All Forum Posts by: Luke Carl

Sorry I'm late to reply it wasn't sending me notifications. I inspected the property yesterday (I went to HI school and inspect all of my properties) the whole time all I could thing of was.... there's got to be a way for me to own the whole thing. My "partner" is very reasonable and I think really just wants to see me succeed. I'm out of cash. I have zero. I've purchased 4 of these in the last year with conventional Fannie loans and I can't afford another one. Should I ask him to finance me at 6% for the whole thing? What's the best way to make this work with my sweat and my system?? Thanks!!

@Jon Crosby great point about the air mattress jon! 

Love to hear your thoughts on pull out couch vs not. Opportunity to charge extra for more guest? Or opportunity for guests to stack more people in your place and lie to you about number of guests..... and more wear and tear on a more expensive couch....?? Which way do you go?

If you do the math he doesn't get his cash back for 5+ years so this seems like it doesn't make a whole lot of sense for either one of us?? Please advise

Ive found a groove doing vacation rentals and a wealthy friend wants in. He's putting down payment and getting conventional loan for full amount. He wants to personally finance me half of everything (70k) on the side with interest (3.65% same as bank). I manage using my superhost account, keep it packed, handle every detail, he never visits the property. He wants the property paid off before we take a penny. He told me he plans to take a chunk of money from elsewhere soon and pay off his end (entire purchase price). He sent me my amortization schedule. I won't see a penny for close to 7 years and that's if nothing ever breaks. Is this terrible idea? Am I just signing myself up for 8 years worth of work to eventually make an extra $1000 per month while continuing to work from years 8 to X? Its a win win for him, he puts up initial cash and risk. Uses me and my system, my cleaning crews, my handymen, my superhost account which I've gotten from my hard work... he pays off the mortgage in a few months.... he's making 2k+ per month plus interest off of me right out of the gate. I don't see a dime for 8 years. Am I crazy or is this like going to Starbucks and then saying hey we'll pay you later if we get around to it. Bad idea? Please show me the light. I know I can't be choosy because I'm cash poor but shouldn't I just save for a few more months and get one of my own and pay interest to the bank on a 15 year loan? Thanks!

Doing my first deal with a partner. Financing is in his name. Does the realtor contract have to have my name in the section that talks about who's name the deed will be in? I guess thats just so the title company knows if the wifes name or a partners name is involved? 

We plan to have title in both names. Of course this brings up the LLC discussion I suppose I need to form an LLC and how does that effect the deed?

Thanks 

Ok turns out they just need the head of the HOA to sign a deed that they're PUD and owners own the land underneath and that's it. And she's more than willing.

I'm supposed to close Friday. Appraisal came back as a 5 on the risk scale and was red flagged. It's a single family vacation rental cabin in an HOA with 11 other cabins. The ones that have sold in the past few years were sold as PUDs. Since mine was red flagged its now listed as a condo because of the back woods mountain way the worded he deed 30 years ago. I have two others cabins in the area (real ones not condos) This will gross big money. Low purchase price. Should I run away because of all this condo stuff or do I not care? Broker knows nothing about condos I'd be surprised if it'll passes Fannie regulations. Will it be hard to sell?? Need some quick advice sorry I know it's a weird one.

@Jen Faulkner Hey Jen! I only except payment through airbnb and VRBO as of right now. I figure, without them I wouldn't have the business so they deserve their cut. It's possible years down the line if I have the same people coming back every year, which i do expect, I may deal with them directly if that's what they prefer. Personally the cut the app takes is worth every penny so I'm happy to give it to them. So to answer your question... I don't know about a software because I've never had a need for one. 

One thing to consider is that Airbnb charges the full fee up front so I don't see why you wouldn't do the same. 

Also with paypal make sure they're sending it friends and family or they'll charge you a fee and that defeats your purpose. 

I play by the rules with my rentals and I'm happy to do so!!! Hope this helps. :) 

P.S. my vacation rentals are also hours away and we're very close to getting our third wish me luck :) 

I'm quickly learning neither one of these places will work for me. Need to be a cash buyer to make the numbers work, at least compared to my other vacation rentals. Unless you don't want to be on the beach but then whats the point really.