It's been exactly a year since I purchased my 1910 Oak Park beauty. Original plan was to refinance after some time but rates have gone up significantly and even though I have PMI on my property a refinance would end up costing me more as opposed to just obtaining a HELOC. Had to adjust but looking forward to the new purchasing power that my HELOC will give me. Anyone out there in Sacramento tried to AirBNB there BRRRR house ?
@Pavan Sandhu you might want to look into eliminating mortgage insurance because you can not deduct it on your tax return. I just removed someone's pmi and they did not have to get a new appraisal plus the overall payment was reduced. You can pm if you want to know how it was completed .
i'll reach out.
You can't legally air bnb a property full time in Sacramento proper. It's a max of 90 calendar days a year if it's not your primary residence.
What are the actual numbers on refinance vs HELOC. I wasn't expecting a HELOC to come out better.
@Derek Daun , that reads as it is possible by applying for a temporary permit until a CUP decision can be made by the city. Do you know if the city just doesn't grant the conditional use permit typically?
I have no idea if the city grants the conditional use permits; I haven't heard of anyone trying to get one. I assume there's a notable cost to go along with it, and being in a residential neighborhood you probably have to go through the whole shebang of having neighborhood meetings and allowing others to protest.
@Derek Daun What a terrifying possibility!
Thanks for sharing that Derek. I think I'm
Going to get my feet wet with Airbnb in my own home and charge a premium and keep it below 90 days a year. I know a guy who has 9 airbnb doors here in Sacramento I wonder his thoughts on this and how he navigates through the additional costs associated with this. I'm going to invite him to sacramentos next BP meet up. Come by if you guys are free on 10/19 @7pm mountain mikes off la riveria
The regulation is only in Sacramento CITY, not county, so most of the greater Sacramento area is not subject to the law. Most of Oak Park is in Sac city though.
Almost all of the property owners using AirBnb in Sacramento are doing so without obtaining the requisite permit from the City. It's a business risk that some feel is worth taking.
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