All Forum Posts by: Zachary Deal

@Kathryn Demesa Sebastian The message looks good and I think it's smart to not ask for too much in the initial message as others will have varying comfort levels with sharing insights. I would also recommend going to some local RE meetups in your area. That can be a great way to find local investors and gain valuable connections/insights 

Hi @Pat Leri I think those do seem like your best possible options. Being able to do min one week stays would be nice if that would allow the property to generate more revenue.

If the property has already appreciated a fair amount in 2 years it would be a bummer to sell now just because the rate is high. I think holding on to it for at least another year two to see if the market adjusts makes sense. If you're taking a DSCR loan you could choose an option with a lower prepayment period if you want the flexibility to refi sooner and don't mind a slightly higher rate in the meantime.

Hi Shaylynn, not sure on Montgomery specifically, but I just flagged this advice in another forum. One easy way to start evaluating a market is looking on Furnished Finder, VRBO/Airbnb (30+ day stays), and Zillow to find other listings in your market and see how many, what they are charging, and generally what they look like.

Hi Matt, whenever evaluating an MTR market I would suggest looking at Furnished Finder, Airbnb/VRBO (30+ day stays), and Zillow to try and see what other online listings are available. This should give you a good general idea of competition in your area and what they're charging

@Kevin Smith Hit some great points! The appreciate play is an underrated component that people who are waiting to get into the market until rates drop more may be missing out on. 

I would be hesitant to flip out of state or some place that is very far from where you live. Lenders will want to know you have a game plan for monitoring a project and being on site frequently especially when it is your first time.

How much is the down payment? I know with the prices in the Denver area skyrocketing, the rental rates have not exactly caught up making it difficult to cash flow. You may consider looking in the far outer Denver area suburbs or if you're comfortable investing out of state (if you're Denver based), consider going that route. 

If you want to get into the market for the appreciation play and are willing to negatively cash flow a bit you could consider a negative DSCR loan.

Great insights Jamie, thanks for sharing!

Hi Jerrell, I would recommend consulting with a local NYC RE attorney to confirm NYC tenant/landlord laws and regulations 

I think it really depends on your market. If you have a very strong STR market and are in peak season you could generate quite a bit of revenue in a couple week gap between MTR guests. Since you already have an STR license for the property, it may be worth it to at least try and test the waters with an STR bookings and see how it goes.

Quote from @Nicole Heasley Beitenman:

Hopefully you can find a lender with lower rates/fees as the others have suggested (although I would be wary of the cheapest lender. I've used the cheapest lender in the past, and they were cheap for a reason). Do yhttps://www.biggerpockets.com/forums/925/topics/1185311-need-advice-on-financing-a-new-purchase#ou cash flow regardless of the scenario? If so, I'd always put the lowest amount down. The additional funds can be used for reserves, down payments on other properties, or closing costs when you refinance. 

Nicole brings up a great point. You want to ensure that your lender is doing their upfront due diligence on the deal, has programs to get the deal done if the final numbers come in different(low DSCR requirements, favorable rent guidelines, etc), and is offering you excellent customer service. The cheapest lender may be the cheapest for a reason and change terms down the road or have difficulties getting you to the closing table