All Forum Posts by: Troy Gandee

@Justin K. I can't give you too much advice on this other than to do a little bit of research on how the property is taxed and how the county/municipality would treat the taxation. If you qualify for agricultural taxes, which are usually much lower than residential/commercial taxes, they may not allow you to collect any rental income as that would be a commercial activity. You could convert the taxation back to residential or commercial, but you'll have to pay what are called roll-back taxes, which can be pretty brutal depending on how long the property was agricultural in nature. This is why you see a lot of operations that are multiple TMS #s in SC. An owner will often subdivide multiple parts of a farm in order to make all the taxation and zoning comply with their needs.

@Mark Shippie I just replied to another post similar to this a little while ago. Weeks & Irvine does a lot of sub-to deals, but there has been a huge surge in BAD training on how to do it correctly, so a lot of attorneys refuse to touch them now. Especially if certainly terminology or methods are mentioned. Make sure you're only calling real estate attorneys and only call the ones who seem to do a lot of business. Have them HELP you make the deal work.  

@Eric Mcginn is correct. @Jonah Deuerling We're an attorney state. We don't use title companies. We use closing attorneys. They're effectively the same. There are quite a few. I know Weeks & Irvine does a lot of creative finance closings, but I will warn that there has been a tremendous rash of bad operators trying to pull off really sloppy creative finance deals lately. Many attorneys are more weary of these deals than they used to be. You should ask the attorneys how to do it properly before you send them any deals that could be messy.

@John Underwood Unfortunately, most of West Ashley is City of Charleston, so they have to your primary residence in order to get the STR permit. There are exceptions if you can find a property that's in an unincorporated area, but they are rare to find and still require approval by the County, which has limitations. North Charleston does not have any owner occupant requirements, which is a big reason there are so many there now. We've had ours operating in Park Circle for about 6 years now. It's one of the best performing assets we have for the capital invested. However, the market in Park Circle specifically has become quite saturated with STRs over the last couple of years, so we're seeing vacancies beginning to increase.

@Emily Peters I agree with what these other folks have said. I would also suggest chatting with @Brandon Bartley if you'd like help with the process. Brandon is one of our best agents and takes really good care of agents. He also watches the market to try to stay up to date with what's happening.

@Briana Stout No problem. Just cruise around and get familiar with the area in general. There's not much multifamily inventory at the moment, but it will eventually come back around.

@Briana Stout North Charleston is a pretty big municipality. It's the 3rd largest city in the State. It can vary pretty wildly from the Neck area to Park Circle to the Dorchester Rd Corridor. It will really depend on your personal preferences and tolerances. I will also say that multifamily tends to be in lower-income areas, so you will likely need to be prepared for that. The majority of the multifamily in North Charleston is going to be in the Neck area, the Ashley Phosphate area and the Dorchester Rd area. You can try to get some input here, but I would suggest coming to REI Central to talk to people in person to get more candid and specific answers. And it's always prudent to drive these neighborhoods to get a feel for them.

@Dev Patel I would suggest markets that are currently considered "tertiary" to larger markets. Most of them in my market are already exploding and won't be dependent on their larger neighbors for much longer. Cash flow has been severely diminished in my market, so I usually only look at markets about an hour away from me for my personal holds. Once you've identified some you like, just try to keep up with their larger economic news. New employers, current employers expanding, new home developments, apartment complexes, new food/retail centers, etc. All of those things indicate that growth is happening or expected.

@Chanel Gargula Just make sure there are 2 separate electrical meters. That's usually a distinction whether or not they're actually separate dwellings. If they City says it's ok, then you should be good to go, but they can definitely make mistakes. I've had issues with them giving me incorrect information before. They also just changed the STR requirements to allow more than 1 STR per property, so you could technically STR both if you wanted.

@Tim Miller I'm a BIC and have about 50 agents under my supervision. We're small and don't really have the infrastructure for brand new agents, so I always recommend starting with a bigger company to take advantage of the training they provide.

The 2 options I usually recommend are KW and Carolina One. I much prefer Carolina One's tactics and culture over KW's. CORE is also independently owned. Just be prepared to pay some monthly fees and lose a much higher split on your commissions, but it is worth it to get up to speed ASAP. I some times recommend joining a team so you can get into the field almost immediately. Just be mindful of what team you join.