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All Forum Posts by: Luka Milicevic

Luka Milicevic has started 50 posts and replied 2526 times.

Post: Airbnb arbitrage advice needed!

Luka Milicevic
Posted
  • Real Estate Agent
  • Nashville, TN
  • Posts 2,620
  • Votes 2,170
Quote from @Bruce Woodruff:

 You keep mentioning AirDNA like it's 100% factual or something. Bear in mind that it's just a computer algorithm. If I were you I would be looking directly at the competition on VRBO and Airbnb sites. You need the real numbers on this not an algorithmic guess....


 I have found that AirDNA is WAY low on revenue. Just the pro formas they have generated compared with property managers running pro formas and Airbnb estimates. I've run their numbers on properties with actual historical data and it's still low on revenue. 

You're spot on about don't trust algorithms....

I mean I sold a house to Zillow based on their zestimate and boy did they pay me.

Post: Airbnb arbitrage advice needed!

Luka Milicevic
Posted
  • Real Estate Agent
  • Nashville, TN
  • Posts 2,620
  • Votes 2,170

@Mike Reitz Just curious - have you seen the actual STR permit or did the owner just tell you they have one?

Have you read the lease - does it say anything about subleasing/ using as an STR? Anything along those lines?

Post: Nashville; Where to hang my hat as an investor!? Help!

Luka Milicevic
Posted
  • Real Estate Agent
  • Nashville, TN
  • Posts 2,620
  • Votes 2,170
Quote from @David S.:
Quote from @Luka Milicevic:
Quote from @David S.:

Hey BP community, I just passed my TN license and will be moving to Nashville soon. I need to buy my primary but will also be doing some light flipping. 
Having trouble finding a brokerage to hang my license with. If I have to, I’ll go the discount brokerage route, but I’d rather pay a bit more and have a local broker to bounce questions off of and to allow me to better network in a new market. 
Anybody have recommendations? Also, if you’re thrilled with your online discount broker, I’d love to hear it as a plan B!

Thanks!! 


 I'm with Zach Taylor RE. Chose it just because of the low fees. The lowest of any brokerage out there. All I needed was the formality of having a broker.

Come to find out they offer SO much to their agents. I highly recommend you check it out. 

We have non stop training, guest speakers, CRM tools included, etc. 


 Luka, 

Does Zach Taylor RE allow an investor to own their investment properties under an LLC or Trust? I'm talking to Benchmark at this time, and they do not allow that; Something to do with the fact that you can't manage properties, so they have to be under your own name.

Also, do they have an onboarding requirement for new agents where they take a split for the first number of deals done, since new agents need extra mentoring? 

Benchmark is a tad more expensive, but not excessively: $439/transaction and $75/mo. But they also have a $160 Broker Base Commission, which in this case is charged to me as an investor, so perhaps there is a decent difference with ZT. ZT shows $299 per transaction and $99/mo. Is that pretty well the entire picture or are there other fees to consider that are not mentioned there? 

I'm only likely to do about 4-5 transactions a year, so the difference isn't massive, but still $300 more per transaction with Benchmark from what I'm seeing while $300 cheaper in monthly fees per year. Would love any insight you can offer! 

Thanks! 


 The fees you listed are the fees.

No onboarding cost, no initial commission until you get to X amount. It's the same from day 1. 

The monthly cost also covers your E and O insurance plus marketing tools plus CRM. There is a lot they give you for the monthly fee. It's not just an "office fee" 

There are genuinely no hidden costs that I have been charged. 

I also haven't heard of any brokerage requiring you to own properties in your own name. That doesn't make a whole lot of sense to me. Mine are in LLCs and I've had no issues from any broker

Post: Can anyone suggest investor friendly title companies in Nashville Tennessee

Luka Milicevic
Posted
  • Real Estate Agent
  • Nashville, TN
  • Posts 2,620
  • Votes 2,170
Quote from @Saketh Varma:

Hello,

My partner and i are looking for investor friendly title companies. Can anyone suggest some good title companies?

Thank you.


 Foundation title (Formerly Toro Title)

933 E Trinity ln

Post: Wilson County Investing… Stupid idea?

Luka Milicevic
Posted
  • Real Estate Agent
  • Nashville, TN
  • Posts 2,620
  • Votes 2,170
Quote from @Will Adams Jr:

Hello all! Rookie here, I've been scouring Nashville for deals and am focusing in on SFH that need work, and multi families I could house hack. I have struggled to find anything in Nashville-proper that would cash flow, and stumbled into Lebanon and Wilson County, and also Watertown. There seems to be great deals with good rental rates, does anyone have experience investing in this are? Are there any plans for further developments, new business coming to town, etc?

Thank you all! Would love to connect with local Nashville investors and show tenants houses for you, or help you in anyway!


 Wilson county is top notch. 

So many people from Williamson moving to Mt Juliet. More affordable homes on larger lots.

Lebanon is doing really well. So much growth out there.

I've never built in Wilson county, but a developer friend of mine told me they are not easy to work with....which was a huge surprise to me. 

Post: Airbnb arbitrage advice needed!

Luka Milicevic
Posted
  • Real Estate Agent
  • Nashville, TN
  • Posts 2,620
  • Votes 2,170
Quote from @Mike Reitz:

Hello,

I have an Airbnb arbitrage opportunity in Nashville, TN. I’ve looked over the Airdna info and it seems like a good opportunity.

Are there any Airbnb arbitrage pros on here that would be willing to take a second look for me and offer any advice they may have on the opportunity?

Thanks in advance!


-Mike


 I would not recommend the arbitrage route, especially not in Nashville. 

Either buy the STR yourself and run it as the owner, or look into other opportunites.

This worked extremely well up until about the end of 2016

Post: Nashville; Where to hang my hat as an investor!? Help!

Luka Milicevic
Posted
  • Real Estate Agent
  • Nashville, TN
  • Posts 2,620
  • Votes 2,170
Quote from @David S.:

Hey BP community, I just passed my TN license and will be moving to Nashville soon. I need to buy my primary but will also be doing some light flipping. 
Having trouble finding a brokerage to hang my license with. If I have to, I’ll go the discount brokerage route, but I’d rather pay a bit more and have a local broker to bounce questions off of and to allow me to better network in a new market. 
Anybody have recommendations? Also, if you’re thrilled with your online discount broker, I’d love to hear it as a plan B!

Thanks!! 


 I'm with Zach Taylor RE. Chose it just because of the low fees. The lowest of any brokerage out there. All I needed was the formality of having a broker.

Come to find out they offer SO much to their agents. I highly recommend you check it out. 

We have non stop training, guest speakers, CRM tools included, etc. 

Post: Mid Term Rentals

Luka Milicevic
Posted
  • Real Estate Agent
  • Nashville, TN
  • Posts 2,620
  • Votes 2,170
Quote from @Christine Callaghan:

Hello Everyone,

I have a few single family properties in East Nashville rented with a typical annual lease and I'm trying to decide on whether to try the Medium Term Rental strategy.  Under the current regulations I don't qualify for a Short Term Rental permit so before I have the high costs of furnishing a property I was wondering if any of you guys have made the switch from annual to medium term and could share some insights.  I have listened to a couple of podcasts that show medium term option to be much more profitable, but those podcasts were not specific to Nashville.  I'd love to hear your opinion.  

Thanks so much 

Chris 


 It depends on the property type. Travelling nurses don't want anything high end, and not even mid to high end. They are looking for affordability. 

So if you've got a 800k single family home, it probably won't work well. A modest home will be much better on the MTR route. 

Post: Starting out in Nashville, TN

Luka Milicevic
Posted
  • Real Estate Agent
  • Nashville, TN
  • Posts 2,620
  • Votes 2,170

@Haley Day

Welcome to the forums! 

I'm very active in the Nashville market and I'd be happy to answer any specific questions you may have. 

In terms of meet ups, I'd recommend you join the REIN group www.reintn.org 

They have meetings all the time. The main meeting is the second monday of each month. 

It's great that you're learning, but remember that at some point you have to put down the books and TAKE ACTION! 

Cheers to you starting - enjoy the journey!

Post: Timing of when/if to sell STR producing well

Luka Milicevic
Posted
  • Real Estate Agent
  • Nashville, TN
  • Posts 2,620
  • Votes 2,170

@Salvatore D'Agostino

I don't think anyone can answer this for you without knowing your personal situation and your ultimate goals. 

Are you tired of managing properties? Is this something that produces cash flow with little headache each month? 

Are you more interested in cashing out now and putting it in something even more passive for a lower return? 

Very difficult to answer. 

Personally, I don't sell and I don't recommend selling unless you have a SPECIFIC plan for the funds.

What makes me beyond anxious is having unused capital. If you have an exact plan for the proceeds that's one thing, if not then I would hold on to it until you do.

There aren't many good places to park capital right now - in my opinion so if you're already in a good investment it might be best to stay there.