All Forum Posts by: Wes Santos

After having completed two SFH rental property deals over the past 3 years that are cash flowing well, I am thinking about doing a partner deal but not quite sure where to begin. Ideally, I would love to invest in a deal where I could eventually rent on AirBnB and be a place where I could also occasionally use as a get-a-way. Am wondering how to go about structuring a deal and would love to hear about any experiences you all have had with partners and how to deal looked.

Thanks!

Both are in St. Augustine. I did a lot of research on both markets and really like Orlando and St. Augustine for rentals. 

@Ben Hale Both are in St. Augustine. I spent a good bit of time researching both Orlando and St. Augustine and really like both markets.

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Hey Roee, 

My advice would be to only invest OOS if you are familiar with the market and have connections in that area that could help if you are in a pinch. My first rental was purchased in Florida while I was living in Washington D.C and it was a great experience to see it play out. Real estate is generally much cheaper and the returns in that area are great, especially with everything going on today.

Now living in the Bay Area, I still feel good about the investment and it is doing well now in it's third year. So much so that I have purchased another rental in that area and the process has gone very smoothly, despite not being able to fly cross country. 

Both properties are averaging a COCROI of 20.5% and are cash flowing very well. 

I would definitely do more research, utilize modern tech and look for areas that you have some sort of interest in. I plan on one day moving back to Florida and continue to expand my portfolio but can honestly say OOS investing has taught me a ton and I have enjoyed every bit of it!

A month prior to the pandemic, I happily signed a contract for a new build in St. Augustine, FL. As my second new build in that area, I felt extremely comfortable about the process after managing my first rental home purchase from Washington, DC. My biggest concern was not being able to fly out as frequent which quickly became irrelevant as the pandemic unfolded. Newly relocated to the Bay Area, Florida still seemed like a great market that was easily accessible and have enough upside to counter any speedbumps along the way. 

I was initially concerned with the state of the housing market over the next few months but from listening to recent podcasts to reading a lot of threads, it seems there will be little impact right away. Does anyone else agree/disagree? Would love thoughts on what some of you are seeing in your markets.

So far things are moving in the right direction as far as permitting and initial construction. Zoom calls & FaceTime has made the process seem extremely smooth and a lot more convenient than having to fly(even if I could). As a full time Hotel Manager, it is important that I am able to manage the process without having to spend an exorbitant amount of time working with contractors and agents. Building a new home has given me piece of mind while providing great returns for my current needs. 

I'd love to discuss further in future posts but just wanted to share my experience with building a new home as an out of state investor. Here are some results and projections from my two current rentals. 

Property #1: Purchased in 2018

Renters moved in 5 days after closing (win!) / 19.97% COCROI  (refinanced April 2020)

Rent $1,990 / 

Property #2: Under Contract (Closing Date Projected Oct 2020) 

Projected 25.1% COCROI (10% down) 

Proj. Rent $1,700 

New here so just wanted to share some of my experience and excited to learn more from some of the pros I've been reading from on this platform. Would love to connect especially with those who do out of state investing and/or live in the Bay Area! 

Hope you all stay safe and healthy out there!