All Forum Posts by: Shawn McCormick

@David Sanders you've got several things to unpack here. First off, IMO, the houses in your price range will not cash flow enough to cover all you expenses and mortgage. This market has over 40,000 units on STR programs, there is no room to be average or ordinary.

A very basic breakdown of your costs

$300k purchase price minus 20% down= $240,000 @ 8% interest, you are at $1700=/- month

$1700 minus taxes (200) Insurance (200), utilities ($600), HOA (200?)=$500 per month

$500 minus PM fee of 20% on $3,000 leaves you with negative cash flow already.

To address your other questions 

1. condo vs SFR. Condos are always difficult to cash flow especially with higher HOA costs (your est of 700-1000 a month is not accurate, that is over the top). Single-family better have a pool or don't bother

2.avoid Ponciana, it is way too far from the parks and it is just not the type of area that you would likely want to vacation and the same would go for your guests. Location is vital for almost any STR. Whether its a mountain view, ocean view, roof top overlooking big city or being close to the theme parks, location matters.

Hope this helps, best of luck.

I will be attending BPcon and wanted to see if anyone would be interested in visiting some of the areas top performing STR communities while you are in town. We would like to showcase a couple of homes to investors who are interested in learning about the Orlando market and what differentiates us from other destinations. We will show you homes that have been fully themed and are in communities that are specifically built to be STR with amenities like Lazy river, movie theaters, mini golf, restaurants, volleyball, arcades and more. I am a Realtor® and we will have a STR property manager with us to answer questions.

Availability will be limited, please contact me directly. Days, times and transportation will be based on interest.

@Luis Maqueira I'm in Orlando and would be happy to have a call to see if we are a good fit for each other. You can schedule a call on my profile link. 

@Eric Wu sorry you're going thru this, but please contact an eviction attorney and don't relay on social media for legal advice. Best of luck.

Thank you @Michael Baum

@Edward Alicante, the short term market here has seen a lot of investors put them up for sale. I've spoken to many listing agents and the reason vary from they aren't making money, they bought for some personal use and they don't need it anymore or they purchased a few years ago and trying to take advantage of the appreciation (which was fantastic the last 2 years!) I just put an 8 bedroom under contract last night. It was the cheapest one in the community and we still negotiated $9,000 off and I got them to increase commission for me too. 

So some sellers are very motivated and other are just fishing to see if someone will cash them out so they can take advantage of the equity. I personally have a seller that listed his 5 bed townhouse for sale and have 3 others that have asked me to see if I could find a buyer off market, they all said, we don't need to sell, but if someone will pay me, we'll sell. 

It is important to note, traffic is down here, but I don't think its time to run away from Orlando like some are saying. All investments go thru highs and lows, right now we are in a low, but I have utmost confidence it will come back strong as this market is Global. 

I will be at BPcon as well and already committed to showing some others homes during that time, maybe we could get a little bus tour or something going ;) I might actually be able to put something together like that.

Hi @Kelly Boulton would love to know a little more about it. Can I go to site?

@Samuel Pascal There are many good options depending on your price point and strategy. There are some builders now building slightly smaller units with 1 car garage brand new in the low-mid 300's. This would be a good appreciation play and avoid Cap/ex for many years.

Kissimmee has plenty of inventory, but HOA's tend to be much higher due to they are near Disney and can be used as STR.

Hope this help, best of luck!

HI @Marcela Patino, Are you looking for online only meetings? There are many meet ups here locally, don't know of any specifically geared for OOS investors. But CFRI, the local chapter of the national REIA has about 20 meetings a month, many are niche meetings for woman investors, landlords only, CPA, advanced investors, multi-family, STR and others.

Their monthly general meeting is Tuesday near downtown Orlando if you are interested or available to attend. 

Hope this helps.

@Account Closed, Welcome and congrats to you! There are many niches and ways to do well and thousands of 'gurus' and tens of thousands of opinions and it can get frustrating and overwhelming. the thing that got me going was doing a couple of the 3 day guru sales pitches and realizing that I don't need their "university". I joined my local REIA and met investors that are in my market with all levels of experience and in every category of real estate. I've grown in knowledge, friendships and learned enough about so many different ways to do well.

There is no get rich quick, no way to make it with 'no money', you will need to dive in, absorb, pay attention, make some mistakes and learn from them, find what you are good at and enjoy, but also fits in with your life. Surround yourself with like minded people to immerse yourself and you'll do great. 

Best of luck to you!

Quote from @Michael Monello:

Quote from @Adrian Smude:

I love the Lakeland market.  It's become popular so it's not as easy to find great deals as it once was but we are still buying.  What will your niche be?
Why are you looking at Lakeland? 

Hi Adrian, I'd love to connect. I'm looking in Lakeland because it's more affordable than the Orlando market. Its still close enough for me to manage in my own.

im looking at new construction with incentives to close. One big incentive for me is fixed lowered interest rates that manau builders are offering now. 

@Michael Monello If you are looking for new construction, there are several builders that typically have inventory homes (ones that are move-in ready or close to being finished). Generally the incentives are good on these, but they are primarily for owner occupied homes, not investors. They will buy your rate down and/or pay most of your closing costs. You also have to use their in house lender to get those incentives. 
Happy to talk more about this if you like. Best of luck to you.