In today's show, we are investigating a hot topic in the real estate investing world, we are looking at Airbnb investing and asking the question, "is it still a viable option for short-term rental investing." You cannot have a conversation about real estate investing without, eventually, having it turn to people wondering if they can take advantage of the popularity of Airbnb and VRBO as options.
Erin has been renting out properties as short-term rentals since 2014. At that time she and her, now husband, decided to serve the market and become experts in the short-term rental market.
We wanted to know if Erin thought the market is saturated. She says it really depends. You have to know your area and it varies from city to city.
One of the reasons for this is due to city codes and ordinances that prohibit short-term rentals (rentals 30 days or less).
If you are considering diving into the short-term rental market Erin suggests the following:
1. Do your due diligence.
Know the law Contact your city planner office know the HOA and other community requirements Get insurance quotes for short-term investments Include utilities and other services into the calculations Know your upfront investment and long term costs 2. Research the Market
Research the vacancy rates Research rental rates OTHER TIPS
If you are going to be a "hands-off" - hire a property manager and KEEP THEM and TREAT THEM WELL if they are good at what they do.
Provide a 24/7 way to get in touch with you in case of emergencies
Make sure you have the correct insurance for short-term rentals
OTHER RESOURCES
AirDNA - is a paid service that can give you projections on Airbnbs
Mint - great for tracking your spending
Personal Capital - tracks your spending and track your net worth
ERIN ON THE FINAL QUESTIONS
One Money Lesson Erin Has Carried Over Into Her Financial Journey
Erin's Favorite Lifehack That Brings Her Joy
Be engaged with your hobby and if you can find a way to make money doing it - DO IT!
HOW TO REACH ERIN:
James Carlson Real Estate - erin@jamescarlsonrealestate.com
Denver Graffiti Tour - erin@denvergraffititour.com
Erin's Favorite Read
7 Habits of Highley Effective People
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