dont be a douche bag. You fucking quoted yourself literally 4-5 minutes apart for apparently no reason.
I recall thinking “Every time this board has me questioning a position/belief, some absurd revelation like the people who conceive these highly nuanced deep in the minutiae criticisms of insert whatever topic don’t even fundamentally understand or know how to do normal everyday adulting. … pack another bowl.
I as well would be interested to see some of the “ALAB” takes being explained to some of the non profits I work with who do incredible work helping develop low income housing and or workforce housing. It’s been an incredible eye opener for me and part of the reason I enjoy what I do every day in working with people who do this as a calling; to provide homes to people regardless of profit.
Isn't this how it always works though? Why should the legitimate concerns of small landlords be diminished merely because of the large scale investment groups?
They shouldnt be. The point is large scale investment groups are using those legitimate concerns, that dont apply to them btw, to justify policy that benefits them. You can have carve outs that protect small landlords while also preventing institutional groups from taking advantage of tenants and the government.
Just went under contract for our first rental. About a month away from closing, but hoping to officially join the thread soon.
we just closed on our new (to us) house Monday. Plan is to rent our current home once we finish up some work and get settled in the new place. Will likely list it for rent January 1.
It's long term in GA. Really cheap, near Ft Benning, but it cash flows decent on paper. 59k, rents for $725 with long term renter in place. Has new roof and new driveway
Congrats! I hope to do the exact same whenever we move next, if we can swing the new down payment without selling
If I were in Texas I’d look into MHPs/THPs just for the population growth, transient workers in oil/gas, etc.
In Texas and some other states, oil and gas temporary housing. They make great money, can pay higher rents/get stipends. Long term, population growth/rising rents push people out, Tiny Home parks could be a nice alternative to what people typically think of when you think MHP.
Re: mobile home parks, that ship has kind of sailed. Large international groups are buying them up and squeezing residents, sometime using unsavory business practices like signing them to rent/own agreements and then terminating their rental agreement (forcing the owner to either pay the $5-10k to relocate the mobile home or be foreclosed on by the bank.)
Can buy and lease trailers or just lease the land (very little upkeep in the latter). Also some favorable tax treatment RE depreciation; can depreciate the land over 15 years instead of 27.5 IIRC.
A couple friends and I are doing the same. Also have a realtor looking for property to potentially develop one.
Indeed. Mobile home parks have great cash flow potential, but you’re catering to lower income and fixed income demographics (and the risk that entails.) There’s a market there, obviously, and sadly a growing one. But a lot of your customers are going to be living on very low margins.
I've had a property on the Olympic Peninsula for 1.5 years but my home plans fell thru due to cost of construction literally doubling -- my construction costs were approaching $450K for a 2 bed/1 bath at 1,000 sq ft (was originally quoted at $250K). So I'm pivoting to putting 2-3 tiny homes on wheels on it, which the county will classify as an "RV Park." Also, I'm filing as a RE professional this year, which I understand can reduce your tax burden by like 15-20%. As I understand it, I can write off my RE losses/expenses (i.e., depreciation) on my legal/non-RE income.
And your buddy is correct as far as I remember when I explored mobile home parks: own/maintain/rent the land but divest from ownership of the physical buildings on the slabs.
There's a development near me where they're going to substitute tiny homes for the traditional trailers and market to young people. You own the tiny home, but rent the land, pay an HOA fee for trash and upkeep, etc. You're going to start to see more of this kind of stuff sprouting up. I'd love to build one marketed toward Hispanics. People who aren't necessarily living on the margins, but can't access the traditional mortgage avenues to purchase homes.
Negative. All of my properties are in my name. Going back and forth between placing everything in an LLC or just getting good STR insurance. I know it's risky, but just haven't gotten around to it. My immediate goal is to have one RE company that pays mortgages, receives Airbnb income, pays cleaners, etc. -- all from a single account. Get two years of tax returns on that and get business loans for property if my numbers stay where I think they will.
They're cash cows. From my understanding, requires a lot of capital and aren't profitable for 2- 3 years -- but once they are, awesome business.
Have long wanted to, but haven't found one that fits the bill just yet. They get snapped up super quick when available. Never met anybody who owns one and regretted it
Renting somebody else's place is always going to be a pain in the bum because of all the restrictions they have placed on you. Unless it's your parents who have bought you a place to live in and look after. I'm giving you a clear hint on how i am dealing with rent. It's actually not so bad because my parents bought me a two bedroom house. It's up to me to work with them on all the things that i would like in the place. So far it's been really interesting.