Greenwood Lake- equity or STR
Hi everyone,
I am looking in the Greenwood Lake , NY area. My first goal was STR, but as a new investor. I am tight in money- barely can cover down payment. Now I found a single house,3 small bd and 1 bath with a ok view of the lake. It needs at least 30k to make it marketable in the area for long term. So far the high interest rate gives me no cash flow after all expenses.
I found it after six months of searching. After looking at the 40 airbnbs in the area … I see I won’t be able to make it airbnb ready for another 2 years. So should I pull the trigger and spend all my capital and savings ? Or should I wait for something else here or anywhere else. I feel that my low budget won’t let me get anything else in good location as this one. Does anyone know this area? How is the equity in this area? Equity vs cash flow?
#1 Wholesaling Contributor
- Wholesaler
- Tampa, FL
I wouldn't rush it. It sounds like you don't feel too comfortable committing to that much money. Don't make decisions based on emotions!
i personally would want to have some cash reserves as a just in case fund. That said i personally feel like the best way to get started is often the simple way. buy a simple rental that cashflows even if its only a little build some equity and keep buying. once you have the systems in place and are able to expand get fancier. it will be much easier once you already have a handful of cash flowing rentals.
Quote from @David Ramirez:
I wouldn't rush it. It sounds like you don't feel too comfortable committing to that much money. Don't make decisions based on emotions!
Thank you for your feedback. Yes, mi biggest fear is the I might be emotional about it. However, I am not afraid of the work or commitment, the questions is ? when do you know you are being emotional about it?
Quote from @Trevor Naumann:
i personally would want to have some cash reserves as a just in case fund. That said i personally feel like the best way to get started is often the simple way. buy a simple rental that cashflows even if its only a little build some equity and keep buying. once you have the systems in place and are able to expand get fancier. it will be much easier once you already have a handful of cash flowing rentals.
Thank you for your reply. You are right, we should start simple and I did. I have a condo with some cash flow and almost not work required. Now I am struggling finding something with cash flow in my area, with my current budget and rates, that's why I am focusing on equity for now. I know the property has potential (the comps are there), just it needs more capital that what I currently have, so it is stressing on that sense.
Anyway, I believe I am moving forward... let see what happens. THANKS AGAIN.
#1 Wholesaling Contributor
- Wholesaler
- Tampa, FL
Quote from @Evelyn Pecho:
Quote from @David Ramirez:
I wouldn't rush it. It sounds like you don't feel too comfortable committing to that much money. Don't make decisions based on emotions!
Thank you for your feedback. Yes, mi biggest fear is the I might be emotional about it. However, I am not afraid of the work or commitment, the questions is ? when do you know you are being emotional about it?
If you're pushing your numbers to make a deal work, it might mean your emotions are clouding your judgment. Trust your gut, but don't ignore the facts!
Hi David,
Thanks again for your kind advise. You are right, I should not ignore the facts. I will follow that... I will keep you posted.