All Forum Posts by: Ryan Johnson

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $170,000
Cash invested: $50,000

AirBNB
https://www.airbnb.com/rooms/637673890839867819?check_in=2023-03-23&check_out=2023-03-30&guests=1&adults=1&s=67&unique_share_id=30a0615c-68cc-4324-b5e6-6ce18663d9e9

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

I've always wanted a cabin in the woods. Now I have a place to enjoy with family and a stellar investment. Returns have been great so far so I'm shutting it down for the winter. It's also less than 1.5 hrs. from my hometown of Grants Pass, Oregon.

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

Off-market letter campaign.

How did you finance this deal?

Investor loan

How did you add value to the deal?

We spent a month pulling carpets, refinishing wood floors, painting, and setting up furniture. Now there's a mini split and new electrical panel.

What was the outcome?

Bookings have been great.

Lessons learned? Challenges?

Remodeling takes time and its easier without kids. Letter campaigns and persistence work.

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

Ryan Johnson(me) of John L Scott in Medford. I am actively farming the neighborhood.

Other users already addressed the auction situation but I'll speak to the lack of networking. We have a great networking meetup in Medford and there is a short-term rental group forming on Facebook that has promise. Off-market deals are where it's at for your situation. Start writing letters. I'm happy to help if you need somewhere to start.

Hi Jarrett, I live in GP, am 34, and am investing in short-term rentals locally. I just got my second and have my sights on a BRRRR for the next. I second the BRRRR book and Kelsie's R.E.I group in Medford. It's great. Let me buy you lunch this week or next.

Hey BP, I am looking to do a BRRRR to STR project in Southern Oregon. I am looking for financing recommendations for someone who is familiar with DSCR loans or something that will work for this strategy. I have access to some private money lenders that can make it happen but I'd love someone who has experience doing something similar and can offer a little guidance. Any recommendations?

Great write-up! and thanks, Jim. 

Thanks for the replies y'all. I looked into Havenly. It's very interesting. I have been considering creating a similar service on the side. And I got estimates from Robuilt's youtube channel of $7-10 per sqft for decor on a budget listing and $10-12 per sqft for a luxury listing. I found that there are a lot of things like curtains and kitchen supplies that put us in the top end of that category. I'd like to hear how you budget by room @michaelskinner. 

@Ryan Johnson also, don't forget to account for furniture($7-12 per sqft) and setup time.

@Carlos Licon I use AirDNA then check the comparables to verify. Also Mashvisor can give you a secondary set of data.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $355,000

This is a large vacation rental property in downtown Klamath Falls, Or.

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

STR's have all the normal advantages of real estate investing but with extra cashflow but I can enjoy them too!

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

I am a licensed real estate broker in Southern Oregon. Negotiated seller credit to reduce cash down.

How did you finance this deal?

2nd home loan

Lessons learned? Challenges?

Budgeting for furniture in an STR should be at least $10-12 per sqft and It takes a heck of a lit of effort to design the interior and set everything up.

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

I'd love to work with other folks in Southern Oregon who are buying short-term rentals. Also, Brian Case at guild Mortgage was incredible.

@Jefferson Simmons

Look into Evolve property management. They've been doing it for ten years at an industry low rate of 10%.