All Forum Posts by: Brett Deas

I don't navigate them lol. I only invest in states where the state gov has restricted local municipalities from restricting STR's. That way we don't have to worry about them.

I know it probably doesn't help you but could help someone else out there. 

The easiest way you can probably do it is make sure it fits into a DSCR product. But if it can appraise like a normal house (bedroom count, sq ft. etc) then there shouldn't be too many problems for securing a mortgage on it.

I don't think we can answer this. Why don't you go out and call some community banks and find out? 

As a GP and LP. I like asking how much money they/their team is putting into the deal. I think they should always be in a strong financial position, but they should also be contributing at least some of the money. Somebody putting in no money is not a good sign for me. 

I would opt for the one bedroom options, as oftentimes people looking to stay in an ADU type unit like this, they won't need the 2 bedrooms. When you talk about the travel nurse aspect, yes they normally travel in pairs but I think they will want more space than what you can provide.

Are you looking to buy them or build your own?

If you're looking to buy its much easier, just get their P&L and analyze like you would any other business. These types of documents should always be available especially if they are trying to sell on market. 

If you're looking to build your own, you also should build your own comp base. If you are trying to do glamping tents, look at what other glamping tents rent for and reverse engineer it up from there. It takes a bit more work but also it's safer in my opinion because you aren't relying on someone else to do it for you. 

My first time seeing this site, so I'm not an expert with it and I also don't know how they collect their data (big factor). But running a few of my properties (Rural and unique) it was maybe 75% accurate. 

As with all online revenue estimators, allow for room for error. But from my quick use, it doesn't seem way off. 

Well I probably need more details, but to keep it simple. 

Why not just do a promissory note with a set interest rate for a set number of years. What is that rate and time period? Whatever you both agree too. 

That quote is terrible. I could find the best deal ever with 50% returns but if I can't communicate the deal clearly and explain the risk to investors, you are getting no money from them. 

I would say raising money is harder than finding deals, because investors have emotions you have to navigate, where as the deal numbers are straight forward. 

Interesting spot you are in. I would first ask myself 'Who is bringing the value to the partnership?'. From what information you have given, it sounds like you are bringing the value (the lots/money), and the partner is replaceable (you can always find another builder & management company). 

As far a splits go, normal people just do 50-50, but if you are taking on the risk/liability I would demand a higher %. Especially if you are going to be paying 25% to a management company, it seems like they are getting a better deal than you are. 

Hope this all helps, if you have any questions feel free to message me.