All Forum Posts by: Mary Frazier

@Lin Ding It really is about the numbers, numbers don't lie! I completely agree with @Will Fraser and say if you are going to buy an older home a "lipstick flip" is the way to go. Plus you have to factor in the downtime on your property for renovation verses having a property ready to start making money for you. Wishing you the best!

@Katlynn Teague Congratulations!!!! What's next?!

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $350,000
Cash invested: $50,000

Short Term Rental

What made you interested in investing in this type of deal?

I wanted to invest in real estate and wanted cash flow to be able to help support my desire to help others and be in real estate full time. I made it happen!!!

How did you find this deal and how did you negotiate it?

I found this deal on Zillow before I was an real estate agent

How did you finance this deal?

I used a 10% down second home loan

How did you add value to the deal?

I added fresh new touches to the home to make it feel warm and inviting

What was the outcome?

I have been grateful to have had a successful short term rental. Lots of time and having learned and still continuing to learn so much along the way

Lessons learned? Challenges?

STR's are not passive... sometimes people get upset about the craziest things....sometimes S*%# hit the fan..... but I still love it.
I have grown so much because of it, plus The higher returns are worth it along with the incredible people you get to connect with along the way.

I love this because it really puts both side in perspective. 

One of the many wonderful aspects about real estate it is there are so many different ways to achieve financial freedom. 

I was just talking to a friend about this the other day, she asked me when I planned to pay off my properties ... I said in 20 years.

She was shocked since we have many conversations about money and financial freedom so she continued and asked me WHY?!? 

My response was " why would I pay off a mortgage that someone else is paying off for me while I make positive cash flow and take advantage of tax benefits?" I explained that the additional cash flow I would receive after paying off my property wouldn't be as high of a ROI than I could receive from putting that 90k plus in another property or a few properties. That would also give me some diversification....

for example (I'm using round numbers to keep it simple) my mortgage is $760 per month I receive $2,000 in rent giving me a $1200 cash flow. Out of that $760 my taxes and insurance is $400. My question to her was "is it worth the 90k it would take to pay off my property to receive an additional $360 a month? Or am I better off finding another property that cashflows more and will increase over time? 

She still wasn't convinced and that is because for her the security of having a paid off property means more than a higher ROI.... Finances are so personal, It doesn't matter how you choose to invest just that you do.

Hi Randall,

First thank you for your service and sacrifice, you are greatly apricated. I'm sorry to hear you were burned by your agent, unfortunately a lot of agents especially in my area in Florida say they are investor friendly but really have no idea how to analyze a deal. So glad you ended up on the right side of the deal, I'm sure that was no accident on your part. Congratulations!! What's next? 

Hey Brian!

Welcome to BP and congratulations for shifting your mind set! That is amazing at any age. How does the ancient Chinese proverb go..." The best time to plant a tree is 100 years ago. The second best is today". Have you thought about the option of Mid term rental after you BRRR? Depending on the area you can make more than a traditional rental, but not have the same restrictions as an STR. No matter what you do, I wish you the best!

@Mitch Davidson thank you very much I appreciate it.

Hi! Looking for an investor friendly real estate agent in the Bryson City and Maggie Valley area that is knowledgeable about the area, and is knowledgeable about STRs in the area and surrounding. Wanting bigger pockets to works it magic and help me find a rockstar real estate agent. Thanks!

Hey @Jill Herzig did you find a property manager? Currently looking.