All Forum Posts by: Angela Vestal

In January my partner (a former flight attendant who now works for a major airline in operations) and I (a real estate agent with some investing experience) are opening up our first Crash Pad for flight attendants and pilots in a single family, no HOA neighborhood 3 miles from a major airline hub. We will have month to month leases and will provide only cold beds (nobody else sleeps in that bed but the tenant who is renting it). We are almost full now and we haven't even closed on the property yet. We have been very conservative with our numbers and believe that we will be able to cashflow at least $1400 a month after all expenses as long as we can keep the beds mostly full (rents are 4125 with all beds rented). We used a bridge loan to fund it and will have to refinance in the next year and we are also looking ahead to our next crash pad as soon as we get into the swing of this one. We will have put $90,000 into the deal including the inspections, down payment (30%), points, closing costs, repairs, advertising, furniture, mattresses, dishes, etc. My question is, does anyone loan money on cashflow for single family homes? Is there another kind of loan product that would allow us to pull out all $90k so we can have it to reinvest? Right now there is only about $65000 in equity in the home itself. It is our goal to systematize and scale this to open near major airline hubs around the country for flight crews and traveling nurses.

I hadn’t thought of that, Rich.  The cost would be a lot more for the 3/4 solid, I think.  I’ll have to check out the prices.  Thanks for the warning! 

Nice!

Oh, I don’t owe 350,000, that’s just what houses in my neighborhood are selling for generally.  I should easily cash flow on the house. 

I appreciate the input from everyone! This house is where I have been living for the last 8 years and I have raised my children here, so it is more difficult for me to see it as a rental than my other properties.  That said, I want to be as practical as possible to reduce work between tenants, but I also want to attract and keep good tenants.  This entire area is fairly affluent, but yes, my house would be near the lower end of the area. 

I am preparing to rent out an upper middle class home in the best school district in Charlotte, NC.  Homes range from 250,000-multi-million dollar range. My home would most likely appraise for around $350,000 and I plan to rent it for $2200 per month.  I have hardwood floors on the first level and have decided to replace the carpet upstairs with something more durable.  I’m trying to decide between Allure flooring and an inexpensive engineered hardwood at around the same price.   Any opinions on which is better for this type of rental?