All Forum Posts by: Berry Starnes

I'm looking to figure out a rough estimate on the percentage that can be used for bonus depreciation if I were to purchase in this area. Yes, I am planning to follow the rules for the STR loophole to go against my W-2 income.

Has anyone performed a cost seg in this area?

If so, what percentage was found to be eligible for bonus depreciation?  I assume this would be on an average ~500k/600k 2/2 1,500sqft cabin

I just need to know if its around ~20% or ~50% of the value in this area.  Something ballpark.  Any engineers or CPAs do one recently here?

Thanks!

I have found a Tony Robinson calculator that does not include the lodging tax as part of the equation. So I believe this answers my question. 

 good. response..yes, you should comp out your daily rate (I do this for each season) and then comp out your occupancy rate. Not as easy as long term rentals for sure.

The question I have is when Customizing your estimate on expenses in AirDNA. I do not currently own a STR and am looking at the numbers to see if one will work in my situation.

The average daily rate includes cleaning expenses in AirDNA when I hover over the question mark next to it.  Therefore, I understand that you would need to include the cleaning fees in your expenses.  

However, the lodging tax is NOT included in this average daily rate.  I do understand the lodging tax will be an expense that needs to be remitted to the appropriate jurisdictions.  But, this is being collected separately in Airbnb I see.  Therefore, this would not affect the average daily rate that is being charged.  Correct?  

So, when doing my calculations in the AirDNA calculator I should leave this expense off even though it has a place for this.  Correct?  This is what I am seeing and just need confirmation.

I'm in your same boat. I'm reading the BiggerPockets STR book by Avery Carl which seems to give examples of how to automate with apps and run systems with a team.

When using a 10% down Second home loan to purchase a STR, how long are you required to stay in it per year? What if your intentions don't pan out and you can't stay there for this long of time? Are you able to get multiple 10% down loans for second homes if you refinance out or if you already have 20% equity? What can you do besides get an appraisal if you believe you have 20% equity in order to drop PMI?

Comps only. 

 😂 noted

Portage MI