All Forum Posts by: Stacey Johnson

As a real estate agent with Spara Realty (twin cities) I can help you save money on both the selling and buying end of a transaction.

4.5% listing fee to sell

1% of purchase price back to buyers after close

Our Motto is : Fair.Simple.Honest,  and living up to that we won't agree to "dual agency" representation. We believe in "fiercely representing" YOU. That is an impossibility with dual agency representation.

As an investor myself I would enjoy helping you build your portfolio.

Let's chat

Stacey Johnson

Realtor, Spara Realty

651 785-4909

[email protected]

Save thousands of dollars with a 4.5% listing fee/commission. As an agent at Spara Realty in St. Paul, MN we have always offered this unique and lucrative program to sellers. On a $300,000 property the savings would be $4500!

Also, for buyers we give back 1% of purchase price after closing. Yes....a big check to the buyers!!!!

If you are an investor you know how hard it can be to make money. This is the easiest way to make money that requires zero work from you!

Check out our website for more information SparaRealty.com 

Contact  [email protected]   or call 651 785-4909

I know! It's complicated but I need to sell it. Do you have interest in the property or know of someone who is?

Thanks!

Stacey

A very unique opportunity in the historic neighborhood of Summit Hill. Currently generates over $65,000/yr without the largest unit being rented (owner occupant.) Market rent for this would be $2400-2600/month. Very realistic to generate $93,000/yr in gross revenue. The vacation rental has operated for 4 years and has a loyal customer base with dozens of great reviews online!  Another unit is a stand alone newly constructed carriage house with 3 car garage.

Location is ideal....1 mile to downtown and surrounded by turn of the century mansions.

Contact:  Stacey Johnson (owner is a real estate agent) 

 Hi Andrew,

The main house had another unit in it that was combined with another; it could easily be made into the "5th" unit again. Assuming that the cost is under $5000 to accomplish, is there an advantage to market it Commercial? 

Stacey

I will be listing a property I own and also reside in. Here is what it consists of-  A large 135 year old house with 3 units: 1 is long term rental, 1 is VRBO, and I live in the other. There's a separate detached carriage house with 3 garage stalls and a 2 bd/1 ba unit above it. My mother lives there currently rent free.

Without rent coming in from my dwelling and my mother's it grosses $42,000/yr. It could easily gross $80,000 by renting (long term rental) the units we reside in. The best use of the property would be to VRBO these two units, which would gross $100,000 plus. I currently operate 3 VRBOs in this neighborhood and this is based on how well my other units do currently.

I have meet with several realtors and neither has presented with confidence a solid decision on the best way to market it.  I am not in an area that is zoned commercial so perhaps that excludes a "Commercial" label. I believe that a realtor would use comparables based on a 4 unit multi-family that has long term tenants, and based upon market rents would only generate $50,000-58,000/yr. 

I would greatly appreciate any comments you have on this matter. I will be selling it this coming fall/winter.

Thanks!!!

Stacey

Thanks Chris! That does make me breath a bit easier. 

S.

Update - I met with my lender this morning to go over the re-fi on one of my properties (It is a triplex, 2 VRBO units, one long term tenant.)  He asked for leases of which I produced one, for the long term tenant I have. He said he isn't sure how the underwriters will feel about not getting leases for the other two "rental units."  He worries that if they accept the VRBO income they will require a commercial loan - at a higher interest rate of course. My tax returns on Schedule E show the income this property is bringing in but he still is concerned about how it will be treated by underwriters. I swear it's a "Minnesota thing," because a lot of you have responded that where you operate VRBOs (touristy/warm areas) lenders get it! 

I'm crossing my fingers and will know in about a week if the underwriters have an issue with this. Sometimes I think they'd rather see a year lease at $800/month then the reality of the $2300/month I get per unit. Argh!!!!

Stacey

Hi Elizabeth - yes you are right but here's the "conundrum"; I don't want to pay high taxes and write off everything I can, that I can defend......which means the bottom line looks a lot different than the top line. They do add things back in like depreciation, mortgage interest, etc.........so that brings it up some.

Stacey

Sounds like the bankers/lenders in more "touristy" areas are more comfortable with VRBO arrangements/revenue. I've tried 3-4 different bankers here in MN and they think the revenue without year leases is too risky. 2015 will be my 4th year in this business with 3 units so I am hoping that my track record will speak for itself. 

What's funny is that they are really impressed with the revenue my little one-bedrooms bring in, but still don't want to finance. 

Thanks for the comments everyone!

Stacey