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All Forum Posts by: Salvatore Gaglio

Salvatore Gaglio has started 4 posts and replied 25 times.

@Alexander Knowles thanks for cleaning that up for me. You just outlined a much more direct approach, and I appreciate that. One of the partners lives in Myrtle Beach, I’d love to connect and see if we can make something happen. Again thanks for your input ! 

@Joshua Strickland I appreciate the info. I actually remember my local lender mentioning that it is very difficult to find a lender if any. All this info is really starting to stack the chips against the possibility of working a str into a condotel. 

@John Underwood I couldn’t agree more. I’m going to shift my focus a bit. Something unique will definitely help the listing get some traction compared to the more common Condotels. I’ll have an easier time acquiring the loan too. I appreciate your response. Hope you Guys enjoy your stay! feel free to share any takeaways when you get back 👍

Hey guys, 

First post here, I've been loving the knowledge I've gained from reading the blogs and can't get enough of the podcasts. I've been researching breaking into the STR market in the North Myrtle beach area. This endeavor was originally slated to be done as an LLC with 2 other partners. As my learning continued I realized the difficulty posed by obtaining a commercial loan; due to the LLC, the interest rate (as opposed to traditional loans), 25% down payment and the high costs associated with the "Condotels". I also learned lenders can be very selective with these types of properties.

We were looking to stay under the 200k threshold - 1 bedroom 1 bath ocean front properties. Seeing as this would bring a great element to anyone vacationing to MB looking to stay in an Airbnb. 

Since then I've changed my approach after doing some digging on different ways to strategically gain a loan without going through the LLC. My game plan is to apply for a second home/vacation loan for our first property. 10% down possibly 3% interest rate 30 year. Which is much more appealing to our bottom line and monthly figures. The idea of refinancing after a 7 year commercial loan with 25% down was simply too daunting and didn't make financial sense. Since we would still be acquiring as a team, we would all be on the loan and title.

As for properties after this one we would apply for an investment property loan: 25% down slightly higher interest rate but still better than the commercial loan. And again at a 30 year fixed rate. 


How does this strategy sound to you guys?

Additionally if anyone can recommend a good agent in the Myrtle beach area who has a focus on str properties which can cash flow I am all ears. I’ve checked the “agents” section and have sent out some messages but would love to see if anyone else has recommendations. 

I understand this is a pretty lengthy post however I feel if any platform can aid me this is the one. Looking forward to hearing from everyone. 

Thanks a lot everyone ! 

Investment Info:

Condo buy & hold investment in Sunnyside.

Purchase price: $395,000
Cash invested: $25,000

Bought my first REI property with my Fiancé 2 years ago in Sunnyside queens, NY. We bought, renovated, refinanced, and will soon be renting once we find our next REI property to move into.

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

Within our price range. Wanted to get into a long term rental property.

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

Found it online/MLS. Negotiated with a realtor.

How did you finance this deal?

30 year fixed rate, 20 % down.

How did you add value to the deal?

We renovated the property ourselves/ sweat equity.

What was the outcome?

Beautiful renovated 1 bed room 1 bathroom queens apartment built and designed the way we want it.

Lessons learned? Challenges?

Working on renovations within an apartment building can be extremely stressful. In the future I’ll be sure to purchase a condo and not a coop.