All Forum Posts by: Simone Koga

@Duc Ong  This is a leasehold condotel which is an incredibly specific niche in financing.  We went through a mortgage broker Axia but the underwriting is being done by First Hawaiian Bank.  30% down required, and because the lease has fewer then 30 years we're financing over 22 years (27 years remaining on lease, bank requires remaining years - 5).  In our eyes, the investment makes sense even with the likely loss in equity, but there is actually a possibility we could purchase the fee down the line, which would be icing on a lucrative cake!

@Jon Crosby Thanks so much for the advice. You're right, I want to definitely get things lined up before May shows up or I'll be totally empty in the summer.

@James Wise Very wise (haha) to recommend some caution.  I've decided to give myself a few weeks of buffer just in case things go sideways. Hopefully it'll all work out as planne.d

@Luke CarlThanks for the advice as always.  Good grief, some people have nothing better to do than be rude at their keyboards.  You didn't need him anyway!

@Wendy Schultz The furnishings are staying and are in pretty good condition since the unit was in a large rental pool program.  We'll need to get linens, kitchenware and some smaller ticket items, but luckily, it should look fairly like the pics for a while.  

@Julie McCoy I was going to ask about the pictures but had the same thought as you.  Better to ask forgiveness then permission.  The listing agent is incredibly old school and I highly doubt she spends much time online so hopefully it'll go undetected.  They're not my favorite pics but they'll do until I can get a photographer of my own in there.  I've come to the same realization regarding the risk.  There's a much bigger problem for me if the unit is vacant all summer then if I have to cancel a few guests.

@Paul Sandhu Yep, should have done it last week!  I did end up listing just after I posted.  The more I thought about it, I didn't want to wait.

We'll be closing on our first STR in Hawaii early in May. I'm wanting to get my ducks in a row so that as soon as the keys are mine, I'm getting the prep started and opening up for business. My question is, when do I start actually advertising? I had assumed I would wait until the property was actually mine, but of course that means I'll have quite a bit of down time before we start getting bookings. A property manager I had spoken with had mentioned that they actually list homes for their clients before they've even closed escrow. They start booking out a few weeks post the scheduled close to give themselves time to prep and in case there are any extensions.

I'm wondering if anyone here has experience with this? Obviously I want to minimize the time the condo sits vacant.  Upsides, downsides?  I won't have primo photos right off the bat, but I think I can convince the current listing agent to allow me the use of the listing photos in the meantime.  Would love to hear any thoughts!

Take ^ @Luke Carl up on his offer. He's incredibly generous with his time and has got a great system. Self-management from a distance can seem daunting at first but its doable, and will make a big difference in your profits. I'll be closing on my own distance STR in early May and have actually had a blast researching and making preparations. Each market is a bit different and may need some adapting but the general idea is to find people you trust. For most, its a cleaner that is willing to take on a bit more responsibility and keep a close eye on the property for you.

Thank you @Patrick Franta!  The properties up in Ka'anapali.  I'll reach out to CB Island Vacations for sure.  If you have any recommendations for cleaners, I'd love to hear them.  I agree, that's probably what can make or break this whole process.  I'll also be looking for maintenance/handypersons too. It's a lot, but I'm excited to do it.

@Jon Crosby Yeah, I figured it isn't something they want to advertise since they'd likely prefer to push full service.  I'll have to make a list and call down, see who is game.  Thanks!

@Mark Waite, Thanks, I'll give them a call!

Wow, thank you everyone for chipping in with great advice so quickly.  I love this community!

@Kevin Kelsey This is exactly what I needed, thanks for putting it together.  I hadn't known you could find AirBnB co-hosts through their site, I had just read about how you could add a (known) person as your co-host if you needed.

@Jon Crosby Boots on the ground is apparently the law in HI so I'll definitely need to find someone for that.  I'm not seeing a lot of options though.  Googling, yelping, craigslist have only turned up 2 potential hourly rate type people.  Everything else is standard full-service property managers.  Do you think they may offer a la carte services if you ask but don't advertise that aspect of their business online?  How did you find your Tahoe company?  Good tip on insurance, I'll need to add that to the list of things to consider.

@John Underwood I'll definitely need to plan backups for sheets and towels.  The property is in a pretty big resort complex and I'm not sure if there are any restrictions on lockboxes.  That said, there is a front desk that runs in-house rentals, and I believe that they can distribute keys even to those not in their rental program.  Will have to verify.

@Paul Sandhu 22 properties!  You're clearly a master at this, I'm adding all of these tasks to my checklist (also adding a note to google agitator dogs, sounds like a cool band but I have a feeling that's not what they are)

@Villy Ellinger I wish you were on Maui, I'd hire you in a heartbeat!

@Lisa Graesser Good call on changing door lock batteries on a regular schedule.  If I am allowed to do those, I'll definitely make sure they're swapped out regularly.

@Luke Carl I'll take you up on that offer, will send a pm shortly.

@Mark Waite Do you know of any specific PMs on Maui that provide this a la carte style service?  I'm having a hard time finding anyone that does anything other than full service.

Jumping into this newly revived thread.  Aloha!  I'm also in the process of buying a first VR property on Maui.  We've found a really great property manager for 20% but I'm also  contemplating doing my own management.  I've found a small number of companies that offer 'on-island contact' services for a flat monthly fee.  Some offer a few other add on services as well that I think could end up covering all my bases but still saving me a significant part of my profits.  We'll see if I'm able to cobble together a good team that will make it all work, and if not, I can just go with the management group I've found and still cash-flow with thinner margins.  I'd love to chat and bounce ideas about what everyone's trying and what has or has not worked.

Thanks!

I'm in escrow on a property in Maui that we'll be using as a vacation rental.  We were originally planning on going with a property manager at 20% just because of the ease.  The more and more I think about it however, I would really like to try and self manage at a distance (Bay Area).    I'm putting together a list of roles I would need filled, cleaners, on-island contact, handyperson, etc. but I want to be as thorough as possible.

Anyone finding success managing a STR from afar? Wha are your tips/tricks, must-haves and nuggets of wisdom?