All Forum Posts by: Teonia Riley

Very helpful advice! Thank you so much Crystal.

Quote from @Crystal Smith:

Quote from @Teonia Riley:

Hi, 

I’m a newbie, buying first property but in need of advice. Below is the backstory, 

I have a house under contract that I admired the remodel, got an inspection and a lot of things were wrong with that property. Though, the HVAC has reached its life expectancy per inspection report - It was recommended that it gets serviced and clean. (Still awaiting Seller to confirm report it’s been done as she agreed to the inspectors recommendation but has mentioned she’s not replacing it) In additional to the foundation has shifted and need reconstructed due to a lot of slopping in the home (My agent said it comes with wear and tear, so they might argue that their not going to fix it so I didn’t put it on the IRSA to repair). However, everything on the inspection report - Seller agreed to fixing. It’s taking Seller a while to provide the HVAC report but while time passes after due diligence - Flooring cost is way too expensive at the price point they’re asking for 130K + Care of property never took place till decided to sell so I’m not comfortable any longer - Home sits on corner lot on a slight hill with crawl space - Lots of weather changes has caused the home to settle + improper supports needed. I’d rather pass this problem off & keep shopping options. 

I’m aware I should’ve backed out when the inspection was done but thinking I could bare the cost - it’s not sustainable for the goals I have with this property. I’d rather terminate due to foundation issues and high possibility I’d have to replace the HVAC in my first year of ownership. Agent has explained, I’d potentially be sued because I agreed to them fixing everything then backing out in the middle of repairs. I thought better to terminate in the middle of repairs prior to them completing everything + Owe appraisal fees to Lender.  

What type of trouble am I in? Any feedback is appreciated! Never bought home before and learning as I go. 

 Your options:

1. You back out of the deal & lose your EMD. Can the seller sue? yes. Will they sue? Not likely.

2. Depending on what type of relationship you have with your lender you can have them disapprove the loan to protect your EMD.

3. Close on the property- Purchase a Home Owners Warranty to cover the HVAC.  If the HVAC goes out the warranty will pick up the repair and/or replacement. It will not cover foundation issues

Thankfully, no EMD was used in this during this deal.

If its unlike for them to sue, how does situations like this normally play out if Buyer doesnt want to terminate? Thank you for the helpful info! 

Quote from @Caleb Brown:

You are past your inspection contingency so if you cancel you are not protected. You can try to see if they'd let you out but you'd lose your EMD. On the foundation I would have had an engineer come out if you had concerns. Settling is common and you often don't do anything with older properties unless the foundation walls are coming in. What is the property worth when you are done? Is it a hold? Do you have money to repair if needed? HVAC could last another year or 5 but on any property you need to be prepared for larger expenses to come up during ownership.

I’m required to put down 3.5 down which I haven’t yet. I have well over 10K put aside liquid. Per inspection the HVAC was from 2009. 

worried if the place is hiding a smell of some sort because there were several plug ins in the home as well. It was appraised for $130K which is what they’re asking. 

Hi, 

I’m a newbie, buying first property but in need of advice. Below is the backstory, 

I have a house under contract that I admired the remodel, got an inspection and a lot of things were wrong with that property. Though, the HVAC has reached its life expectancy per inspection report - It was recommended that it gets serviced and clean. (Still awaiting Seller to confirm report it’s been done as she agreed to the inspectors recommendation but has mentioned she’s not replacing it) In additional to the foundation has shifted and need reconstructed due to a lot of slopping in the home (My agent said it comes with wear and tear, so they might argue that their not going to fix it so I didn’t put it on the IRSA to repair). However, everything on the inspection report - Seller agreed to fixing. It’s taking Seller a while to provide the HVAC report but while time passes after due diligence - Flooring cost is way too expensive at the price point they’re asking for 130K + Care of property never took place till decided to sell so I’m not comfortable any longer - Home sits on corner lot on a slight hill with crawl space - Lots of weather changes has caused the home to settle + improper supports needed. I’d rather pass this problem off & keep shopping options. 

I’m aware I should’ve backed out when the inspection was done but thinking I could bare the cost - it’s not sustainable for the goals I have with this property. I’d rather terminate due to foundation issues and high possibility I’d have to replace the HVAC in my first year of ownership. Agent has explained, I’d potentially be sued because I agreed to them fixing everything then backing out in the middle of repairs. I thought better to terminate in the middle of repairs prior to them completing everything + Owe appraisal fees to Lender.  

What type of trouble am I in? Any feedback is appreciated! Never bought home before and learning as I go. 

Hi Everyone,

I’ve been presented with an arbitrage deal located in the heart of Downtown ATL. This 1500 square foot single-family home has 4 bedrooms and 2 bathroom conveniently located less than a mile from the city's major universities and attractions. 

This would be a lease takeover from previous Host no longer interested in STR but reselling operation that's turnkey. This opportunity includes professional cleaners, 24 hour reps for customer support, software setups, digital locks/all current furnishings to start right away, STR insurance will be transferred upon agreement.

Im a 4 year experienced Host looking to add another location under my belt, I’d love to go more into analytics with the individual who might see this as an opportunity they’d be interested in exploring. 

Please PM or comment! Will send all additional listings, expenses, avg occupancy rate, profit margin numbers to you direct. 

Thanks! 

Quote from @Josh Green:

Hi David,

STR realtor here! I moved from #1 on your list to #7 on your list and the opportunities and occupancy rates here in Pinellas/Hillsborough county FL are wild - so much space to cash flow.

 Hello! I’d love additional info and ask a few general questions, may I pm you? 

Quote from @Greg Pickett:

Hey Sara! The Denver area is a great option. For STR you are going to want look in Arvada or Wheat Ridge! Potentially Centennial too but you could run into problems with all the HOA's!

Hi I'm interested to know more info on Denver STR, general questions. May I send pm?

Quote from @Luka Milicevic:

@Manwell Reyes

I haven't personally done one, but have several clients that have a bunch. 

There is definitely a market for mid term rentals in the Nashville area due to the medical hub of West end and several other large hospitals in the area. There is the obvious expense of furnishing the rental. You also don't have to deal with any STR regulations since you're a 30 day+ rental.

I have several property managers I can recommend. They actually have contracts with corporate clients and so your pool of prospective renters are higher. The thing is, if you want access to their corporate clients then you have to furnish the property with their furniture packages. The furniture packages they have are very expensive, but it supposedly adds 25% to your total bookings. 

 I’d like additional info as well

Quote from @Manwell Reyes:

Quote from @Luka Milicevic:

Quote from @Manwell Reyes:

Quote from @Luka Milicevic:

@Manwell Reyes

I haven't personally done one, but have several clients that have a bunch. 

There is definitely a market for mid term rentals in the Nashville area due to the medical hub of West end and several other large hospitals in the area. There is the obvious expense of furnishing the rental. You also don't have to deal with any STR regulations since you're a 30 day+ rental.

I have several property managers I can recommend. They actually have contracts with corporate clients and so your pool of prospective renters are higher. The thing is, if you want access to their corporate clients then you have to furnish the property with their furniture packages. The furniture packages they have are very expensive, but it supposedly adds 25% to your total bookings. 

That sounds pretty amazing. Do the management companies have to view the property first? I’d love to get in contact with them if that’s possible? 

 Send me a DM and I'll send you my managers.

Awesome! Sent you some messages. Appreciate you 

Quote from @James Carlson:

@Manwell Reyes

I'll be interested to hear how others who are local to Nashville feel about it. From what I hear, that's a pretty thriving real estate market and attractive place for young working professionals, which sounds a lot like Denver where we are. We have medium-term rentals in Denver (and Colorado Springs), and they do really well. We've had all kinds of mixes -- 1/1 condos, 3/2 condo, 2/2 SFH, and 4/2 SFH, and they've all performed well for us.

If you go that route, you might pick up "Erin's Guide to Midterm Rentals." It's a fast read and gives some great tips and checklists for setting up and operating your MTR. 

Whatever you decide, I wish you the best. Cheers.

Hi Erin, 

I’d love to hear a follow up story on how Denver is treating mid terms around a time like this. Any pros and cons you can share? Greatly appreciated.