All Forum Posts by: Dan Bass

@Nicholas Smith

This may become a trend as demand for housing is huge. I see more cities move this way to free up supply for home owners and less investors.

STR market can be lucrative but I'd never buy one if it didn't cashflow as a LTR as well.

Many people are seeing trends of illegal STR and hotels are opening up more as more people are more comfortable staying in them again.

I’d be careful how the city views saturation and any deflationary moves may crush your valuation later

@Stephanie Brown

So many questions

How does the city view STR?

Are there comps?

Can this cashflow if the city changed course and you have to have it as a LTR?

Experience level of yourself and that market?

Everyone is jumping into STR since LTR don't cashflow well.

My worry is if you’re new and we have a downturn when less people are traveling and you’re holding the bag.

Always look for another way out is my advice.

Also…how many other STR are being sold vs 6 months ago?

Is this a trend that people may be offloading in a market?

I don’t think there is a debate per se on what I’d better.

I think the determination is what’s best for the individual and where they are in their journey as well as what they can afford.

Not everyone wants just CF, not everyone just wants appreciation.

Not everyone is 100% in real estate. Many are using RE to offset their monthly expenses and still working a job while contributing to their IRA and 401k. This gives them the ability to not need a massive amount of doors but to also give them a cushion now with CF as well as woe and do the traditional retirement plan.

It’s a great conversation for the ages though.

Thoughts?

@Nathan G. Agreed. If banks start calling notes based on this, likely a market crash or correction would occur. How many mom and pop and larger companies would have their mortgages called?

Again, maybe this could happen and Blackrock swoop in and take it all over

@Erik B. Congrats! I hope they lift the moratorium. I heard they are extending it to 2023?? Is this right?

@Scott Winter with such large assets on banks books, one would think this is a prudent move to protect the bank as well as a buyer. A flipper just wants the cash, a home owner has it as sometimes the largest piece of their net worth.

Imagine flippers flipping crap, home owners fitting repair bills, lack of confidence in banks to refi, less people buying houses, less homeowners buying new appliances etc to support a large piece of the nations GDP.

Banks would want to slow down flippers from selling bad products as much as they can.

Budget appropriately, sell a good product. Buyers from investors may be their first home, which right now, may be their happiest moment in a while.

@Michael A. I looked up a company called arcstoneinc.com.  I believe they are out of San Diego or LA area and watched some videos on them 

@Owen Dashner $40,000. It was my first house as I lived in it while fixing it up. Bought it 0# down as well. It still cashflows to this day

@Shiloh Lundahl great point.

Numbers usually don’t work now. Housing is too high for rents and who knows if new tech will come out like pods that Elon lives in to help the housing crisis.

If you didn’t buy in the last 10-15 years, it’s hard to do so now and get free.

I have enough doors to pay my personal housing expenses and that feels great to me! Do I want more? Heck yes!

I’ve switched to dividend investing now for cashflow as its new to learn and I’d rather have different streams of income now vs all real estate.

I wish I bought more but the ones I do have will serve me well. It has taught me a lot about business and taxes as well as investing in myself vs a 401k and hoping I have enough later and not taking the risk to buy rentals.

@Giselle Black no one can predict a crash. With rates going up, I’d bet to say that the spring buying season may start sooner as people rush to buy before rates go up even more.

In markets, plan your trade and trade your plan.

In houses, buy until you die.