All Forum Posts by: Taylor Witt

Let me clarify a couple of itemd I should have made note of, which wasn't supposed to be the center of conversation.

I spoke with the County directly and they told me that I can't advertise as anything less than a monthly rental, but that if I want to I can rent it out daily, weekly, or however I'd like. He couldn't give me a good explanation, but I'll follow their rules.

And as for the HOA there are no restrictions on what we can do.

My wife and I recently bought a family cabin, but we also want to rent it out by the week and/or month during times we aren't planning on being there.  Our County will not allow us to list on VRBO or Air BnB unless we list as a monthly rental, and they do monitor those websites.  Because of that I am going to create a flyer we can send to Realtors and post on Facebook and various sites.

Since we aren't using VRBO or Air BnB I will need to figure out a lease/paperwork for my renters to sign, a way for them to send payment and a deposit.

1. Where can I find rental documents specific to STR's?  What are those websites and what documents should I use?
2. What are the best ways to collect rent/security deposits - Vemno, PayPal, or others?
3. Better yet, is there a website (not Air BnB or VRBO) that could be used to handle all paperwork & deposit of payments?  That way I wouldn't need to piecemeal it together.

Is there anything else I'm missing or need to account for?

Taylor Witt

It's good to hear from someone that has a very similar project.  Good to know the information you provided matches what is typical for these mom and pop type places.  I'll investigate a bit more regarding potential cap ex items.

I am currently evaluating a deal but I only have experience in valuing and owning apartment buildings.  Below are some more details and a few questions.

PROPERTY/LEASE
-rural Minnesota town (around 5k people population)
-built in 1974
-property is in good condition, right on the main street
-10 units ranging in sqft
-1 unit on a 3 year lease, 7 are on a month-to-month lease (not sure how long they've all been there), and 2 are vacant (yearly rent for these 2 open units combined would be around $22,000)
-there is room for about a 5% increase in fair market rent for the units on a month-to-month lease
-the expenses paid by the owner are taxes, insurance, utilities, snow removal, cleaning the common areas and minimal maintenance
-yearly rent $133,560
-yearly NOI of $103,447

QUESTIONS
-what are people seeing for office/retail CAP rates?
-how much should the value be affected based on a majority of the leases being month-to-month?
-what would YOU pay for this?


I know I just gave some high level details, but any help would be appreciated.

I am close to getting a strip mall under contract that has room for 2 more businesses.  Currently, a casino and a laundromat occupy the 2 units.  In an effort to fill the 2 available units, what other businesses should I be targeting or would be a good fit knowing that a casino and laundromat are already there?

@Jay Helms Just sent it over to you.

@Jay Helms Hi Jay, I would be very interested in this! Could you give me a call when you have a chance?

Hi BP,

As I move forward with my real estate career and look to take it to the next level I have been in search of a mastermind group or group of like minded individuals to help push and motivate each other. I’ve found some people, but my hope is to expand my circle and put together something more formal and structured. Below is some criteria I had in mind and what our time together would entail.

• People doing 10+ deals a year
• 4-6 people
• People that want to be open and share best practices – a diverse group of investors
• People willing to provide constructive feedback
• An initial call for everyone to explain their business model – what you are doing, what you are looking for, etc.
• Once a month organized calls (Skype or Google) with an agenda
• A shared group (probably on Facebook, Google drive) where we can share ideas outside of our meeting times
• Communication and accountability outside of the once/month meeting

This is an evolving thing and I am open to best practices and ideas others might have. But my ultimate goal is to bring a small group of diverse people together that can motivate, push and learn from each other.

If anyone is interested please send me a message or reply and we can be in touch.

I am trying to do underwriting of a group of condominiums that are for sale.  With apartments my initial criteria is taking 50% of the Gross Revenue and that's my crude way of estimating expenses at a quick glance.  For condominiums where the association pays for landscaping, yard work, etc - what is a good, quick way to estimate expenses?

Joseph Hammel give me a call, I may have an idea for you