All Forum Posts by: Ryan S.

In October 2024, I began searching for a property in Colorado but couldn't find anything suitable on the MLS. Exploring alternative options, I inquired about a property that was listed for rent. I reached out to the agent representing the property to see if the owner might consider selling. The owner was open to the idea and outlined their terms and conditions.

After several weeks of negotiations, we reached an agreement, and the seller signed a binding contract. However, about eight days later, the seller informed me that they had "changed their mind" and no longer wanted to sell.

In the weeks that followed, the seller failed to provide the required documents, including HOA disclosures, the seller's disclosure, and other essential paperwork, all of which were due within specific timelines per the contract. This failure constitutes a breach of the agreement.

This property is truly unique and perfectly suited to my needs. I’ve sent the seller a demand letter, but instead of honoring the contract, they offered me money to walk away. I don’t want compensation; I want the property. Has anyone pursued legal action for specific performance in a similar situation? Any advice or insights into the process would be greatly appreciated.

 I am a broker. I will try calling them tomorrow and see what they say. 

Thank you for your response. Considering Naples is a seasonal market, I've been contemplating the possibility of renting out my house during the high season for $25,000 per week. By splitting the cost among two or three families, it would be much less compared to booking multiple hotel rooms for 10 plus people in my location. I'll do more homework with some luxury sites around me. 

Greetings, everyone! I'm based in Naples, FL, and I'm considering converting my primary residence into a short-term rental. Allow me to share some details about my house: it spans 5,600 square feet with 5 bedrooms and 4.5 bathrooms. The property is situated on the water, offering a stunning view of the bay, and it's just a short 300 steps away from the beach. There's a hotel within walking distance from my home, providing guests with easy access to beachfront dining. Additionally, I also have a Ritz Carlton less than a mile away with room rates starting at $1,500 per night during season.

The current value of my house is estimated at around $8,000,000, and it costs me approximately $250,000 per year to maintain. I'm curious if it's feasible to generate positive cash flow by renting it out. Naples experiences distinct seasons, which can significantly impact the rental market. I've been considering setting a weekly rental rate of $25,000. Does this seem like a realistic figure? I'm particularly interested in hearing from those who have experience with luxury short-term rentals. I'm open to connecting and learning from your insights. Thanks in advance. 

Thanks again for everyones impute and advise. I have moved on from the above two previous mentioned properties. I just put this industrial property under contract. Here is the link: https://www.loopnet.com/Listin... 

Curious what everyones opinions is on this property. I like that is is selling at a 6.7 cap. What questions should I be asking? What are some concerns I should be aware of or asking about? 

Again thanks everyone for the awesome advise. 

So I have been presented another options. I have someone willing to sell me 28,000 square feet of industrial warehouse space that is local. They are willing to sell the space to me at a 5 cap. The place is 100% leased out with multiple tenants. All NNN leases. They say there is upside potential as tenants are paying around $12/13 a square foot the going rate for rents is now $18 a square. All the tenants have 2/3 years left on their leases. The seller just purchased the property 1 year ago for 5.8m and I would be paying in the mid 7m range which is a tough pill to swallow. One argument they are trying to make with this property is that they aren't building any more industrial in my city so as time goes on this will only become more valuable. Thoughts on this?

Wow! Thank you everyone for the replies.

I am young(36). I have a been consulting with mentors, attorney, and CPA. My biggest scare with this property is that if the big tenant leaves I have 16,000 square feet to fill which may not be the easier thing. 

I am 5 days into my 45 time period to identify a property. 

Another broker has brought me an off market deal which is a small strip center located on the same street. 100% leased, but has all gross leases instead of NNN. Average rent is about $30 dollars and the broker thinks there is upside to raise rents to closer to $40. This opportunity is also a 5 cap.

 I was renting my old primary residence before I sold it. Intact I sold it to my renters. 

Credit of the tenant is A. The lease is a NNN. The property next door(not corner lot) and is a national chain restaurant sold a year ago for 1m less then what I am paying. Just looking on loopnet it looks like rent is 25%/50% lower then it should be.

I just sold my old personal residence and have a capital gain of 3mm. Instead of paying uncle sam, I decided it would be best to 1031 it into a commercial building. I found a local building that was built in the 70s, on a 1 acre lot, located on the busiest street where I live, has a corporate tenant, and the building it located on a corner lot that has a traffic light. The lease expires in 5 years and the tenant has two 5 year options to renew. The rent increases 6% every 3 years. I would be buying the building with  cap rate of 5%. I feel as if I am paying a big number for this building, but I don't have many option of properties available locally. I like the fact I drive by the building frequently. Is this a good or bad idea. I will be financing 60% of the property. Anything I should be aware of or questions I should be asking.  Thanks in advance. 

Any suggestions on who has the best commercial property lending rates?

I am am buying a 7.8mm property and putting 40% down.