Buena Vista, CO · Member since 2016 · 26 posts · 4 votes
Hey everyone. I've been listening to the BP podcast for a while now and decided it's time to start getting myself educated a bit more here in the forums. I'm a retired Pastor who is now an online entrepreneur, running a couple of different companies from my mountain home office in Colorado. I think there are some opportunities in our growing town so I'll likely be asking questions along those lines.
But I'm also interested in learning about what others are doing and want to ensure that I do this thing right. I doubt I'll flip but I may get into some developments, rentals, mobile home parks, etc. So, that's me in a nutshell.
@Carey Green welcome to BP and I know Denver is a couple hours away but @Benjamin Lapidus is in Denver so he might be a good person to connect with as well. I think he's focused on developments as well.
I'd suggest you decide exactly what you want to do. Do you want to get places as temporary (vacation/Vrbo/airbnb) rentals, longer term rentals, small multi family or mobile home parks.
Niche down - just like im sure you're doing with your online stuff, and you'll find success.
@Carey Green welcome to BP and I know Denver is a couple hours away but @Benjamin Lapidus is in Denver so he might be a good person to connect with as well. I think he's focused on developments as well.
Hello and welcome to BP website! I am from Dallas Texas and I am thinking that the mountains of Colorado could be a tough way to go unless you know the best area around you and within an hour drive from home. I do not know that you are restricted by anything. I would suggest you talk to an experienced real estate agent, a local Chamber of Commerce, and a building inspector with experience around there to get a feel of the area you are interested in. Just do what is the average in that neighberhood. Seek out the hottest locations where the most of the closings are happening and try to go to that area. Do not be worried about the competitors. Be a dominate person that area. Some competitors may turn out to be your friends.
Know the area you select very well. Learn as much as you can before starting. II have never been to Colorado to do anything but skiing and the resort areas. Some of the areas you end up with are expensive homes owned by rich people and they met be the best things for you to sell. Other amenities are a plus in your market selection. Your clients may have kids that need education that makes the school district important so know it at a basic point of view. Are any of them within walking distance? Would remodeling or renovation be an important factor? Stuff like shopping and playing might be important.
By the way, I am 60 years old and have all my experience is in construction and real estate. I held an active real estate broker license for about 30 years but I never did that full time. I have a decent amount of mental capacity and made it in college and have a busines degree with real estate emphasis.
A bit more info on what I'm thinking... our town is around 2600 people, growing tourist place, but in need of affordable housing for both year-round and seasonal residents. Rental prices are very high right now (for our area) and available rentals are few and far between.
After hearing many strategies on the BP podcast, my thinking is that the development of a manufactured housing / mobile home community would fit both the need and the opportunity. If I could raise enough capital I'd be interested in putting in the infrastructure, placing new(er) double-wide-ish homes in the "park", and then owner-financing the sale of those homes to interested individuals. The ongoing cash flow for me would be the lot rent.
In my view I'd be providing both a lower cost housing option, establishing monthly cash flow through the lot rent, and setting the stage for long term cash flow through home ownership for the participants rather than renting.
I'd love for any of you to point out blind spots, give me things to think about, etc.
I know the owner-carry issue would require careful navigation of the SAFE act stuff, which I know only a little about. Any thoughts or experience there is appreciated too.
And if I need to post this someplace else, please let me know where. Newbie. :)
@Carey Green welcome. I think that being in the area would be a great advantage to you. In your shoes, I would do a vacation rental. It's management intensive but by being local you can use that as your "job". Pretty much anything can be done with little of your own money but typically development, rentals and mobile home parks are capital intensive to start. If you have capital then pick what you know best and move in that direction.
Hi @Bill S. and thanks for the insights. I'm not sure I want to do the vacation rental thing simply because I want to help the residents of the community who need housing. It's partly the vacation rental market that is driving up the cost of rentals here locally. I'd love to figure out a way to help the community that provides the opportunity for those vaca rentals.
BUT... I'm open - just trying to get my bearings and figure out the best way to help my community.
On other fronts, I've thought of the typical buy and hold approach in a variety of areas, including Amarillo, TX where my parents live.
@Carey Green one thing that can be profitable is renting by the room. This would allow for more affordable rates and still leave room for profit. Buying a large house and renting the bedrooms out to individuals is similar to short term rentals in terms of management but can provide inexpensive housing for those in the community.
If you really want to help the people, my advise would be to make money in real estate and then create a separate non-profit to provide the affordable housing. It's really hard to mix business and charity. My observation is that the business goes broke and the charity never happens.
You should listen to this podcast I think you will find a lot in common with the interviewee.
I just read an article in the Denver Post about Tumbleweed Homes building a tiny home community down the road in Salida. You might want to see how 200 homes impacts the market before committing to a large scale infrastructure project that a mobile home park would require.
It seems like you might have some luck with vacation rentals. I don't know what the vacancy might be in BV, but if you have 100% occupancy, you should be able to triple the "normal" monthly going rate for a year lease. Don't count on 100% occupancy, but even 60% will leave you better than a normal rental.
@Carey GreenWelcome to BP. We are looking at mobile homes and a starting a PARK as well. Looking to do exactly what you are talking about. Just need land next to utilities. (I mean right up to the land, no trying to get it from near by.) We are looking at the cost of running utilitie lines and slabs for the homes to sit on. Also looking for a county that wouldn't mind a park. I have family out there in Buena Vista as well. Message me if you want to work together on this.
I just read an article in the Denver Post about Tumbleweed Homes building a tiny home community down the road in Salida. You might want to see how 200 homes impacts the market before committing to a large scale infrastructure project that a mobile home park would require.
It seems like you might have some luck with vacation rentals. I don't know what the vacancy might be in BV, but if you have 100% occupancy, you should be able to triple the "normal" monthly going rate for a year lease. Don't count on 100% occupancy, but even 60% will leave you better than a normal rental.
I was out in Golden earlier this year visiting a few friends. The number of younger peeps coming into town on the train really struck me. Tiny home park was one thing that came to mind. It's a great location for bohemian / boutique style living because of the number of young people moving to Denvor area. Start building some type of tiny home rental/time-share empire.
@Levi T., I've had the same idea here in our community. Not sure how it would go over... there was a city ordinance passed lately that all "non-permanent" dwellings, even RVs had to be parked outside city limits. I think if they were tiny homes that were attached to the land permanently that would be a different deal, though. Have you had any experience with tiny homes?
@Levi T., I've had the same idea here in our community. Not sure how it would go over... there was a city ordinance passed lately that all "non-permanent" dwellings, even RVs had to be parked outside city limits. I think if they were tiny homes that were attached to the land permanently that would be a different deal, though. Have you had any experience with tiny homes?
I do not. Trailer parks or any type there of, normally are looked down on by the community. I would look at two factors, where are young people moving to the area to get work, and where could I get some land that's favorably close to that location that is permitted to do so. The rest is just a camp fire story away with a few long term contracts.
I would not target vacation rentals, thus why I'm looking at the number of income people to the area. You want to target jobs. jobs jobs jobs. Go where the jobs are!
Our community is becoming more and more attractive to "suitcase entrepreneur" types so the jobs issue isn't quite as important as it is other places. We also have lots of retirees, so the 55 and older communities that are trailer parks might fly. We'll see.