought I was getting old knob and tube out, but what I got was a wires tied into old knob and tube. The electric all worked, lights and switches. Knob and tube came up on the inspection and seller requested it removed in TRR negotiations. I made it right by rewiring the house ($5,000 more)...Lessons Learned Check for knob and tube and get it out of the house.

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

This is the first house I bought with myself as the REALTOR. I sold with myself as the REALTOR...Great savings there. I'd love to work with you to buy or sell your investment property.

Quote from @Eliott Elias:

Never heard that, a seller is not going to let you lease a property out before closing. 

Right the seller could be asked to put a tenant in place on a month to month lease, in order to count the higher rate. Or you could go to a new lender (though that’s usually not allowed after a few days under contract). Talk to your sellers.  My last loan officer wouldn’t let me use short term rental projected income. He only wanted to be sure the mortgage could be paid based on regular long term rents… 

He’s protecting his bottom line.  

Post: Why use a Real Estate Agent?

Rhonda McDanielPosted
  • Realtor
  • Tulsa, OK
  • Posts 76
  • Votes 42

From a Realtor and Investor. It comes down to doing a job for you. You pay lots of people to do jobs for you: lawn care, attorney, eve the checker at Walmart gets paid…. Part of that work should have been taking all the calls, doing all the showings, providing professional advice on the presentation and preparation of your home for the listing. I understand wanting to save money…But also the worker is worth his/her wage. It’s a job with great value, because Realtors deal with the stressful sides of transactions, the stuff others shy away from. 

Now if you’re a buyer why not use a Realtor? Often it’s free to you- commission is most often paid by the seller. The Realtor on this end writes contracts, negotiates, and stays in contact with your lender and the title company to keep the deal on track and get you to closing.


So why did I become a Realtor? Yes, I get to save the realtor fees when I purchase or sale, but I anlso spend HOURS more on the buying or selling process.  Becoming a Realtor is a great way to go “all-in” on real estate, and finally quitting that day job.

Post: Anyone doing or wanting to do out of state investing?

Rhonda McDanielPosted
  • Realtor
  • Tulsa, OK
  • Posts 76
  • Votes 42

I'd be happy to help out anyone looking to buy in the midwest-Tulsa, Oklahoma. We have a solid steady market and as the 2nd largest city in this beautiful state, we have a thriving population. Quality rents and tenants. Realtor lic. 202456.

Post: First BRRR and Short Term Rental rolled in one

Rhonda McDanielPosted
  • Realtor
  • Tulsa, OK
  • Posts 76
  • Votes 42

Investment Info:

Single-family residence other investment.

Purchase price: $64,555
Cash invested: $6,200

First Attempt at BRRR and Short Term Rental
Purchased on Construction loan with $27,569 construction hold back.
Extra Rehab costs (plumbing, A/C, and roof unknowns): $10,000
Down payment and closing costs : $13,656
Cash out Refinance (cash back to us after fixed and rented): $17,452
Total Out of Pocket after refinancing: $6,200

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

I had done a construction loan before and had just cash-out refinanced after 2 years. I wanted to get a deal that could cash out refi. in 6 months. I became interested in Short-Term Rentals listening to other investors and the Short Term Show on Bigger Pockets.

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

Auction.com. bid on it. stay by your computer until you win. I'm a Realtor, and I recommend using a realtor for your auction.com bids...they can wait on the line until the last minute of bidding is finished and win you the deal!

How did you finance this deal?

Conventional loan with construction hold back costs from local bank.

How did you add value to the deal?

Turned the Sun room into a 3rd bedroom by adding a closet. Relocated the front door out of that sun room. New floors, fresh paint, all new kitchen and bathroom.

What was the outcome?

Time Frame: Bought at auction.com...bid in November and won...Quite Title suite followed paid by seller...closed March 1, 2022...Finished rehab July 1, 2022. Opened AirBNB July 4, 2022

Cash flow varies by month as this first year we are doing a Short-Term Rental. Winter months have not been good in Tulsa, but summer months saw cash flow of up to $600 month...Will have the average for the year in April.

Lessons learned? Challenges?

Lesson learned: get those construction quotes during inspection periods. Go with the more expensive quote for construction hold/back costs.

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

I'm a Realtor and was my own agent on this deal.

Post: First BRRR by the numbers

Rhonda McDanielPosted
  • Realtor
  • Tulsa, OK
  • Posts 76
  • Votes 42

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $34,999
Cash invested: $10,000

Did a delayed BRRR on this beauty! Sale price (2019) $24,999 + $10,000 construction loan +$10,000 additional improvements out of pocket to transform garage to 3rd bedroom. Original Appraisal in 2019 at purchase was $45,000 (2 bedroom) and in October, 2022 Appraised for $120,000, Refinanced at 87,0000 pulling 40K in cash out to put into other deals. Rents 995, Loan 750, Property Management 95.

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

This was a HUD property that I found through a Realtor. Negotiated down by $5,000. Bought as is with no inspections.

How did you finance this deal?

Construction loan with 6 months of interest only payments and holdback of $10,000 for fixes. I blew through my budget, but closed into investment loan at 5.5% interest $35,000.

How did you add value to the deal?

This had an attached garage and a detached garage. Changed attached garage to 3rd bedroom put hallway in to get to the garage through a current bedroom. New flooring, paint, all new kitchen and new bathroom. Actually waited to paint the outside for two years until I had more time and money and was ready to refinance.

Lessons learned? Challenges?

I learned that HUD has two bidding periods; the first is for home buyers who will use it as a primary home. 10 days to two weeks later, investors can bid. I also looked past the ugly and the smell so horrible you could hardly enter the home.... I learned what an OZONE machine can do, that you can seal a floor to get rid of cat urine smell by simply painting it, and that IT's ALL WORTH IT!!!!

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

I used a local property management company's construction crew. This worked perfect and was very cost efficient.

@Nick Heil you can't pay off a house that fast, that's for sure. Thanks for the transparency. You'll succeed I'm sure.