Dear Sesemi STReet -

We ran the numbers - and we have formally crossed the $30M in total Oregon Real Estate Sales volume! Thanks to all of our clients and tribe members that have made our continued growth sustainable 🙂

💡Timing really is everything when it comes to the Short-Term Rental (STR) loophole.

Here’s why: to qualify, you (or your spouse) need to materially participate in the property. That means you must spend more hours on the property than anyone else. Yes, even more than your cleaners or property managers.

The good news is that the second half of the year can be the perfect time to buy.

▷When you first acquire a property, all the hours spent setting it up, furnishing, listing, marketing, and preparing for guests may count toward your participation.

▷ Early on, you are not competing with endless cleaner turnover hours that build up over a full year.

▷This makes it much easier for your hours to be the highest, which is the one of the keys to unlocking STR tax benefits.

If done correctly, this timing can help you qualify for the loophole and potentially use depreciation from your short-term rental to offset W-2 or active income in 2025. That can mean thousands of dollars in tax savings while building a profitable rental.

🚩We have noticed a significant uptick in the pace of prime STRs going under contract - if you’re in the market for a 2025 STR acquisition our recommendation is…preparation - creates opportunity. Schedule your 15 minute consultation here!

📉 Mortgage Rates Plummet to 2024 Levels

In general, weaker jobs numbers prompt investors to buy bonds. When investors buy bonds, the price of those bonds goes up. When bond prices go up, rates go down.

Yesterday’s net effect is an average top tier 30yr fixed rate drop from 6.45% yesterday to 6.29% today. This is back in the same range as the low rates in the Fall of 2024.

Anticipate buyer activity and competition to accelerate as rates drop - by some estimates a 1% (now .75%) reduction in the average 30 year mortgage rate could add 500K+ buyers to the US market.

👁‍🗨 Why use an STR-focused broker

🎯 HOT Sheet: 9 of 10 of our STR sales are first found on our exclusive and invite-only cheat sheet: Request access and visit sesemisheet.com

"For the last 2.5 years, AJ has been keeping an eye on a property that suited my family's needs. He sent me several, never pressuring us to make a decision. Our conversations centered on data and a strong understanding of our "buy box." I highly recommend AJ as an Oregon Coast realtor.”