Should I Buy Right Now?

Should I Buy Right Now?

Member since 2023 · 16 posts · 14 votes

Hey guys

I bought my first property in the area, made it a Short term rental and so far everything is good - the property is cash flowing and booked - thank God.

I'd like to repeat the process and purchase another one. I found a lovely 3 bedroom 2 bath in a good location and a good condition for 600k, I see a vision just like my other property and I can see it cash flowing as well after a few renovations.
The one thought that holding me back? I looked at the same market a few months ago and saw a property for the same price , however it was 5 bedrooms! didn't purchase that one because I wanted to make sure everything would be ok with my first investment.

Is this still a good deal? Should I wait? maybe interest rates will go down even more? maybe Ill find a better property that can appreciate better - a 4 or 5 bedroom in Fort Lauderdale area?

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Sarah KensingerPro Member
Real Estate Consultant · OH · Member since 2023 · 2k+ posts · 1k+ votes
2y

If numbers work you should buy, if they don't move on to another property. We underwrite STR complementary for buyers, so feel free to reach out if I can help.

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  • Rental Property Investor · Denver · Member since 2019 · 8 posts · 1 vote
    2y

    yep

  • Rental Property Investor · Denver · Member since 2019 · 8 posts · 1 vote
    2y
    Quote from @Lucas Thomas:

    On an STR?!


     do you think pass?  what kind of deals are your seeing out there with the higher rates?

  • Member since 2023 · 112 posts · 70 votes
    2y
    Quote from @Ericka Sanchez:

    yep


    Well in my experience, you need at least 15%+ cap rate for an STR as its a business and not a Passive Investment like a LTR.

    The few STRs I've done, they had 15%+ and I decided to convert them to LTRs as its too much work. Haha. 

  • Rental Property Investor · Denver · Member since 2019 · 8 posts · 1 vote
    2y
    Quote from @Lucas Thomas:
    Quote from @Ericka Sanchez:

    yep


    Well in my experience, you need at least 15%+ cap rate for an STR as its a business and not a Passive Investment like a LTR.

    The few STRs I've done, they had 15%+ and I decided to convert them to LTRs as its too much work. Haha. 


     thanks Lucas for the feedback.  I'm leaning towards passing on the deal....

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