All Forum Posts by: Seth Razor

@Melanie Johnston

Thank you! I definitely agree it seems like anything in my comparable homes (4+ BR and 3 Bath) has a pool and I think having a heated pool is an advantage in the winter months.

One of the replies above mentioned the inability to get insurance. Have you encountered this issue? Do you fence in your pool to help cover yourself? Most I have seen do not.

@Ryan Swan

Thank you for the insight, you're dead on where my initial research has gotten me. Bid in the 30's and 50% ROI in property value to pool install. Which is definitely worth it considering the comparable homes in the STR Scottsdale market all have pools.

Hello all! I am a beginning investor and am focused in the Short Term Rental (STR) market in Scottsdale AZ. I have a question regarding whether to install a pool during my rehab, more specifically the following questions:

1. On average, how much does a pool increase the home value during a cash out refinance in my market, area code 85257?

2. How much can I expect my nightly rental rates to increase? Pool will be heated.

3. How much for a quality pool install in my market? Approx 15 ft x 20 ft x 5 ft.

Background: The house is paid for with cash, the interior is being completely remodeled as well. Interior is 2600 sq ft and yard is smallish but will have exterior fireplace and bbq pit as well with or without the pool.

Thank you in advance for the help!

I have an investor willing to provide significant capital towards my real estate business. He is willing to provide the cash and only wants a 10% cash on cash return, no equity or involvement in the property or business itself. I plan to use the capital (as well as my own) to buy properties cash, then finance them after 6 months and use the 80% from each to buy more properties. The more properties I have the less significant his cash on cash return is on business bottom line.

I initally want to set up the investment for 3 years. With the option for him to reinvest his earnings and if the business is doing we we will reevaluate and I could provide him with a more significant return.

My question is: How do I set up the contract? He is technically a limited partner but I have no LLC (I can set one up though) and he doesnt want equity in the business itself. Would it be easier to write a specific contract for each sum he transfers to me and have 5 or 6 individual notes with descriptive verbage on the terms?

Note: I have a great job and will be investing capital of my own, I’m looking at the long term equity gains of using someones capital to grow quickly, I can also pay his cash flow out of pocket if I get in a bind, so I’m not worried about falling through on my contract to give 10%, which really is very achievable.