All Forum Posts by: Ben Navarre

The key is occupancy. 

I assume since you did not specify "rehab loan" that it is an ordinary conventional, owner occupied mortgage. You typically have to get an appraisal without the "subject to" conditions (repairs seller needs to make prior to loan funding) so if you are technically occupying it while renovations being made, your only concern would be either a pre-payment penalty Or the "flip tax" I just learned about above (Thanks Jennifer)

@Michael Ding

Small Jobs Electric 

Ryan is the electrician I always request from there.  Works hard and does quality work

I have become unclear on who I can rely on for handyman service at the moment

Update:  I am no longer referring Llona Plumbing at this time

Youre welcome!

I would not rely exclusively on the Airbnb host policy. What this gentleman is proposing is something called rental arbitrage.  It is very new in this facet and I find many long-term, traditional  landlords are not only unfamiliar with it but are unfamiliar with Airbnb itself. There is a short term policy offered that you would want to be added as an interested party to but nonetheless require they have it. The suggestion that you hire a property manager, though well intended, is not great advice. This is a different animal that does not fall under the laws in processes of the traditional property manager. The benefit to you, upon a thorough examination of the individual, is a property that is essentially managed for free and the removal of long-term tenant issues that can sometimes arise in long-term rentals. You should have your rent sent electronically on the first of month like clockwork. 

Do you have other income or was that the only source?  Banks are strict on 2 years as it is a Fannie Mae guideline 

Why not rent both out as vacation rentals?  Why long term on one?

My concern would be not managing expectations/guest experience effectively resulting in poor reviews. That could be deadly

If your intention is to rent as an airbnb, the gentleman will respectfully need to vacate upon closing or no deal. Airbnb and long-term rentals are two different strategies. Combining the two requires you be well versed in both animals.  Are there other comparable Airbnbs in the area?  If so, look at their calendars to see how far out they are booked. 

With regard to hiding something, a home inspection from a REPUTABLE home inspector and a title search should reveal all you need to really know. 

Yep. Not the cheapest but excellent. Message me if you want info