Real Estate Crash thread

[Core Shot]

I hear ya, I am not real sure I want people in my home for a month or two a year regardless of rent received. My area has many properties listed for rent, but per the cities rules you can't rent out a property for less than 28 days, so I am guessing most properties rent out for 2 months in the summer and then maybe another month a year for most listings on Air B&B and VRBO in 92118.

We should have a primary home rental thread.

Did four weeks this year. It was interesting.

Pros. Finished construction projects. Declutered. Deep cleaned. Made serious coin.

Cons. Lots of work to move your personal shit out.

We kept the master closet and the garage. Piled it high and deep.
Didn’t really mind other people in my house. That was the least of it.
But they weren’t air b&b toga parties. That helped.

Moving back in has been interesting. Trying to purge again on the way back in. We all have too much stuff.

[AdironRider]

I saw one for sale in 2013 for 98k, I was all about it but my ex not so much. Fawk me...

No way a condo in Jackson was listed sub 100k in 2013, even as a foreclosure. Cheapest place I’ve seen here in 15 years was just over 200k for a condo above an industrial unit south of town.

There were some Teton Club timeshares priced that low though.

[rideit]

Seriously, we were in the market in ‘13 for investment properties, we would have bought a few. The cheapest condos on the market in 2001 were $189k (Flat Creek). And that was a flat market.

[rideit]

Really now?

How about a State with no sales tax? Gotta make up that revenue somewhere.

Or a state with no income tax.

[liv2ski]

We should have a primary home rental thread.

Did four weeks this year. It was interesting.

Pros. Finished construction projects. Declutered. Deep cleaned. Made serious coin.

Cons. Lots of work to move your personal shit out.

We kept the master closet and the garage. Piled it high and deep.
Didn’t really mind other people in my house. That was the least of it.
But they weren’t air b&b toga parties. That helped.

Moving back in has been interesting. Trying to purge again on the way back in. We all have too much stuff.

You should start it. Curious what you found to be most off putting about the experience? My neighbor across the street rents his home out 2-3 months a year. He has 3 Costco type mattresses (kept in the garage) he puts in for the tenants and removes his. Has everything steam cleaned before and after each rental along with the cleaning service scrubbing everything down. Moving all the cloths out of closets and drawers sounds like a 2 hour PITA. What else did you need to do? Thanks

[Whiteroom_Guardian]

Never said it was a horrible wasteland. I was fortunately to grow up in a nice western part of the state and my mom grew up in Ocean City so we spent summers down there. That said, the benefits really don't outweigh the negatives. A ton of mental gymnastics required to justify being there.....literally millions of people are doing it.....and about 10k people per year are jumping ship.

Wheelbarrows full of money seem great, but you have to take 3/4 of that wheelbarrow of money and immediately set it on fire the moment you get it.

Yeah the views totally suck it's a horrible wasteland.

Attachment 384633Attachment 384634

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[Benny Profane]

Our property taxes are semi high, in the village (we are town), they are higher. NY recently passed retail MJ, but village politics has opted out. Town has ok'd, but the town has no real retail area so I don't see how that will work. I hope some of the MJ taxes will offset stuff like property tax adjustments in years to come.

For reference 1400sq ft home on 2 acres. $7500/yr. Good schools quaint, quiet area.

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When I lived up near Saratoga I realized the only way to own acerage was to farm or own animals of some sort. Only way to avoid five figure taxes.

[Benny Profane]

I will forever be baffled that people still live in NJ....

Work, family. And some people dig it. My buddy surfs and loves Killington, teaches there.

Bernardsville and Princeton are nice.

[Benny Profane]

https://www.theonion.com/things-nobo...use-1847614304

[Skidog]

Also NJersey

Attachment 384639

Could also take that same pic in nearly every state out of the 50....

[XXX-er]

You should start it. Curious what you found to be most off putting about the experience? My neighbor across the street rents his home out 2-3 months a year. He has 3 Costco type mattresses (kept in the garage) he puts in for the tenants and removes his. Has everything steam cleaned before and after each rental along with the cleaning service scrubbing everything down. Moving all the cloths out of closets and drawers sounds like a 2 hour PITA. What else did you need to do? Thanks

When skibro was gone 4 years on a bike tour, he rented his place so for storing his own stuff he bought a smaller 20' seacan which he had dropped in the back yard.

if you go this route make sure zoning allows it in your local

[XXX-er]

Could also take that same pic in nearly every state out of the 50....

In a small town everything is pretty close so there is something exactly like that ^^ 3 blocks from here but its not really that far to even the nicest area of houses. One end of a 4 row house newly renovated the other end with plywood over the windows, I would bet in 5 years all 4 will be renovated and occupied

[montanaskier]

Question for the real estate folks. We are going to buy a 2nd home that we plan to short term rent the vast majority of the time. What are our finance options? I’d rather not put 20% down if I could only do 15 or even 10 but I can if need be. Budget is 500k Max.


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[yeahman]

SMH

[Benny Profane]

Cash

[Woolly the Mammoth]

Johnny

[Woolly the Mammoth]

Oops, wrong thread.

[Name Redacted]

Question for the real estate folks. We are going to buy a 2nd home that we plan to short term rent the vast majority of the time. What are our finance options? I’d rather not put 20% down if I could only do 15 or even 10 but I can if need be. Budget is 500k Max.

Depends on your financial situation but you might be able to get away with 10-15% but will get better terms with 20-25% and the property will cash flow better with a bigger down payment.

[SKIP IN7RO]

[liv2ski]

Question for the real estate folks. We are going to buy a 2nd home that we plan to short term rent the vast majority of the time. What are our finance options? I’d rather not put 20% down if I could only do 15 or even 10 but I can if need be. Budget is 500k Max.


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Per the below screen shot Fannie Mae allows 10% down on a 1 unit 2nd home purchase or 15% down if buying non owner occ/investment property.

[neufox47]

Question for the real estate folks. We are going to buy a 2nd home that we plan to short term rent the vast majority of the time. What are our finance options? I’d rather not put 20% down if I could only do 15 or even 10 but I can if need be. Budget is 500k Max.


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YOLO!

But serial, get a few quotes and see what the % difference is and how much extra you’ll be paying for the 90%. I’ll swag that the increase is equal to like a guaranteed 5-7% on the additional $50k you’d have to put down to hit 20%.

[Aldo]

I will forever be baffled that people still live in NJ....

The old where would you go discussion gets complicated once your roots get deep. The last few years have made it even more tricky.
Proximity always wins.

[Meadow Skipper]

The old where would you go discussion gets complicated once your roots get deep. The last few years have made it even more tricky.
Proximity always wins.

I’ve seen that time and again.

[JaytaeMoney]

Question for the real estate folks. We are going to buy a 2nd home that we plan to short term rent the vast majority of the time. What are our finance options? I’d rather not put 20% down if I could only do 15 or even 10 but I can if need be. Budget is 500k Max.


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If you have enough equity in your primary residence you could cross collateralize and potentially finance 100%

[Name Redacted]

If you have enough equity in your primary residence you could cross collateralize and potentially finance 100%

I'd definitely do your homework before going down that route. More of a tool for people looking to build a portfolio than some dude trying to buy a second home. But hey, stranger things have worked out these days. Banks are tripping over themselves to give you cheap money, I'm sure they'd love to have two assets as collateral.