All Forum Posts by: Ryan Moyer

Quote from @Alan Grobmeier:

Quote from @Ryan Moyer:

Quote from @Alan Grobmeier:

Don't invest in broke(n) states.  Those include:  Michigan, California, New York, Oregon, Washington, to name a few.  If you do, you will shoot your eye out.  The Fed & these states in particular, will be the first ones broke.  Where will the $$ come from when they are broke?  Your property taxes.  ;-)

Florida, Texas, & 'Bama are your best bangs for the buck.

What metric are you using here?  New York is one of only 10 states that operate at a net positive, giving more back to the federal government than they receive in federal spending.

Alabama ranks among the worst in the country in paying back federal debt.

New York pays out $116 billion more to the federal gov than it receives from the government each year, while Alabama operates at a $96 billion annual loss. 

@Ryan Moyer  New York is STILL under an eviction moratorium.  Hence, it's 'broken'.  If you want, I can go thru ALL 50 states for you.  ;-)

Lol what.  You said broke, out of money.  Not "broken" with some made-up definition.  Similar letters, totally different meanings.

Also, what does an eviction moratorium have to do with STRs?  We don't do 30+ day rentals in this subforum.  Do you even know what subforum you're in?

Take your off-topic rants somewhere else.

How well themed are we talking here?  And is the game room garage finished off with HVAC/drywall?

I have the larger model up from yours (9br), very well themed.  I went live in October.  My target was 156k and so far I am on pace for that.  The 7brs don't rent for quite as much but the difference is not that big.  With self management or good management and well themed place you can do very well there.

This is my place:

★★Cosmic Villa★★ Amazing Theme Rooms, Arcade, Pool - Villas for Rent in Davenport, Florida, United States

Quote from @Alan Grobmeier:

Don't invest in broke(n) states.  Those include:  Michigan, California, New York, Oregon, Washington, to name a few.  If you do, you will shoot your eye out.  The Fed & these states in particular, will be the first ones broke.  Where will the $$ come from when they are broke?  Your property taxes.  ;-)

Florida, Texas, & 'Bama are your best bangs for the buck.

What metric are you using here?  New York is one of only 10 states that operate at a net positive, giving more back to the federal government than they receive in federal spending.

Alabama ranks among the worst in the country in paying back federal debt.

New York pays out $116 billion more to the federal gov than it receives from the government each year, while Alabama operates at a $96 billion annual loss. 

Quote from @Joe Splitrock:

Just be aware telling people you have a million dollars is like walking down the worst street in Detroit dropping hundred dollar bills. You will get plenty of attention and people offering to "help". The biggest challenge when people have money is usually not loosing money more than optimizing return. Of course you can do both, but focus on security first. 

Right.  Looking through this thread the majority of the replies are not from the usual faces of this forum who own, operate, and are experts in the short term rental field.  I think most of the replies here are from people who saw "1 million cash" in the general forum topic feed and started salivating.  Not that there's anything wrong with pitching other ideas, but OP was asking about short term rentals specifically so he should be aware that the majority of respondents in this thread don't own STR's and, judging by some of the replies, many of them didn't even realize they were in the STR subforum right now.

Quote from @Ed Tamayo:

Quote from @Ryan Moyer:

Quote from @Ed Tamayo:

Quote from @Jerry Bower:

           I don't think I want to own Ten $150,000 places because I imagine that starts to become a lot of work. What is the sweet spot? Three $500k places? Two                   $750k places?

Most people will say that you get the most bang for you buck with the $150K units  but as you anticipate, having a few of them, becomes actual work and not just passive income. 

You can get real passive income with syndications. You still have to vet the syndication but you can get Cash on Cash returns with syndication deals that you can't get with renting.  

 Most people around here would say the opposite.

@Ryan Moyer

Just to clarify, I am talking about syndication that not involve renting but syndications that are related to active Investments.   

as a reference, Here there are some CoC returns as per biggerpocket investors

https://www.biggerpockets.com/... 

https://www.biggerpockets.com/...

What kind of CoC Returns do you think the average buy and hold investor gets?

 Ah, no I did not realize you were talking about syndications.  My mistake.  The post you were replying to from the OP was about buying and renting out short term rentals, not syndication, so not really obvious that's what you meant, but makes more sense now.

As to the last part of your question I'm not sure what traditional buy and hold has to do with anything. You realize this is the short term rental forum, right? The OP's post was about short term rentals. We shoot for 50% CoC in this forum with a floor of 20%. The two properties I purchased last year will hit around 80%.

I've visited before and liked the area, so would love to own there.  The nightly rates look unimpressive though even at 80% occupancy.  Looking at some of the listings above a 4br/3ba with a view renting for $300/nt at the absolute peak of summer with rates generally going down from there the rest of the year.

What does the ADR end up at for the whole year that 80% occupancy?

I guess maybe it could make sense if you think it will one day blow up like the Smokies and that $500k-$600k property will be a bargain.  But at that price range grossing $70k-ish during a potential market top doesn't seem exciting.

My mind can be changed but that's the impression I'm getting with a cursory look.

Quote from @Ed Tamayo:

Quote from @Jerry Bower:

           I don't think I want to own Ten $150,000 places because I imagine that starts to become a lot of work. What is the sweet spot? Three $500k places? Two                   $750k places?

Most people will say that you get the most bang for you buck with the $150K units  but as you anticipate, having a few of them, becomes actual work and not just passive income. 

You can get real passive income with syndications. You still have to vet the syndication but you can get Cash on Cash returns with syndication deals that you can't get with renting.  

 Most people around here would say the opposite.

I'm not selling, but I will admit it is tempting.  Plenty of people were saying "this is the new normal" for the equities market as well and now I'm sitting here starting at quite a few stocks in my portfolio down 50-80% from the highs and a lot of money off the table.

I have a themed 9br in Champions Gate that does very well.  I got in right when the market started going up so not at current prices, but even if I were to adjust my mortgage payment for current prices I would still be cash flowing very well.

Were you thinking a condo/townhouse or one of the big 6-9 bedroom SFH's?

To me Orlando is simple.  Theme your place and stand out and you'll do well.

If you buy a "nice place" with nice furnishings you're going to disappear into the 20,000 other STRs in the area and the only way you'll be able to stand out is by lowering prices to a silly low amount.

The alternative is to spend some money theming it out so you can really stand out.

Theming costs about the same either way, which is why I prefer the larger SFH's to make the most of those theming expenses.

Originally posted by @Wilson Vanhook:

Originally posted by @Ryan Moyer:

Originally posted by @Giovanni Pisano:

@Ryan Moyer

I’m curious how much an 8 bedroom is in that area? Are you willing to share your numbers?

I bought it at 568k in May and renovated it, going live in October.

The same house is probably closer to $650k now.

"Renovations" were an arcade garage build, and two Disney themed rooms with custom bunk beds, slide, etc.  I spent $20k on the arcade garage, $20k on the main theme room, and $5k on the other more lightly themed room.

Curious what kind of loan you chose. What was you downpayment percentage and total for the purchase price? Trying to total up how much you came out of pocket up front to get this thing rolling.

Also can you maybe provide a link to your airbnb listing? Love to see pics of the arcade room/themed room you did.

 Here is my listing: https://www.airbnb.com/rooms/5...

I'll shoot you a DM with some costs.