All Forum Posts by: Robert Reynolds

Hi Anudeep, 

When looking to buy a short term rental, and you find one on the market that is already a short term rental, your agent can usually get the gross revenue numbers from the selling agent. They usually will send a printout from AIRBNB showing the income generate. They may use other booking platforms also, and can send those numbers usually also. 

I have had clients buy homes that were already airbnbs and others that needed a lot of work, and their's definitely benefits to each strategy. 

For property management it depends on the location. We've had clients buy in Big Bear, Joshua Tree, Palm Springs and other short term rental markets in SoCal, so reach out if you need a connection. My advice is to start managing it yourself, and if it's too much, you can then transition. You want to keep the airbnb account in your name, in case you don't like the management company. 

For financing, you can go with the second home loan at 10% down, or investment loans at 15-20% down or DSCR loans. I can connect you with a lender if you'd like.

The tax benefits of STR when you self manage and have a W-2 job or other active income are a huge benefit, and I would consult a tax consultant on that.

Take Care and let's talk soon!

Hi Manny, 

There is no con to using an agent to buy your 1st deal. We are free to you, the buyer. THere's more con's in not using an agent, the main one being you won't have someone representing you and getting you the best deal possible. Agents are fiduciaries and market experts. 

I would not recommend using the seller's agent, because they have the seller's best interest and can never fully give you an unbiased opinion when trying to close a deal. 

Not sure why you would want a lawyer to close the deal. There is a lot of knowledge that an agent would have that a lawyer would have. An agent can help guide you through the process from showing homes, running comps, writing competitive offers, walking you through the escrow process, helping you understand the results of the inspection, and making sure you close on time. 

My advice is to get pre-approved, see what you can afford, then look for areas with solid price to rent ratios, so you can have that as an exit strategy. It won't cashflow right away, but give it a couple of years and it should. Also look for a diamond in the rough, that needs a little bit a rehab if you have the budget/time for it. That will help give you some forced appreciation. 

Condos are great point to start with because the HOA should cover the major repairs (Roof, Plumbing, Foundation, etc.) They won't appreciate as fast as a house would, but they are way better than renting in my opinion. Make sure to check HOA rules as far as renting it out after, and make sure that it's MidTerm Rental Friendly, which most HOAs are.

I would put split a/c's in each unit and that around $1,500-2,000 I believe. Talk with an AC/Heating company though. 

Hi Yuval, 

Welcome to the US and more specifically Los Angeles. David Greene from the podcast has a local real estate team in SoCal that hosts several meetups every month. I host my own but also attend my teammates meetups also. Hope to see you at a meetup soon. Next month we will be having one with David Greene. 

Please feel free to reach out with any questions.

Condo in SoCal could be a good option, with an exit strategy of Furnished Mid-Term rentals. In LA the prices are so expensive that it's best to hop in when you can, build up some equity and start your journey. If you can find a 2-3 bedroom condo and then rent out the remaining bedrooms, it could be a decent house hack, allowing you to save up for you next purchase. 

Another benefit of Condo's is you won't have to worry about large cap-ex expenses like roofs, foundation, etc, since that will be covered by the HOA.

There are definitely downsides also, lower appreciation then houses, and HOA having too much control of what you may be able to do with the unit.

Topic: Goal Setting for 2023!

I’m super excited to host this next Meetup and see everyone again and hopefully some new faces. Please bring your goals for 2023 and we will discuss ways to make sure that we reach all of our goals together.

My team and lenders from David Greene’s The One Brokerage will also be attendance to help answer any real estate related questions that you may have. 

Sign up here and join to get updates on all future meetups. 

https://www.meetup.com/the-dav...

My goal is to make more, spend less and invest the difference! Will put the money into large cap index funds until I'm ready to purchase my next property. Either a short term rental (Palm Springs or Big Bear) or another primary residence in LA. What are your goals?

For Los Angeles I would do a live in flip/house hack. Buy something under market value, live in it while you work on it and force the appreciation. Then refi when rates drop one day and rent it out eventually. Then repeat!

Also look for homes with ADU potential and add an adu which will help you cashflow faster.

Sounds like an interesting meetup! I'm going to try and make it, thanks for hosting