All Forum Posts by: Chris Monello

Hi Alex - thanks for sharing the post here!  I was curious what insurance you use for the portfolio of  short-term rentals that you have?  I have been struggling to find an insurance solution that efficiently covers my short-term rental portfolio.  We are trying to find 1 overall policy which we can add properties too as we continue to expand.  We have about 10 properties now working towards 20 over the next several months.  Can you share your experience on the insurance side of things?

Appreciate everyone's feedback!  I don't agree with all of them, but appreciate none the less!  

Thanks all!  Yeah, it feels a bit expensive.  Crunching numbers on a lot of deals in the neighborhood and seem to be hard to come by.  Haven't made any decisions just yet, so appreciate the feedback!

I manage my own properties, and do my own book keeping, but hear you on the potential vacancy expense.   Certainly need to factor that in and agree, 100% walk away from negative cash flows.

Hi Everyone - my first post on BiggerPockets, but have been following the forum and podcasts for several months.  Have a potential deal at hand and was curious what others think about the financial profile, returns, and anything I might be missing.

Here are the key stats - based on quotes and research. 

Location: North Jersey, 15 min outside the city with public transport options - heavily populated and rent heavy neighborhood.  Working class with demand picking up.  Prices have come up though over past 2 years, so not buying at a low by any means. 

Purchase Price: $600,000

2 family - average / slightly above average existing condition 

Total Monthly Income (Rent + Parking spot):  $4,400

Mortgage + Tax: $3,300 

Water / Sewer:  $900 a year, $75 a month

Insurance: $1,200 a year or $100 a month 

Utility expense paid by me: $50 a  month, rest paid by tenants

Lawn / Snow: $50 a month average

Unexpected Maintenance:  $100 a month

Total net monthly cash flow of $725, Cash on Cash Return of 5.2% (based on down payment, closing costs, and assumed $15,000 investment in units to upgrade)

Not a staggering return but seems to be cash flow positive and should be stable.  Maybe some appreciation but not banking on it.   Any thoughts?