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Personal Finances / Buying or Selling a Home
|Subject: Re: Hawaiian rental housing market||Date: 9/5/2013 12:08 PM|
|Author: Dwdonhoff||Number: 126194 of 126649|
Unfortunately, she is currently renting some of the units to family and friends. She needs to decide whether she's going to be a "sound real estate investor" or a not-for-profit, charitable subsidized housing source for family and friends!
That may be a tough thing to do... it certainly can be tough *anywhere* to crack down (or ratchet up rents) on family & friends... but doing so in an island society, where social feedback reverberates, could be a higher hurddle than reasonable to scale for local mortals.
I re-double my suggestion to hire arm's length management... let someone unknown & unrelated become the heavy (and have the freedom to operate with dispassionate discipline, as well. Just playing it by the numbers.)
I've already decided (after consulting with a tax expert) that the like-kind exchange doesn't meet her needs. So, I'm waiting on a lending officer from one of the Hawaiian banks to get back to me with answers to a number of the questions I've posed on this board.
Being local is irrelevant with 1-4 unit residential financing... and (fair or not,) the island motivational culture is not all the snappy (in general, disclaimer-yadda-disclaimer... there are always exceptions.)
You *can* get the same rates & terms, and potentially faster & more attentive service, from a stateside broker or retail loan officer who funds in Hawaii. All the national retail lenders do.
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