All Forum Posts by: Ricardo Hidalgo
Ricardo Hidalgo has started 13 posts and replied 532 times.
Post: Anyone else seeing a buyers' market
- Real Estate Agent
- Posts 552
- Votes 254
Quote from @Salvatore Lentini:
Just curious as to how others on BP are feeling about the market? Personally, (in the commercial space) I've started to notice sellers have become more flexible and brokers are hungrier in the past 2 months. I'm actually getting brokers reaching out to me on deals (because of the lack of activity) instead of me hounding them. Rates are high but if you can make the numbers work... it looks like there might be some deals to be had as opposed to the past few years where every deal had crazy competition. I'm in Philadelphia suburbs. It hasn't been pronounced but just starting to notice the tide turning. A vibe. How about you?
I think 2023 is going to be a year of compromise for buyers and sellers to find effective ways to keep deals flowing. I am noticing more subject to, assuming loans or giving out more closing cost to minimize the expenses of a buyer. Since sellers still have equity positions, I think it's wise to give in a little to cash out on profits to keep the markets moving until we hit a turning point.
Post: Condo vs Single Family Pros and Cons
- Real Estate Agent
- Posts 552
- Votes 254
Quote from @Misty Quaintance:
Looking to do a midterm rental. There's a condo available very very close to the hospitals in the area but no single family homes atm. I have dealt with a HOA before and have mixed feelings on them. I like that they keep the neighborhood up and at a higher level but obviously more rules aren't fun. I'm looking for any pros and cons people see about going with a condo over a single family home.
I prefer to choose a single family home/townhome since you don't have to experience a rising hoa or possible special assessment. In addition, appreciation is greater on a home with less of a down payment in comparison to non warrantable condos. I find resale to be easier on single family homes since you can reach a bigger buyer pool.
Post: Should I keep my property?
- Real Estate Agent
- Posts 552
- Votes 254
Quote from @Danielle Elms:
Help!!
Looking for a calculator and guidance.
We have a property purchased 12 years ago; 40k left on mortgage; cash flow of $100/month; can sell for $160k. Should we continue to rent out, or sell and reinvest?
I would sell it since your cashflow is minimal in comparison to the equity locked up in the property. In addition, prices are going to continue to drop therefore you could probably buy a few properties with better cash flow. Based on the numbers you have presented, your COC return is 1% which is far too low for the amount of equity vested.
Post: Where to go to furnish STR home
- Real Estate Agent
- Posts 552
- Votes 254
Quote from @Dave Tov:
Any suggestions for where to go to furnish 5BRD 4BA STR in Davenport, Florida area?
I think it depends on the price point of the neighborhood to really determine the quality of furniture needed. I've seen some people get their stuff from wayfair, rooms to go or local shops in the area. I would ask your rental management company or realtor for suggestions.
Post: Special Assessment Help
- Real Estate Agent
- Posts 552
- Votes 254
Quote from @Will Sampson:
I bought a 1 bed condo in Panama City Beach in the beginning of 2022, it has been a profitable investment but cheap, so not a ton of cash flow. Unfortunately, the HOA is about to drop a special assessment for nearly $2 million divided by 30 owners. I do not have the equity and not a ton of cash lying around. The HOA claims they have not had much success finding financing options. I would appreciate some advice on financing a special assessment and any recommendations for places in Florida to assist...I'm trapped!
I've seen some HOA's collect by payment options or you may have to sell the condo if it's something you don't want to deal with. I am seeing more condo complex in our area raise the hoa amounts or doing a special assessment due to recent issues with condos.
Post: What is your target cash on cash return?
- Real Estate Agent
- Posts 552
- Votes 254
Quote from @Andrew Diamond:
Hi BiggerPockets Community,
After analyzing a deal, what cash on cash return are you targeting to identify if this is a good deal? What other metrics are you evaluating and which numbers are "good numbers?"
Thank you!
Cheers,
Andrew
It is becoming harder and harder to set a target since rates are constantly moving. I am seeing people settle for 4-7% with a better equity position in appreciation based markets close to the beach.
Post: Best way to manage an out of state rental property?
- Real Estate Agent
- Posts 552
- Votes 254
Quote from @Rehaan Khan:
To those of you who are experienced, what’re some good ways to manage out of state rental properties & how much does it generally cost to have a good system or manager in place?
Please do not comment if you’ve never personally experienced managing rental properties.
Peace & blessings!
8-12% for LTR and 18-25% for STR is what I am seeing for typically fees.
Post: Any Cash Flowing Markets
- Real Estate Agent
- Posts 552
- Votes 254
Quote from @Anthony Cummings:
Markets with good cash flows?
Short term rentals?
I think if you find something that needs to be renovated you will be cash flowing with an equity position for a long term buy and hold. We are seeing more and more of these opportunities being created in our market.
Post: STR Financing with 10% down
- Real Estate Agent
- Posts 552
- Votes 254
Quote from @Benjamin Foullon:
Hi everyone!
I'm looking to invest in an STR in Florida. I have 10% down payment set aside. Most of the loans I've looked at require 20-30% down for STRs. Does anyone know if there are lenders out there willing to handle LTV 90% on an STR? Thank you!
I think it is going to depend on the performance on the property to achieve 10% down and since rates are high it probably going to require you to put more down to create the cashflow needed. In addition, more banks are getting cautious due to the economy therefore they are wanting a bigger cushion.
Post: Out of State Investing for Californians?
- Real Estate Agent
- Posts 552
- Votes 254
Quote from @Hector Valadez:
Hi, my name is Hector and I decided to get into the Real Estate world last year. I live in Lancaster, CA and own a single family home rental. I have been a lurker on these forums and soaked up a lot of knowledge so thank you all.
I have been considering investing out of state and I was curious where other investors in California were investing in.
I would also appreciate if you could shed knowldege on a newbie as to how you determine if a certain market is desireable. Thanks again for all the help.
I think our area offers the appreciation California does without the rent control and high rentals. We have a safe environment on the emerald coast and a strong job market. In addition, we have some of the best beaches in the entire United States offering privacy which is attractive for the surrounding markets to visit our area.