All Forum Posts by: Tandi H.

Thanks!  I will check that out. 

Just heard from my friend who has the local AirBnB - just found out from a renter that she has bedbugs...she thinks its from  the previous renter who stayed for 10 days...ugggh!  That's something to consider I suppose with short term rentals.

Any number crunchers who can give feedback on my numbers?  I'm expecting $1000/yr for insurance also.

Hi, and thanks in advance for any advice.

We're looking at our first RE purchase. It's a duplex separated by a two car garage and a large RV garage. The RV garage is currently being used by one renter as a workshop. This property is on our block so we know the area very well. It's in a desirable area near a university and walking district, but does have some crime and transience. Its on the edges of a more solid SFR area.

Property cost is $235k.  Current rents are $1050 for larger 2/2 + 2 car garage, and $650 for smaller 2/1 + RV garage, so total currently of $1750.  Taxes are $2575/yr.  We'd be putting 25% down at 4.75%.  Property managing ourselves, spouse is a contractor.  Property is in decent shape, some minor repairs (siding) needed.  Not a super attractive property but decent enough for a rental.  Finishes and flooring etc appear to be in pretty good shape and relatively new.

We are thinking that we could convert the 2/1 into an AirBnB, utilize the large RV garage ourselves as a shop, rent out the 2 car garage as a shop, and rent out the 2/2 for the current rate.  

Based on what a nearby friend is getting for a studio AirBnB, we could pull in $1000/mo for that smaller unit; at least $1000/mo for the long term 2/2 rental; and maybe $200/mo for the 2 car garage shop.  That would be closer to $2200/mo.

In the future we'd convert the 2 car garage into another unit for either long term rental or AirBnB.  

This would be a large part of our investment cash available.  However I think we are better suited to buy and hold rather than more complex deal making.  With spouse as a contractor that makes repairs and maintenance pretty straightforward.  

I think we could cash flow $400-600 per month?  Is that reasonable considering "free" labor?  We are also considering less wear and tear on the short term rental units.