All Forum Posts by: Travis Rogers

@Chris Allen thanks! I agree, definitely much more work to manage than a long term, by far! The texts, weekly or daily onsite items, etc. Well worth the 20-30%, the property just has to pencil out. Thanks again, good chatting with you yesterday! Appreciate the insight! 

@Jimmy Woodard, thanks Jimmy! It looks like my HOA prevents any leases shorter than 6 months so as of finding this out tonight, it's looking like I'll have to long term this one. I appreciate the info as at some point I hope to have at least one airbnb to diversify a bit from my long term rentals and storage. All the best to you in 2022!

@Bruce Lynn Thanks for the info. 

#1 I will look into the HOA rules today, good point, thanks. I know Texas allows them (I was working on a short term in FL last year and it fell through due to zoning back there). Will make sure HOA is ok with it

#2 I ran numbers today and I'd be the same at 3k/mo as I would long term'ing it (paying our friends $300/mo to manage (and upwards from there as the price increases above $3k), but would still need to buy furniture in addition. We do feel 3k/mo is low (50%) and could get months up to $4k at higher occupancy. Also, the benefit for me is that when I'm in Texas working on my self storage items, I could stay there (and my son loves the pool). I think I'm about $300 away from making it work and be beneficial, and that extra will probably get covered in seasonal months but hard to know for sure, we're starting with a conservative estimate to be safe. I've only and always done long terms so still figuring things out. Unfortunately the house is vacant as of today, I wish I had some time. 

Thank you for the insight sir, I appreciate it. 

Temple's a great market. It's appreciated over the last few years though (like everywhere) which makes the cash flow a little more challenging, but there are still deals. I have a few rentals and self storage down there. May be converting one long term rental to an airbnb this week. There's still good opportunity there with all of the growth and demand in that market.  I don't see it slowing down anytime soon with all of the folks moving there and commuting to Austin.

I live in Oregon and have a long term rental in Central Texas that I'm considering flipping over to Airbnb to generate some more income, and so that when I'm in Texas I can stay there, saving me money. It's a nice home in a great neighborhood and has a hot tub, community pool, etc. and it looks like it will rent well. I've met with some folks who want to manage it (take care of everything). How much should I expect to pay them? It long term rents around $2,100/mo, and they believe it will rent for $200/night, and generate $3k-$4k gross per month (we know we'll hit at least $3k and that's conservative). This would be the monthly average as I know this can fluctuate month to month. If I cover all capex and opex costs, what should I expect to pay them to fully manage? Is it a flat fee, percentage? Any suggestions would be welcome. I saw an old post on BP from 2 years ago. I'm wanting some current numbers with specifics of what is covered in the management. Thank you in advance for any advice! All the best in 2022!! #GOALS

Thank you @Andrew Postell, checking my inbox now...

Thanks @Yonah Weiss. Trying to collateralize only this property, and get as much of an amortization out of it as possible w/out risking rate increases by Spring. Not too likely rates will change much, but possible and still a risk. Appreciate the insight, thanks again.

@Andrew Postell as long as they could provide a loan that meets my standards, it wouldn't necessarily matter to me. 

@Sheila Smith Oliver will do! 

@Yonah Weiss I've went to my main lender who I've used over the years, as well as another lender I've used in the past for conventional mortgages. Both said that I don't qualify. I went back to the email response from my main loan officer/lender and you're right. It wasn't just the depreciation, it is mainly that I had 2 weeks of revenue showing a monthly loss for rent when split over 12 months, with 12 months of PITI which ends up being a large negative (even though I didn't pay 12 months of PITI). I purchased the storage facility December 18th, so only had 2 weeks of revenue that year. It looks like it is the revenue and PITI that is throwing it off, and not depreciation as I had thought. It's unfortunate because this one thing is preventing me from a conventional loan, and I'm at the best financial point in my life along with the longest job history in my life, as well as best rent prices in my life. I will probably have to wait until March when I file 2021 unfortunately.

Looking for a Texas based credit union or bank that would service a mortgage in-house. Due to a cost seg on a storage facility last year, showing a loss on paper (six-fig accelerated depreciation), I don't qualify for Fannie/Freddie, but qualify for any other type of mortgage (stable/solid income, credit, employment, cash-flow, etc.). I didn't lose money, but on paper it shows a loss (due to accelerated depreciation on the cost seg).

Looking for a 70-75% LTV on the purchase of a new home (investment), cash flow is great. Can show PNL from self storage (record year of course) and cash flow from all investments (also record year). Any bank/credit union referrals that service some loans in-house in Texas would be appreciated. Home is in the Temple Texas vicinity.

Thank you! All the best!