All Forum Posts by: Stephen Scire

I certainly will, thank you @Amy Shutes

Thanks as well @Cameron Johansson

@Patrick Bavaro , I have friend that is interested as well, she may be going down there... to the west coast...I will forward your contact info to her if you have time to chat.

Thanks again as well. Mike & Celeb

Steve 

Thank you everyone.... that's awesome Joe , appreciate the info & keep crushing it !

Patrick...very interesting,  I'm going to research these 2 areas & reach out .

Thanks again for taking the time to share your experiences  !

Hi Joe, that's great... are you doing any STR or strictly yearly. Do you find yourself in a sweet spot between Nashville & Charlotte ?

I'm in the market for a vacation spot as well as seasonal for snowbirds. Any thoughts in your market ? 

What are you looking for in VT , I could always keep an ear out for you. 

Steve

I am from the northeast & currently looking out of state for an investment property.  My search continues by way of researching different areas based on my criteria.

Id like to hear some thoughts from the BIGGER POCKETS community, for not just states , but submarkets in that state based on these ...

* Warmer climate in the southeast 

* Checks the boxes on both snow bird monthly rental & vacationers for STR in the summer

*Price range under 400K

*So... what submarket with attractions, attracts YOU !

Thank You 

Steve

Hello BP family,

I have an opportunity to get a deal, the property ARV is @ 1.5M ...although the owner did a nice job in updating the units, there is major work that needs to be done to the exterior brick / which I believe scared away some possible buyers. There is a total of @ 150K to bring it up to a nice 4 unit bldg. The potential income is 8800 - 9600 all utilities are dedicated. I truly believe that although the cash flow may not very aggressive, the area is desirable & will be an appreciation play as well. Yet I should be able to do 8-12 % COC

Here's my dilemma... I have much equity in 2 other multis I own but have only @ 100K liquid right now...

What is my approach to the seller regarding seller finance for 3 to 5 years , both not over leveraging myself & trying to save the seller on capital gains NOTE: (he owes @ 250K on the property) & HE IS OUT OF THE GAME, CASHING OUT AND DOES NOT WANT TO OWN INVESTMENT PROPERTY ANY LONGER. 

In those 3 to 5 years Id like to:

Firstly, present him a beneficial deal to both of us 

Buy down my principal in that time

Get necessary repairs done

At the end of 5 years, reappraise & get conventional mortgage, naturally by then have more that 20% equity in the property.

HOW DO I STRUCTURE THIS TO THE SELLER SO IT IS ATTRACTIVE, SAVES ON TAXES & FITS MY GOALS

ALSP< HOW MUCH OF A DOWN PAYMENT DO I GIVE SELLER, CAN PAYMENTS TO SELLER BE INTEREST ONLY IN THE BEGINNING & THEN LATER (year 3 or so) GOING TO 1/2 PRINCIPAL 1/2 INTEREST ECT... 

Thank you all in advance

Steve

I am getting my children interested in real estate investing, my son has come across a 2 unit in a lower income area , suburb of Boston.

These 2 units are said to be  " deeded rent restrictions for low income occupants" ... these affordable housing restrictions are in place for the next 7 years. 

What are the benefits & pitfalls being a landlord owning an investment like this.

Thank Dan & Sean , as always... very satisfying advice.

I always love to discuss these situations with like minded people like y'all.

Sean , will do 

Thanks again Steve

Good day all, I have a good oppurtunity to get into a deal for a STR next door to my current property. It's a close proximity to the ocean...as we are but this unit sleeps more , very much updated ,yields more revenue, better COC return & winterized.... we are in the Maine area...

 The owner is willing to finance with 20% down... I really know these deals don't always come across my lap...& I dont want to mess it up, lol. 

We agreed on a price, traditional financing could be a problem ( or so I think it would be being a single unit but generates good revenue & has value going forward but banks may be requiring 25 - 30 % down )

My question is... WHAT IS A FAIR 30 YEAR INTEREST RATE for both of us, I believe I would put in an option to switch the note over to a traditional institution in 5 years if beneficial.

Thank you all for your knowledge

Steve

Hello BP members, although I am not new to rental properties, I feel that there is always something new to learn & I feel strongly that this site has some of the best advice & smartest minds when it comes to investment properties.

So.... here's my dilemma 

2 years ago , my wife and I purchased a short term rental in Maine, beach area, steps away from the beach & the location is very good.

We now know how fortunate we are that after jumping over many obstacles to obtain it, there is much value here & will  be a good investment as years pass. The last couple has more of an appreciation play than cash flow (not in the red, just lower cash on cash return) and we see an escalating rate as time goes on.

These are 2 cottages on 1 parcel of land , so they ARE seasonal right now.

That being said, my abutting neighbor , who we get along with very well, has decided to put her vacation rental on the market. She woiuld love to see us with the purchase , since she favors this particular 1 & sees that it would be in good hands. There are some features of this home that I would like to share to help me with the decision.

This STR is only 6 years old, in very good shape, is year-round so has Heat/AC (which we do not) , a larger unit (4bd / 4 bath & sleeps 12) & has been booked each year with repeat vacationers

The property has not taken advantage of off season rentals, which happens in this area ( Oct - May) .

I have included these #s conservatively in my NOI.

I understand the formula for commercial investment property, NOI / cap rate.

Can I use this same formula to evaluate a purchase price so I am not over paying for the property... I am looking at this strictly as a  business, as it should. I am aware that the biggest mistake for many bad investments is buying too high.

 The asking price is over double what we paid for our cottages but this has double the revenue,  without off season rents to be considered.

Note; current NOI is 62,450

With off season winter rental added in , NOI is 77,658

Thank you for your thoughts & advice...

Steve

Gotcha Dan, thank you very much.

Hope all is well  !!