All Forum Posts by: Xiang J.

Screen whenever you can, there's no reason not to. How much screening you do is the better question. Since these stays are shorter than LTR, it makes sense that tenants expect a less burdensome application process. For example, we do background checks but no proof of income/employment check. It's a business decision for you to make, everything has pros and cons.

Yes, just list on STR sites with 30 day minimum, simple and done. STR dynamic pricing tools aren't optimal for MTRs. You need to figure out our pricing strategy and use available tools to do what you want. Don't try to set it and forget it. This is a bad practice for STRs and even worse for MTRs.

 1. We absolutely background, credit and eviction check every prospective resident that does not book through an Airbnb-type platform ("OTA"). We use Avail.co to manage our rentals' leases, rent collection and checks. We let prospective renters know what our criteria are prior to them paying $55 to be checked. That way, they don't waste their money if they know they will fail. We have a modest security deposit collected up front along with 1st month's rent and the cleaning fee. As soon as we can, we'll prorate rent to the end of the month with the residents permission, so that now they are synced up with all of the other payments depositing near the 1st of a month. 

2. The dynamic pricing for the OTAs has been hit or miss for us. I would suggest setting "instabook" to "off", allowing one of the more flexible cancelation options, and having a minimum stay in line with your local ordinances. Offer a significant discount for 1 week and 30 day stays (after setting your daily rate to accommodate the price drop with discount). To increase views, go into your listing periodically and lower the daily rate for the week or two after you have an expected vacancy, but increase the nightly rate after those two weeks so that you are still getting your target monthly rent. This encourages guests that will best fill your units back to back without sacrificing your over all monthly rent. 

3. Definitely learn about and post to furnishedfinder.com. It's not a booking site. It's a matchmaking site where you will have to reach out to prospective residents, background check them and create leases. ALE solutions, united corporate housing and alacrity are large companies in the insurance relocation space, and it is useful to go to their site and let them know you exist. Each site works a little differently. 

Best wishes

Xiang - Estimating the ARV before purchase can be difficult. I've typically asked my agent to pull comps in the area and then look VERY closely at their condition and sales price. You'll likely see variation (even within a zip code) based on condition even though all might be 3 bedroom 1 bath homes (as an example). From that information I would think the best you can do is get a range of the ARV (say $150-$170k) and I would make sure you numbers work no matter whether the actual value falls within the range. If you do enough BRRRs over time you'll see a few values come in lower than expected and a few come in higher than expected. Good Luck!

Good to meet you. 

I never ever count on ARV. I focus exclusively on current value.

Here are the four things I order  

1- BPO (150.00)

2- home inspection (350.00)

3- pre-lim (225.00 maybe free)

4- appraisal. (500.00) 

That 1225 tells me everything I need to know and I’ll kick the deal at each stage if the numbers don’t perform. 

FYI never lead any of the four.  You want honest unfiltered answers. 

That BPO agent is gold.  I’ll use them when I wholetail. 

Lots of wholesalers put their homes up for sale on site like Zillow so you can look for properties being sold their and try to get on their lists. You should also go to your local REIA as a lot of wholesalers will go there. And of course local Facebook real estate investor groups (and here on BP) will be swarming with them.

It should be noted that wholesaling has been regulated pretty strictly in Pennsylvania and wholesalers have to have a real estate license now among other things so there's likely less wholesaling going on in Philadelphia as in other places. https://consolematison.com/2024/06/12/new-legislation-on-res...

Hi Xiang,

Dp any of your LTR have space to value add? That would be the easiest start. Add value to your current property, refinance out.

Whether you want to source your own deals or use agents/wholesalers depends on your availability. It would take a lot of your time to source your own off market pipeline.