All Forum Posts by: Brian Levredge

We had an uphill climb finding people to do the same on our multi's in that unit range.  Free or discounted rent is not much of an incentive (compared to SoCal where rents are significantly higher) out here because the demands exceed the value of the rent.  We've resorted to paying people to handle and just bill back for their time and that's been much more effective. 

I'm an investor here and one of the owners of First Property Management.  We don't handle short term rentals, nor can I point you in the direction of who might, but a couple things you should know.  The city council passed restrictions on what areas these are legally allowed in.  The area comprises N Chatt, much of downtown, the Southside, and Highland Park, I believe.  Outside of the zone is not allowed although I suspect enforcement is fairly loose.  Hamilton County also just entered into an agreement with AirBnB to collect occupancy taxes on rental rooms.  AirBnB will remit to the county but I'm not sure if the tax will just be added to the rate, like a hotel, or handled differently.  Also, demand for the areas closest to downtown tends to be highest with prices falling pretty quickly once you get on the other side of Missionary Ridge.  

It's a good thing the offer didn't go through.  His list price is high for units that are generating 450/door.  We have stuff all over town.  One beds are tougher because they turn over more frequently so your expenses will be higher.  I've got no problem with a low offer but when your trying to set up seller financing, as others mentioned, you need to be pretty close to asking price.  You would need to extend the amortization out longer though to make the number works.  After a few years he'll lose the emotional attachment to the properties since he'll only have been getting payments for mortgage and you might be able to discount the note at that time.  

To piggy back on Dan@Dan Beaulieu's point, there are many unseen expenses.  Extended vacancies, higher turnover, lower quality tenant pool, etc.  We manage in those parts of town here.  With prices up across the board I would tread carefully on buying there. 

Just so you have another option, I use Tripp Farmer at HHM.  They are not the cheapest per se, so know that before you go in. 

Chattanooga is actually a tertiary market.  We've attracted lots of interest from investors all around us, but especially Nashville and ATL.  Asset prices have pushed up a ton in the last couple years so I would be wary of how much I was paying.

Hate to miss it.  Just got back in town today. Playing catch up.  Will be out of town next month as well.  See everyone in August. 

I've been in construction for 20+ years.  There's a running joke: You want quality, price, and speed.  Pick two.  Regardless, there's a shortage of skilled trades labor.  Guys that are worth their salt in this market are typically booked weeks out if not longer.  Guys that can show up at the drop of a hat...well you don't want them.  I myself am looking for more labor for both my flipping entity as well as PM company.  

We offer realtor services in addition to property management.  PM me if interested and I can put you in touch with one of our agents. 

Will try to make it, should be able to.