Please help me get started for mid-term rental investments
Member since 2025 路 8 posts 路 6 votes
Please help me get started for mid-term rental investments
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Bonnie LowPro Member
Lender 路 Asheville, NC 路 Member since 2016 路 1k+ posts 路 1k+ votesHi, Lina! I'm glad you reached out for help. The community here on BP is great about supporting each other. I'd like to invite you to participate in a group I host called THE MTR Connect. We meet (virtually) every Friday from noon - 1:30pm (EST). This group is an incredible collection of midterm rental hosts who support one another by offering advice and suggestions, being a sounding board for each other, offering mentorship and collaboration opportunities and share our respective networks. I think you'd find it very helpful in your situation. If you're interested, please send me a message and I'll get you signed up.
Best of luck to you!
33 Replies
- Austin, TX 路 Member since 2018 路 19 posts 路 4 votes1y
This is interesting to me since I am in the Austin area. It's something the wife and I are considering, mainly because our house flooded during covid and after the Austin ice storm. So my insurance was paying $6200 a month for "barely" furnished 2-2 apartment new the Arboretum. That was about 2.2 times the LTR for a similar unit. But inflation for sure with hot Austin market and ice storm displacements.
I am also remodeling a Lake House in Belton, Texas that we will likely sell, but I really thought MTR might do really well. I would not want to deal with STR. And my IMPRESSION is that with MTR you are getting 1) traveling professionals (nurses) 2) relocating professionals 3) Insurance company temp housing for claimant remodels. Does this sound right?
As soon as I finish the lake house project I have a 1-1 condo that I can get cheap that I was going to try to concept on.
When I am modeling my rough numbers I was thinking rented 9 out of 12 months. If those numbers work, them I probably would be OK. How much vacancy do you calculate into your numbers?
My remodel strategy is to use some of my own sweat equity and running subs to save enough money to upgrade the flooring, kitchen and baths slightly beyond the peers. It works on sales, so I assume it will work on MTRs.
I am also curious about the marketing tools you guys use. In Belton/Temple Texas it's still pretty small town. So I thought about directly approaching human resources of the largest employers directly in the area, hospital in particular. Anybody done that sort of marketing?
- Rental Property Investor 路 Orlando, FL 路 Member since 2019 路 90 posts 路 49 votes1y
I own residential and commercial RE in Belton. My residential is long term so I can't speak to MTR, but I can say it's the slowest market I've ever seen in my life right now. I hope it picks up but be cautious in that area. Inventory is high. I sold my Temple property last year and it was good timing. I think marketing somehow to Baylor Scott White would be great if you can find a good contact. They do seem to need rentals around that area for hospital visitors, maybe traveling nurses, etc. I wish you all the best!
Quote from @James Enyeart:
This is interesting to me since I am in the Austin area. It's something the wife and I are considering, mainly because our house flooded during covid and after the Austin ice storm. So my insurance was paying $6200 a month for "barely" furnished 2-2 apartment new the Arboretum. That was about 2.2 times the LTR for a similar unit. But inflation for sure with hot Austin market and ice storm displacements.
I am also remodeling a Lake House in Belton, Texas that we will likely sell, but I really thought MTR might do really well. I would not want to deal with STR. And my IMPRESSION is that with MTR you are getting 1) traveling professionals (nurses) 2) relocating professionals 3) Insurance company temp housing for claimant remodels. Does this sound right?
As soon as I finish the lake house project I have a 1-1 condo that I can get cheap that I was going to try to concept on.
When I am modeling my rough numbers I was thinking rented 9 out of 12 months. If those numbers work, them I probably would be OK. How much vacancy do you calculate into your numbers?
My remodel strategy is to use some of my own sweat equity and running subs to save enough money to upgrade the flooring, kitchen and baths slightly beyond the peers. It works on sales, so I assume it will work on MTRs.
I am also curious about the marketing tools you guys use. In Belton/Temple Texas it's still pretty small town. So I thought about directly approaching human resources of the largest employers directly in the area, hospital in particular. Anybody done that sort of marketing?
- 1yJordan MoorheadBusiness MemberReal Estate Agent 路 Austin, TX 路 Member since 2015 路 5k+ posts 路 3k+ votes
@James Enyeart we see anywhere from 5-10% vacancy on ours here in town. The problem with vacancy is it assumes all products are the same, our 2 bedroom which is designed much better than our 3 bedroom and more thoroughly remodeled has lower vacancy. Is it because it's a 2 bedroom or is it because it's in a better location and looks better in online pictures. There's a lot of nuance with it!
The Moorhead Team5140 Reviews - Austin, TX 路 Member since 2018 路 19 posts 路 4 votes1yThe market does seem slow, but better than the other always sells faster. A lot of waterfront is cash/near cash.
Quote from @Travis Rogers:
I own residential and commercial RE in Belton. My residential is long term so I can't speak to MTR, but I can say it's the slowest market I've ever seen in my life right now. I hope it picks up but be cautious in that area. Inventory is high. I sold my Temple property last year and it was good timing. I think marketing somehow to Baylor Scott White would be great if you can find a good contact. They do seem to need rentals around that area for hospital visitors, maybe traveling nurses, etc. I wish you all the best!
Quote from @James Enyeart:
This is interesting to me since I am in the Austin area. It's something the wife and I are considering, mainly because our house flooded during covid and after the Austin ice storm. So my insurance was paying $6200 a month for "barely" furnished 2-2 apartment new the Arboretum. That was about 2.2 times the LTR for a similar unit. But inflation for sure with hot Austin market and ice storm displacements.
I am also remodeling a Lake House in Belton, Texas that we will likely sell, but I really thought MTR might do really well. I would not want to deal with STR. And my IMPRESSION is that with MTR you are getting 1) traveling professionals (nurses) 2) relocating professionals 3) Insurance company temp housing for claimant remodels. Does this sound right?
As soon as I finish the lake house project I have a 1-1 condo that I can get cheap that I was going to try to concept on.
When I am modeling my rough numbers I was thinking rented 9 out of 12 months. If those numbers work, them I probably would be OK. How much vacancy do you calculate into your numbers?
My remodel strategy is to use some of my own sweat equity and running subs to save enough money to upgrade the flooring, kitchen and baths slightly beyond the peers. It works on sales, so I assume it will work on MTRs.
I am also curious about the marketing tools you guys use. In Belton/Temple Texas it's still pretty small town. So I thought about directly approaching human resources of the largest employers directly in the area, hospital in particular. Anybody done that sort of marketing?
SO how do I research, comps in my market place for MTR? - Austin, TX 路 Member since 2018 路 19 posts 路 4 votes1yI want to put slightly better everything into my remodels than a "good" remodel Not a monster leap, just a hair better on the appliances, fixtures and flooring. And i've only done it three times.
Quote from @Jordan Moorhead:
@James Enyeart we see anywhere from 5-10% vacancy on ours here in town. The problem with vacancy is it assumes all products are the same, our 2 bedroom which is designed much better than our 3 bedroom and more thoroughly remodeled has lower vacancy. Is it because it's a 2 bedroom or is it because it's in a better location and looks better in online pictures. There's a lot of nuance with it!
I had a very interesting interaction with my next door neighbor. Think I am going to start a separate thread. Not to derail this one. But I found out my neighbor who moved out to help her father, is planing to rent her place next door to me. We had a long talk, that I think created an opportunity.
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