All Forum Posts by: Account Closed

@David Fernandez This is not what I said about airBNB... here is an example of what San Francisco said about them for instance, before they became compliant with the law there... SF is their home city by the way, a city whom they sued and tried to evade their responsibilities there.

@Michael Hooper This seems to be an easy problem. Does the cash flow actually support formal management expense? What are you paying for the 11 unit by the way and whats the average daily rate for market and occupancy rate?

You sure the perp wasn't actually an airBNB host? There seems to be quite a few of these cases and the probability of these occurring if these persons are registered and licensed with their cities is almost nil.

http://www.denverpost.com/2017/03/06/boulder-airbn...

https://www.nytimes.com/2015/08/15/your-money/airb...

 airBNB huh? Well, they on my 'to do' list.

Within the context of a state the hierarchy is...the State, the county and the City right? If you own property, that property is first located in  a city, the city in a county and the county in a state right? 

In some areas the zoning and legal use of any building or structure is either a city or county level decision. The power to regulate what goes on within the state lies with the state not you - whose job is to abide by what the state tells you can or cant be done. 

In this case, if your city or county says an SFR is not be used as a hotel or for STRs, that is their duty. Owning a property does not grant you the right to make law or regulate. Can I make things anymore clear than this?

Who is the state? The state can and against your will through eminent domain evict you from your property today and determine that the best use of your house is to use it for a pig farm and hence pay you what they feel is just compensation for it.

@John Anderson Some of them already are and they didnt even deal with airBNB. They simply rented to a tenant, who went behind their back and illegally leased with airBNB. The city still only fines landlord though.

There are cities trying to ban the use of residential houses for STRs... and there are cities that only permit such usage if they actually register with the city and get a business license which then allows the city to better track things, collect taxes, audit and manage compliance.

AirBNB tries to make things difficult for the city in that regard and tries to keep the platform gray -- encouraging and enabling continued violation and evasion of local ordinances.

@Douglas Krofcheck That isn't good enough...  not when they are getting multiple and frequent complaints from both the city and landlords for illegal use. If the lister lives in a city that doesn't actually ban using SFRs for STRs, they would have to provide proof of being licensed and registration with the city (or whoever the regulator is).  They may also have to provide proof of landlord consent -- especially when its the landlord being fined for tenants illegal listing.

@Darsh Patel  Only if the offer was contingent on results of the inspection report.

@John Sherron Before you get into trying to analyze... why are you using appraisal from a year ago? What is the ARV or market value today and what else in the estimates is based on info from a year ago?

@Chase A. Leverage is a catalyst for growth.... in finance, levels of reward, usually is proportional to risk level - or should anyway.