All Forum Posts by: Patricia Steiner

The issue is this: Florida's hotel lobby. It's one of the strongest in the nation and it keeps the STR zoning restrictive. Even markets that have been open to STR are now reassessing due to issues that have arisen from neighboring properties. Having said that, my clients and I love the vacation rental business and invest heavily in it - but we only do it in markets where it is legal. The risk of going 'underground' is simply not worth what happens if 'discovered.' Much of Tampa Bay is in a severe housing crisis and opportunities are emerging that are investor-friendly and even allow for a single parcel to be developed up to 4 units to bulk up housing. It may be worth exploring these newer opportunities which are nothing less than a lifetime opportunity to expotentially grow your empire. Hope this helps...

You've 'been there, done that' so it's no longer an option...

Florida's hotel industry is one of the strongest/powerful in the nation and, as such, it has great influence over zoning for vacation rentals. Tampa Bay does have a strong STR presence but it pays to know where it is 'legal' and where it's not. My clients and I - as investors - love the vacation rental business and tend to invest in high-end tourist areas that command at least 80% occupancy year-round with property appreciation in the 20%+ range. Florida is full of these properties and investors...any of the vacation rental sites are great resources to see which cities are fully engaged and at what rate. Hope this helps...

I wouldn't recommend it unless it is a relatively new build due to the new code enforcement/inspection of condos and the resulting maintenance reserve requirements. This makes an affordable purchase based on price and HOA fee - completely not. The Special Assessments that will be required to bring older build structures to the new inspection requirements will be pricey if not downright vulgar. I recommend purchasing in a new(er) build condo structure or not at all. As an investor, you simply will have no control over the assessments levied. Here's more on the new law that was enacted after the collapse of the Surfside Condo:

"Florida's Senate Bill SB 4-D was passed in May 2022, making it mandatory for all Florida condominium and cooperative buildings, three stories or higher, to undergo milestone inspections, structural inspections, to no longer allow for the waiver or reduction in the funding of reserves, as well as submit specific ..." (Source:  https://icardmerrill.com/flori...)

Hope this helps.  

Don't do it...simply respond "we enjoyed having you stay and we hope you will return soon."  

And, you don't want to sound like the kid who is having a meltdown because he got an A minus on his paper instead of that A plus he is use to getting.  I think the review was positive and if you react that way, a prospective guest will take it that way as well.  

Welcome to life with the general public.  You'll rack up the five stars if you always remember that you can't please everyone and that some folks will never give a perfect rating even if it was a perfect experience.  You're doing great - let it be.

You can't...but the homeowner can:  "Negotiating a loan modification or payment plan to pay your defaults, requesting a deed-in-lieu, making a short sale, suing your lender, or filing for bankruptcy are some of the options available." (End).  And, you need to KNOW that even if you were to purchase the property at the auction, it doesn't guarantee you clear title to the property: https://www.primerus.com/busin... 

Your best bet - and I'm not sure it will be the right play - would be to attempt to reach a sale agreement with the homeowner that would be acceptable to the lender.  Odds of that happening are slim to none as they say.  Take the time to know more before thinking there's a deal to be had.  Again, you can't stop the auction...

There's no doubt that Landlords want to abate public health risks in their properties.  I know I do and that means having lease covenants like one that states the property is crime-free so take your meth cooking elsewhere - as it is not only illegal but a safety concern for all.  What does matter most comes down to what is commonly cited in BP-land:  what does the lease say?  What you put in your lease is what you are expected to enforce. 

And, there is a public service provided by landlords who require proof of vaccines...it lets all prospective tenants know to BOLT and BOLT FAST - because what starts out crazy, only ends crazier.  

You file in the county where the transaction was engaged (the property location most likely). And, yes, the contractor would have to come to that court for the hearing. But know this: most often, 'these guys' don't show.  You will get a default judgement but then you'll have to collect on it - meaning you'll need to know where he banks so you can attach his bank account or where other assets are located.  Unfortunately, it isn't the remedy that most of us believe it will be.  Does that mean you shouldn't file?  No...but do be prepared to know that you might be out the court filing fees as well by the time it is over.  I personally would not allow this guy to steal from me and get away with it. It's about establishing your reputation as a business person who has zero tolerance for bad actors and will take whatever action is needed to protect your business and your investment.  Be sure to report him to the Better Business Bureau and to any licensing agency.  If he is on Angi's or Thumbtack, your report will result in his removal from those sites.   

Here's how to avoid this in the future:  pay for the materials directly and have them delivered to work site and/or picked up by the contractor.  This way, you aren't paying an inflated material cost nor allowing the trade to hold you hostage.

I hate this happened to you...please know that no one gets out unscathed from stuff like this in our business. But I know it won't happen to you again.  Best.

What starts out crazy, ends crazier...

Spare yourself and don't even engage these crazies.  

Your rental expenses/repairs offset your rental income only.  Here's the IRS page on it:

https://www.irs.gov/businesses...

The IRS treats rental property income differently from other types of income, such as work income and dividend income.
Bottom line:
"Rental property tax deductions are “above the line” deductions, meaning they come directly off your taxable income for rental properties. That means you can deduct these expenses, and still take the standard deduction." (End)

So taxable income will be your W2 income plus net rental income (rent less your expenses) - and then the standard deduction would offset your taxable income.  Have your CPA show you what makes up your taxable income...that will clarify that your rental expenses were used to lower your overall taxable income before applying the standard deduction (which means you are not itemizing personal (non-rental) expenses).  

Hope this 'non-tax professional" explanation helps...