All Forum Posts by: Ty Coutts

Hi Damien,

I work at Aslan Mortgage Lending and we are licensed in Ohio. Let me know if you want to connect.

Hi Matt,

Both Ohio (Cincinnati/Dayton) and Texas (Houston) offer great opportunities for BRRRR, but the impact of location depends on cash flow, appreciation, and competition. Ohio has lower property prices, strong rental demand, and better cash flow, making it ideal for BRRRR. However, appreciation is slower. Houston, on the other hand, has higher appreciation potential, a growing job market, but also higher entry costs and more competition. If you prefer steady cash flow and lower risk, Ohio is a solid choice. If you want higher appreciation and scale faster, Houston works. An alternative city in Ohio could be Columbus as it's a growing city with a large university, so ideally, always people to rent to.

Any more questions, feel free to DM or email me.

Hi Adam,

I'm a licensed loan officer in 8 states. If you need help with a loan or anything else, feel free to DM or email me!

Hi Andrew,

I've found this to be helpful to people I've helped with investment properties. Do your research on the best in your area.

Hi Benjamin,

Start by reaching out to relocation companies, insurance housing providers, and major employers in the area who may need temporary housing for executives or displaced employees. I've also heard that traveling nurses are good mid term occupants, so try reaching out there. List your property on corporate rental sites like Blueground, Zeus Living, and Furnished Finder to attract high-income tenants. 

DM or email me if you have any questions!

Buying a second home for short-term rentals can be a smart move (especially in a vacation hotspot like West Palm Beach), but there are key factors to consider. While a 10% down conventional loan is possible for a second home, lenders often have strict occupancy rules—you must personally use the property and not rent it full-time. Some lenders may restrict Airbnb use, so clarify this upfront. Also, factor in local regulations, HOA rules, and seasonality, as STR markets fluctuate. Ensure your projected cash flow covers expenses, including higher insurance and management fees.

If you have anymore questions, shoot me a DM or email! I'm also a licensed loan officer in the state of Florida.

Hi Olecia,

As a loan officer, buying a second home for use as a vacation rental (Airbnb/STR) can be a viable option, but it's important to be aware of certain considerations. If you classify the property as a "second home" instead of an investment property, you could potentially put down as little as 10%, which is a great advantage. However, there are risks, such as stricter lender requirements on the use and location of the property, and lenders may require you to prove that it is used primarily for personal vacations (not exclusively as a rental).

Additionally, using it for short-term rentals could lead to changes in loan terms, and some lenders may not approve if they suspect the property is being rented out frequently. It's crucial to ensure that you're compliant with local zoning laws and HOA regulations related to vacation rentals, as these can affect your ability to rent the property.

Overall, while it can work well, especially if you're looking for income from rentals, make sure to have a clear understanding of the financing rules, potential restrictions, and the financial risks involved.

Your deal looks strong for a first-time investor, especially with a 20-36% cash-on-cash (CoC) return. However, it's important to account for vacancy (5-8%) and maintenance (5-10%), as these can impact your net cash flow (if these weren't included in your cost calculations already). Ensuring your rental market can sustain these costs will help maintain profitability over time.

The 7% DSCR loan is relatively high, and refinancing later at a lower rate could improve your long-term cash flow. Additionally, with $50K in equity, consider leveraging it for future deals. If your market shows strong appreciation and rental demand, this could be a solid foundation for scaling.

Hi Rickey

As a first-time homebuyer, you have great opportunities in the condo market. For your mortgage, a 30-year loan will give you lower monthly payments, which could be ideal while starting out. If you can afford a higher payment, a 15-year mortgage saves on interest over time.

For the down payment, aim for at least 5%, but if you can put down 10-20%, you'll avoid PMI and could get a better rate. Since you're considering renting out the condo in 3-5 years, refinancing could help reduce your payments later. Also, managing the property as a rental could offer tax benefits.

When purchasing, keep in mind condo association fees and maintenance costs. I would be happy to help you explore first-time buyer programs and financing options to make your purchase smoother and set you up for your future rental plans.

Breaking even on your first flip isn't a failure—it's a valuable learning experience. Since you estimate a resale value of $200-215K and renovation costs of $60-70K (although you said that's on the higher end), your margin is tight, especially considering closing costs, realtor fees, and unexpected expenses. A key lesson here is buying at the right price; overpaying by $15K can make a big difference. Future flips should focus on negotiating better deals and ensuring a strong after-repair value (ARV). It is a plus that you bought all in cash and didn't accumulate any interest. As a loan officer, I've seen a few people go through the same scenario of basically breaking even. Use the experience into your next one and crush it! Any other questions feel free to DM or email me!