All Forum Posts by: Michael Glaser

Eric Gardiner Did you just “LOL” my post? Yes, I realize I can simply ask my local tax man, which I will. Though, the point of this forum is to hear different points of view, options and tricks from various business owners, CPA’s, tax coaches and other professionals. I can’t get all of those nuggets of info from merely asking my local tax man. God invented Internet forums for people to discuss topics...

I'm leasing a car right now and in the market to buy a truck this December when the dealers are trying to move the end of year models. 

My LLC is in Kansas, I work in California.

My employer gives me a car allowance and mileage. I drive the truck back to KC a few times of year to work on and look for real estate, so the truck is used for a portion of the year on my business. I would also hold calls in the truck as I manage my properties as well as other real estate related calls.

What are the options I would have buying this truck through my LLC? Pros? Cons? Tax benefits?

@Myka Artis That's a great site for analysis. THANK YOU.

@Will Gaston I'm thinking there are 2 graduations a year; Winter & Spring. KU is a basketball school so there are roughly 7 Saturday games. Countless parents weekends. Move-in weekend. That's at least 10-15 weeks or weekends where you could inflate the cost to market. Thanks to Myka's data I would figure you could conservatively say that it would be rented 45% of the time vs AirDNA's figure of 62%.

I'm looking at a 4BR which would rent for $1600-$1700 brand new vs Airbnb for $2700. That's $200 per night at 45% occupancy. For conservative estimates, I knocked it down to $2,475 or $165/night. That's not counting the cleaning fees, service fees and city taxes that will be charged.

Rough numbers:

Purchase Price: $115,000

Closing Fees: $5,000

Rehab: $50,000

Furniture: $20,000

TOTAL PROJECT COST: $190,000

Cash on Cash is 18.75%

Bonus* I have a vacation house I can go and see my favorite basketball team!!!

If I did rent it out for $200 a night at 62% occupancy that's $3,700/month in rental money... that's highly unlikely, but that's also not factoring in that like houses are going for $226 per night and that's also not peak weekend for graduation, basketball, etc.

What am I missing here?

@Charles Kennedy That's the biggest missing piece for me. 

Right now I'm running a 91 night range or 25% occupancy rate. I have no idea if that's close to reality or not.

Any help is appreciated! 

Looking at a total gut job on a home in Lawrence, KS where the University of Kansas sits. The numbers don't make sense as a monthly rental, but as an Airbnb they do. My thought is that's there's a very strong Greek system with numerous parent weekends, gameday weekends, graduations, speakers and other short-term prospects. 

My questions to BP, does anyone have any experience with Airbnb in a small college town like Lawrence, KS where the town isn't a major metro area? 

Will pay investors for good contractor referrals in Kansas City, KS!

Paper mache contractors NEED NOT APPLY! Looking for someone who takes pride in their work. 

About to close on a house to BRRRR in KCK. My contractor is busy until December and looking to find someone hopefully coming off a flip or remodel. It should be about 4-6 weeks starting in November in KCK worth of work. Mostly cosmetic for the exception of two bathrooms might be a full gut. Please contact me with a brief resume of work or experience and at least 3 references. We don't cut corners and build things to last. Accepting referrals from Kansas City Kansas, Missouri, Overland Park, Lenexa, Olathe, Raytown, Independence, Shawnee, Lee's Summit, Grandview, Belton, St. Joseph.

Thank you!

Michael Glaser

PM me on BP for contact info.

@Carbin Mills what zip is this in? I'm currently seeking MF in KCK and know the area well. PM me!

See you all tomorrow!

@Account Closed Bravo! That's impressive. 

I think I'm going to go with 2.5% as @Marissa Carroll mentioned. I think that sounds about right for the market.