All Forum Posts by: Sara Frank

Hello, I'm new the the Richmond market and doing some research into the MTR demand and rates. If you have a MTR in Richmond, I'd love to hear from you.

Specifically, I'm looking to learn:

-How much demand there is for MTRs. Does demand lean toward smaller properties vs larger? 

-Who are the most common tenants looking for MTRs? Travel nurses, insurance placements, etc

-What rates are typical for a 1 bedroom, 2 bedroom, 3 bedroom property?

I manage MTRs is Los Angeles and I'm happy to answer any questions you may have about MTRs in general or the LA market in particular.

Thank you!

Quote from @Russell Brazil:

Invest locally

 DC is way too expensive - almost nothing pencils with these rates. I’ve been taking a good look at Baltimore. Are you familiar with the DC area at all? Any submarkets or suburbs you think are worth taking a look at? Again, I’m prioritizing cash flow over appreciation here. 

Good afternoon,

I have a property in Gainesville, FL that I am thinking about turning into a midterm/short term rental.  It is a 3/2 with a converted one car garage that is a bonus room.  This room has the washer, dryer, and water heater.  I was wondering if anyone had any ideas on what this room should be.  I do not think it would be a good bedroom as the washer and dryer are in a closet in this room.  All thoughts are appreciated!

Tyler

Hey all--I know I've been MIA from the MTR forums; I had to take a few minutes to pop out some twins, and my free time is pretty limited because of said twins. But I did finally finish rehabbing and furnishing my first MTR! I'd love some feedback on my listings since I'm operating on so little sleep. I'm sure there are some errors and areas for improvement. Thanks so much!

https://www.furnishedfinder.com/property/568146_1

https://www.airbnb.com/rooms/956765618098119236?guests=1&adults=1&s=67&unique_share_id=06d87f2d-ee4e-40e4-9228-60217f248946

Hello, New to Bigger Pockets and am hoping to gain some knowledge about RE investing. Currently I have 2 row homes in the Middle River area, and I am thinking about buying another property. I live in the suburbs, Harford County area, but I can 't seem to find any deals in my area. The houses are just to expensive to make any money on IMO.

I wouldn't mind looking in the Essex or Dundalk area for another property, the prices are lower and the rent seems to be about the same. Would anyone like to offer me their opinion about those area, are they decent areas to invest in?

Also, what about Baltimore city? I know some "good areas" what are some average areas that might turn into a good area. What's everyone's thoughts? House are even cheaper in the city as a whole, but the taxes are a bit higher. 

One more thing, I have notices some post the say things like, " that's a D area, or C" I'm assuming the A, B, C, and D are ratings for areas. Is there a map of Baltimore that has a grade by each area of the city/county.

Well, Thanks for reading and I am looking forward to learning as much as I can from everyone here.

Thanks

Hello All,

I've been searching in Northern VA for some time now to find a property as a primary residence to rent out as an MTR during my own travels. If you're from the area you know NoVA isn't the easiest place to traditionally buy.

I have a storage unit full of good-quality furniture that I'd love to make use of (and save on that monthly bill). I've been aware of the concept of AirBnB Arbitrage and recently put 2-and-2 together that arbitrage should work with a MTR as well.

Happy to hear any thoughts and stories on the strategy!

Anyone considering investing in this town i just wanted to give my 1 year of experience and advice. Bottom line, don't do what i did. 

1) Don't buy through a turnkey provider -they promise they are doing amazing renovations of quickly gentrifying neighborhoods.  FALSE - No neighborhoods are quickly gentrifying in Baltimore. Everything works slow and the city govt is completely inept at a minimum and possibly worse. Further it could take MONTHS after closing for your new home to be rent ready as the city seems to slow roll any new permits for anything. I was 6 months before one home was even ready to rent.  

2) Don't believe it when anyone tells you "Zillow is wrong and those photos are old" - no they are NOT. A burned out street on Zillow is still a burned out street today. 

3) Dont believe it when they say your property taxes will be low for 3 years - its a luck of the draw when the city wants to reassess your home and it could be THIS YEAR and cause that $400 to skyrocket to $2,000 or maybe - if you are super unlucky like me - $5000  

4) Related to #3 - BUY PRE-RENOVATION not after, so the sales price does not trigger a re-assessment and cause a 522% increase overnight in property taxes from $800 to $5000 within the first year.

5) watch out for SUPER HIGH UTILITIES AND other city FEES! Water is $150 / month! Annual rental licenses are $200, the city requires annual inspections etc. The list goes on and Baltimore knows how to stick it to you. 

6) Section 8 tenants are not all roses - in one house this year i had a break-in that turned out to be the crackhead boyfriend breaking down the front door and punching holes in walls. In another home my tenant refuses to pay the $200 / mo water bill,  thereby cancelling out my tiny cash flow profits and i have to pay it. I'm told she cannot walk away without paying it eventually (or risk losing her "voucher" .. but i'll have to take her to civil court for it.   

7) FEAR THE EVICTION PROCESS - in my only non-section 8 house i have a professional scammer living. I blame my PM for putting him there but upon arrival he somehow conned the PM for a free month, then proceeded to NEVER PAY A PENNY IN RENT. To get someone out of your house requires you take them to court 5 TIMES before you have the right to NOT ACCEPT their measely 1 month's rent from 4 months ago, despite the fact they already owe you 3 more months.  It is now September, I have been fighting since Jan to get this loser out unsuccessfully.  He owes $6,000 at this point plus the water bill.  I will never see it. 

8) ALL YOUR CASH FLOW WILL BE EATEN UP - whether its the City taking it from you, your PM, or your renters and the courts, all you will get is pain. 

bottom line - run from inner city area Baltimore.  I just wish i could have told my future self this 1 year ago. Cheers

DC's license division said you don't qualify for short term rental or vacation rental if DC property isn't your primary residence. How does people rent out their entire home then? I checked out properties on Airbnb and people are renting out their entire home, condo, and apartments. Licensing division also said it can't be LLC or business but I saw few listings on Airbnb.

What is unhosted license and how can I get that in DC? I have been contacting DC departments since morning they are just giving me the run around. I'm on hold for Homestead Tax Division business department.

Thank you

Quote from @Sara Frank:

Quote from @Raj A.:

I've been researching a variety of different markets in and around the DC/MD/VA area and Hampden continues to pop up as a potential place to invest in. Are there any existing BP investors who can share their experiences investing in Hampden? On paper the area looks great but curious if others can share their experiences.

Hampden is a great area! I recommend a MTR strategy if you want higher cash flow. STR limited to owner occupants. Tons of demand for MTR (3-6 months). Happy to chat if you have more Baltimore questions

Much appreciated Sara! I assume that MTR demand comes from nurses/doctors on rotation at Johns Hopkins? Or rather, what drives the shorter tenancy demand? And in that sense, it's possible to have long term tenants but it's best to structure the tenancy terms for the medium term given the type of renters in the area?