Investor · Big Sky, MT · Member since 2019 · 66 posts · 28 votes
The perfect property that checks all my boxes for a short term rental just hit the market today and I don’t have financing in place!
I would like to put in a full price offer on a studio near the ski area of Big Sky Resort in Montana within 24 hours. I manage 6 Airbnb properties in town, one of which I own. Currently Big Sky is ranked as one of the top 20 American markets and gets an -A by AirDNA.
Real Estate Agent · Sevierville, TN · Member since 2015 · 1k+ posts · 1k+ votes
6y
@Corey Meyer Having financing in place is really important! If you have a good financial situation and some organized documentation, a good lender can probably get you a pre-qualification in about 24 hours. But make sure you've got recent tax returns, proof of employment, W2s etc.
Even if you aren't able to get it in time for this property, it will be good for you to have a pre-qualification for the next time the perfect property comes up! (and if you don't already have a Realtor, go get one stat!)
MAYBE you can offer on the studio even without a pre-qualification, but in my market all offers are required to have a pre-qual or proof of funds with an offer. In any case you'll want to get that sorted ASAP. If you happen to have $189k sitting in a bank account of some variety, I'd suggest submitting an offer with proof of funds to cover you until you can get a loan in place.
If you can't do a conventional loan, I know a portfolio lender who will do STRs, though don't know if they could turn around a pre-qual quite that fast. However, never hurts to ask!
Bozeman, MT · Member since 2016 · 61 posts · 28 votes
6y
@Corey Meyer Can you do a HELOC for the down payment and do a conventional loan? Do you need hard money? I assume that condo that you are looking at is a "Hill Condo"? If it is the Hill Condos, be sure to review the last few meeting minutes of the HOA as well as the HOA finances. Feel free to reach out if you have any questions or concerns...
@Corey Meyer Having financing in place is really important! If you have a good financial situation and some organized documentation, a good lender can probably get you a pre-qualification in about 24 hours. But make sure you've got recent tax returns, proof of employment, W2s etc.
Even if you aren't able to get it in time for this property, it will be good for you to have a pre-qualification for the next time the perfect property comes up! (and if you don't already have a Realtor, go get one stat!)
MAYBE you can offer on the studio even without a pre-qualification, but in my market all offers are required to have a pre-qual or proof of funds with an offer. In any case you'll want to get that sorted ASAP. If you happen to have $189k sitting in a bank account of some variety, I'd suggest submitting an offer with proof of funds to cover you until you can get a loan in place.
If you can't do a conventional loan, I know a portfolio lender who will do STRs, though don't know if they could turn around a pre-qual quite that fast. However, never hurts to ask!
I put a full price offer on the property without pre-qualification. I am sorting financing now. I have proof of investments with a stock portfolio, bitcoin, and savings that add up to a little over $100k. With a HELOC on my condo that should be right at $189k
@Corey Meyer Can you do a HELOC for the down payment and do a conventional loan? Do you need hard money? I assume that condo that you are looking at is a "Hill Condo"? If it is the Hill Condos, be sure to review the last few meeting minutes of the HOA as well as the HOA finances. Feel free to reach out if you have any questions or concerns...
@Josiah Pisel
Thanks for reaching out! Yes it is a Hill Studio. My Real Estate agent is also a Hill Condo owner and a member of th HOA board for the complex. She has briefed me on their latest minutes and I understand that I will go into the purchase of this property knowing that I will owe money for the siding project underway.
Investor · Big Sky, MT · Member since 2019 · 66 posts · 28 votes
4y
@Armando Ramirez Yes I manage a portfolio of properties through my vacation rental management company Headwaters Hosting in Big Sky, Montana. Let me know if you are still shopping around for a management company to operate your STR. Congrats on closing in Big Sky, a hard place to make it happen!