1st deal under contract - having doubts - talk me down
Under contract for my 1st deal on a vacation rental townhouse in Orlando. The property is 3 miles from Disney World and I’m counting on bookings to cash flow. Have done my research and due diligence and was confident when I made the offer. The Coronavirus has me considering backing out of the deal. Need some perspective from folks that have done it long-term to guide me through the doubts. A vacation rental feels much more risky now than it did a month ago. Any insights?
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You dont need cash reserves. Could never understand people keeping a lot of money in a 1 to 2% account. Giant waste of opportunity.
I have a $25,000 credit card with a credit union at 8% that I can use anytime I want. You can have an equity line of credit against a property or two in case you need to tap it quickly. If I had $50,000 sitting in a low-interest account, I would instead be buying the next income property.
to me, cash flow is King