All Forum Posts by: Alexis W.

I recall hearing a podcast about this. Is the tool STR Insights? I may be conflating different tools that I've heard about.

Just curious as someone considering arbitrage:

Why do you say the LL has all the risk? 

You have a signed lease. The leasee(?) Will have proof of appropriate insurance. They will have to abide by local ordinances. your property gets cleaned continuously. Is the primary risk that they flake out on the lease?

ahh, I see @Richard Elvin answered my question.

Also I think its incorrect to assume arbitrage-ers don't have the money. Some of us are just timid about purchasing a property. But I understand the perspective that trusting an individual who you don't know that well with what may be your biggest investment would be just as scary.

@Jason Coleman thanks for posting this. I've read about the many risks of arbitrage but it still feels like a nice starting point before purchasing a property. Worst case if I find that I suck, I'm paying the lease amount and have some nice furniture. I'm still debating though.

I have no advice but this is a great looking place for that price, wow.

Would you recommend one's first STR be in one's home market or in a remote market, in a case when both are possible?

I'm currently considering this question wrt saving up the down payment. I think it will be easier to learn with a property near my home however I can get started sooner by leveraging the 10% down second home mortgage. (I am financially prepared otherwise.) 

My long term goal is to have STRs in a few cities. I'm leaning towards the remote option because I'm impatient and saving for 15 or 20 percent means several more months of saving. The remote location would be my childhood hometown.

I'm trying to determine if I'm holding on to a limiting belief. 

i told myself I'd wait until we bought our next home, the "forever house," before buying investment property because we'd be less attractive loan candidates with the debt from investment property. Is that true? As long as there is positive cash flow, will banks look at investment properties favorably?

i have the forever home down payment set aside so that's not an issue. Forever home is pending our child finishing elementary, which would mean 3 more years of waiting to invest. I'm wondering if I can start investing now.

We're currently in a 3/2 SFH, A school district. I think I may want to keep as a rental as well since there's at least $1000 spread between my mortgage and rent prices.

Do communities ever have limits on how many non-owner occupied properties they will allow? I've been looking at this as a strategy as well.

I had a good experience but mine was not a house hack. I don't recall any restrictions on living in the house; there's a provision to finance payments if you can't live in the house. We did not live there during reno. I would recommend finding contractors who are experienced with the requirements of the program. I talked with a reputable company who claimed to be totally unfamiliar with the program and had reservations about having to document things a certain way. I ended up going with a company experienced doing 203k renos. The project manager was knowledgeable and kept everything moving. Payments start like a regular mortgage, after closing, unless you finance them (up to 6 months I think).

I'm glad this came up. As someone looking to get started in the next 12 months, I feel very intimidated by the idea that the market is saturated with investors here. The few investors I've spoken were not expanding into other counties though; they have enough business in Jax. Any expanding into Nassau or Clay?

I think this is my first post here. :) I'd like to know if there is anything I'm overlooking with this plan.

I'm going to purchase a rehab, renovate it, refinance and use the equity to further invest in real estate. I plan to live in the home. I will use either a 203k or the Fannie Mae product.

I created a simple spreadsheet calculation that accounts for buying at the right price, estimating renovation cost (from pictures right now), and only being allowed to refinance to 80% of the ARV. I'm estimating ARV based on renovated houses that have sold in my target areas recently. I recognize that could change. I've also gotten historic sales information for my target areas to identify those that tend to be more stable and are not declining.

Ideally I'd do this with a multifamily but they are hard to come by in my price range and areas. I'm still looking though.

I've found a handful of properties that fit perfectly and would leave me with $20k-30k plus equity that I could use in a HELOC or similar product to put down payments on future investment properties.

Does this make sense? Are there any failure points that jump out to you?