All Forum Posts by: Shaival Patel
Shaival Patel has started 8 posts and replied 16 times.
Post: Temecula Region STR
- Posts 17
- Votes 11
Hi,
I am looking to invest in a property; not currently holding one in Temecula. I know CA is tough but want to explore locations closer to southern CA.
Post: Temecula Region STR
- Posts 17
- Votes 11
Does anyone have any inisghts into Temecula STR regulations, market demand, overall feasibility of investing in that area? Thank you!!
Post: STR in Las Vegas
- Posts 17
- Votes 11
Any suggestions on STR in Las Vegas?? I know city of Las Vegas requires host occupancy but areas close by to consider to bypass some of the city restrictions?
Also any STR locations that are viable options fron cash flow perspective and friendly regulations? Looking to purchase max $800k ideally around 600k
Post: CA senate bill SB584 imposes 15% tax on STR
- Posts 17
- Votes 11
It will surely be expensive if its get enacted into law. The bill has to pass through assembly now with again a 2/3rd majority for it to get to Gavin. I really feel like this will end up in court if enough awareness because it clearly is stiffling competition in an open market.
The value proposition of STR over hotel is definitely narrowing. It is more narrower for a couple than it is for families traveling. I personally still prefer STR for my family because of access to kitchen/laundry/more space even if that meant paying little more in comparison to getting two hotel rooms.
Post: CA senate bill SB584 imposes 15% tax on STR
- Posts 17
- Votes 11
Yes singling out STRs only on this addage, exempting hotels, seems like rooting for one team over the other.
Post: CA senate bill SB584 imposes 15% tax on STR
- Posts 17
- Votes 11
Quote from @Bill B.:
Which of those jobs doesn’t a hotel provide? On top of valets, bellmen, waitresses, cooks, managers, etc etc etc.
I would be more than willing to be the average STR employees ZERO people. They may hire a cleaner once or twice a week for an hour here or there, like a person does for their personal home. Same story with the other "jobs" you listed. I don't provide jobs when I buy my primary home, even if I hire those people for a repair. When I buy a car do I provide jobs for mechanics? But what percent of STRs actually have employees and pay social security taxes, paid vacation, medical insurance? I bet it's waaaaaaay less than 1%.
Ps. You skipped over the main point. 15% is still a discount for some reason over the taxes that hotels were already paying and it took 5 years to get it instituted. Of course every STR should be paying the same room tax as a hotel. That's obvious. Even if it eats in to the "cleaning fee" scam. That should obviously be included in the room price.
Post: CA senate bill SB584 imposes 15% tax on STR
- Posts 17
- Votes 11
Any insights into SB584 that places 15% tax on STRs but exempts hotels to fund housing situation? It seems bone crushing high for guests. If you were a new investor in CA market, this tax will lower your occupancy rates while hurting cash returns. Cash returns are already super tricky to attain with todays real estate prices and interest rates. How worried are current STR owners about this bill?
Post: Tax implications of in ground pool first year of STR
- Posts 17
- Votes 11
Hi,
We maybe considering buying a brand new property for STR purposes. Also looking to tap into tax benefits of self managing STR. Is it advisable to place the in ground pool first year of owning the property? In doing so, are we jeopardizing the material participation requirement for (non REPS) self managed SFR used primarily for STR? Property location is two hour drive from primary residence
Thanks
Post: Indio vs Bermuda Dunes
- Posts 17
- Votes 11
Hi,
Does anyobe have experience in Indio and Bermuda Dunes? It seems high occupancy in festival months but is it a year round rentable market for STR. In comaprison to Indio, does Bermuda Dunes seems like a better option?? Or even any other desert areas? Hard to find Cash Flow positive properties in STR in that area. Is this time to invest and ride it out? or just bail out completely from STR in these areas?
Thanks for your inputs!!!
Does anyone have recommendation on lenders they have worked with in Orange County CA area? Need someone who is responsive and top of things.
Thanks