How to Analyze a Short Term Rental Real Estate Investment (Step by Step Guide for Beginners)
Вставка
- Опубліковано 20 вер 2024
- We’ll help you source, analyze, and close on your first Airbnb in the next 90 days, or YOU DON'T PAY!
Book a free 15-minute discovery call with us, and let's map out your path to Airbnb success. Click here now 👇🏿
therealestater...
_______________________________________________________
Free Property Analyzing Tool - therealestatero...
Sign Up For Your Business Bank Account:relayfi.com/th... _______________________________________________________
Tony's Instagram: / tonyjrobinson
Sara's Instagram: / sararadrobinson
Absolute killer content right here! Thanks for sharing the analysis calculator with us!
Thanks so much!
I totally agree on the calculation. That is abhuge gold nugget. Many charge for such information.
I know when I make it wont charge for things because why? If im making enough miney why do I need to take others money for information i received freely once upon a time.
New subscriber, sorry for all the questions! - If price labs tells you average occupancy in your area of interest (JT here) is 50-60%, why use 80% in your analysis? seems aggressive, esp coming off 2021.
@therealestaterobinsons
Dude, I started following yall because I want to be in this busiess. Yall do a great job. I am learning. Trying to figure how to start
Omg! I was just asked to look at a property to see if it has potential and when straight to your youtube and found this video!! Thank you!!
It’s just now a time of repeating the process and looking and practicing it. Thanks for this. I thought I wanted to be a fix and flip her but now that I’m heavily involved in it it is not something I wanna do moving forward. These general contractors make things horrendous. I’m going to go the route of Airbnb for sure
Glad we could inspire you!!
EXELLENT, EXTREMELY INFORMATIONAL, EDUCATIONAL AND TOTALLY AWESOME PRESENTATION..ONE OF THE BEST I HAVE COME ACROSS. THANK YOU!
Thanks so much!!
Thanks for the content. I think you did a clear job. Have you analyzed a property that you don’t own? Using a rental property? I would be interested in seeing a long term leased property (similar to a commercial NNN lease)
Sales list price in destination markets are too inflated. The high prices are not real when the market crashes. I never owned property that was under water.
Moreover, I’m not a retail real estate investor. So I would never buy anything listed on MLS. Those are with few exceptions retail properties. I purchase properties off market or under market. If I find a property on MLS and pursue purchase it’s a distressed seller and willing to sell subto or seller financing with little or no money down out of my wallet or some other creative financing method.
How is this business model in April 2023, after many destination cities have housing market crashes going on? In my sub market Austin City Limits, housing is crashing after the peak May 2022, and with 33000 new construction apartments units coming to market any day rents are going down also.
My 2 cents.
Great and valuable insights
Awesome breakdown! Purchasing my first Airbnb this year and your calculator has been so helpful in analyzing properties! Keep going guys.
Love it!!! Thank you for this awesome video!
Great video! Occupancy tax is another big monthly expense to factor in. In Waco TX we have a 6% state, 2% county, and 7% city occupancy tax.
Great call out! In our markets, Airbnb and VRBO charge the occupancy taxes directly to the guest.
This is an excellent video share of an excellent calculator you created! Do you find that the costs, fees and income has changed drastically over the last 2 years? Do you have an up to date video of analysis? It just seems like alot homes at todays costs, do not pencil out. Plus, there is so much inventory coming on the market, especially in some areas!
By far one of the best videos on the subject i've seen
Thanks Tony. This is amazing. I m falling in love with your content. Amazing content!
Thanks so much!
Thanks Tony. Been loving the Real Estate Rookie podcast as well! What are some key differences between Price Labs and AirDNA? Do you use both, or do you prefer one over the other?
Thanks! Both are awesome tools. I've leveraged PriceLabs more recently because the data is a bit more granular. And I think it's a little cheaper than AirDNA
Very Helpful, thanks.
Best channel ever!
Nicely done Tony! Clear and concise 👌
Yes it is well constructed and simple to understand. He’s a good inspiration to watch for making content. I plan to keep watching for mine.
Thank you!! Glad to hear it was easy to digest!
@@TheRealEstateRobinsons Your content definitely giving me inspiration and motivation for my channel - thank you!
This is your best video my dude. If you could do more of exactly this that would be amazing!
Amazing video! Thanks for sharing. Saw your video with Rob this morning and have already watched 3 of your videos. You and Sara are killin it!
So glad you’re enjoying the content! Thanks so much for subscribing 😀
So thorough, You rock!! Thanks so much for the calculator as well.
You're THE BEST, Tony. Thanks for sharing all of this info!
Thank you for doing this!
Of course! Hopefully it was helpful!
I love the calculator but I didn’t see monthly supplies there. I know I can just put that in but I was curious on how much you spend. Thank you.
We wrap that in our repairs and maintenance cost! So it’s included in the 5%.
@@TheRealEstateRobinsons thank you
I do have a few questions (possibly for another video). Do we need a property manager if our Airbnb is not in the same state where we live? Or can we manage long distance? What does a property Airbnb manager do? Does Airbnb offer that? Or do we need a real estate agent? How much do they charge? Is it worth it? Thank you so much in advance!!
We have a video coming out in a few weeks about self managing your properties remotely!
@@TheRealEstateRobinsons Thank you so much!! Looking forward to it!!
Thank you so much you won a new subscriber!
This video is super legit. Excellent for a newb like me.
Great video and thanks for the spreadsheet.
Love the video editing! Very professional!
Very helpful, Tony. Thanks for making the calculator available also. Grateful. - Brian
Glad you enjoyed it!
Awesome video! This really helped me understand how to analyze a property 🤌🏽
Thank you for the calculator ✅
Great information! Thanks for sharing ❤
Really excellent content!!
How much is price labs? Think it's worth buying this if I'm analyzing deals to buy in any market?
This was the EXACT video I needed!! Thank you so much!!! Excellent job!!!! Thank you, thank you, thank you!!!!!
You are so welcome!
Thanks. Good info. I've been trying to get my husband interested in rental properties that we can use as an STR most of the year. Of course it has to cash flow and this was a great description for how to figure it out
Glad it was helpful!
that was a very usefull practical real example demonstration . thanks for your video
great content man, thank you many times over
Seriously great video. I appreciate all the info you are sharing.
Good information
Hi Tony. Can you talk about how to best insure your short term rental for liability purposes as well as your advice on LLC’s?
Thx
Great video! Very informative and much appreciated
Fantastic! Thank you
Thanks for the spreadsheet and info!
Glad it was helpful!
Great video and thank you for providing your analysis tool. Appreciate you sharing your learnings! What types of lenders do you find are best to go to for Vacation Rentals?
Great info, thank you so much for sharing! Will definitely use this to analyze properties.
Great video Tony! So when you went over insurance line item it got me thinking do we need a special insurance policy since it will be. A vacation rental?
We do let our insurance company know that it’s an STR, and there’s a special add-on for this type of usage.
Great video...really well explained! Thanks for the valuable content.
I came from Robuilt - so thrilled to have found you 😆
So thrilled to have you!
Just found you guys. Third video in. Great content. Thank you!
Thanks for supporting!
Thanks man. Great info! From one Tony to another. Loving the vids.
Glad you enjoyed it!
Super helpful thank you
Do you think AirDNA is worth the subscription or do you recommend another tool? Thank you!
Question: What is the benefit of putting only 10% down and paying for the private mortgage insurance, is it just so that less money is tied up in properties or is there other benefits? I was always told to put down the 20% and not do private mortgage insurance but that advice was referring to when you buy the home that you will live in. So curious about your strategy with this. Thanks!
You got it. In theory that 20% could get you into 2 properties, which could potentially help you build cash flow faster that having that additional 10% tied into your investment. Of course you generally cannot do this more than once. Don't quote me but I think you can only have 1 vacation home mortage/your name.
@@restrjourney8694 I thought loans for vacation is based on area. So if you want a vacation property in FL, then another in the smokies, and then another in Joshua Tree for example, then you'd be able to do that
Súper helpful, thank you!
So helpful. Thanks man.
I know you can do 10% down loans for vacation/second home rentals. It sounds like you’re doing 10% down on all your Airbnb rentals - what loan type are you using ?
There are certain lenders that can do just a general 10% down investment loan. Just have to find the lenders that do and try to find the ones that have experience with investors/STR's.
Love what you do guys … very well explained and entertaining
Hi Tony how can you pay10% down payment and 3,5% interest rate " isn’t 7% interest rate more practical, also who help you push trash can out and pull it back two times in a week. Thank you
Got a little more than 1/2 way through this video, really wanted to watch, but that background music was making my head spin. Couldn’t finish. Seems like great info though if I could’ve filtered that out somehow.
New subscriber here. Great info and got some new insights. Two notes though that I might question: 1) regarding insurance, I trip out on potential emergencies that could end up being huge liabilities so I’ve been looking at proper insurance which I’ve heard can be very expensive so that insurance figure would be a lot higher. Second, I would use a 1.25% tax estimate as the taxes will be reassessed when you buy the property. Apologies in advance if Zillow does that already but I wasn’t sure if it was doing that based on asking price or the existing owners amount. Thanks again
Great analysis!
Thank you. This was extremely informative and helpful. I noticed you didn’t include this fee for the property management company in your example? This would’ve been nice to see how it affect the bottom line.
That’s is also what I noticed you did not include the property management expenses which I heard is between 15-30% of rental. Is this property management fee with the cleaning fee or without the cleaning fee included. It seems like their won’t be enough profit for the owner after all the expenses.
Fantastic content, thank you Tony
How do you turn a property 15 times per month? That’s about 3.5 different bookings per week!
How do you account for changes in the law cracking down on short term rentals? I'd like to invest but it seems that most major cities/states these days are increasingly enacting laws severely limiting the ability of people to own short-term rentals that are not also their primary residence. Curious to hear how you deal with that when it comes up/identify markets not subject to those laws/account for the risk that such a law might pop up in a place where you already own and operate an airbnb.
Great content & helpful tips. I am new to this as well & love to start something soon.
This is literally the most beautiful video I have ever watched.
This is literally the nicest comment we’ve ever had
Good stuff. Thanks
To make 18,000 a month in pigeon forge you would have to do $600 a night every night. I don’t see any air bnb for that much in that area. How are you doing this?
Justin.
Excellent info. So now that you know how much $ you’ll need and how much it will make, how would you structure a deal with an investor partner?
Hey Real Estate Robinsons. I'm a new subscriber; I saw you on The Robuilt Channel and thought I take a look, great info!! I'm working up to participating in Airbnb. Between you and Robuilt I think I'll have enough knowledge to make it work.
We love to hear it! Best of luck on your journey!
@@TheRealEstateRobinsons Thanks Much!!
Thanks so much for the spreadsheet. I was looking for the other two tabs but did not see them. Has it been updated?
I was building an Airbnb analysis calculator and this is just the video I needed! Thanks. I was wondering, on Pricelabs, does the revenue and or daily rate include cleaning cost or is it strictly the rental rate? Thanks again!
I have the same question.
Strictly the rental rate. I have to add in the cleaning cost in Guesty, the PMS
Ijust want to say thank you man.. i am out to start my journey in this soon and im just really excited about it all. Hope to catch on fast cause this seems like alot of fun. Definitely going to be watching all your videos. Ireally love how thorough you are at explaining in detail. Very easy to digest for the rookie/beginner.
If you have any other resources that you can recommend where ican learn more of this or just make like some courses thats really "beginner friendly" and i will buy it as im sure others will to. Thanks again for the content, stay blessed bro 🙏🏽
Thanks so much! So glad you enjoyed the video!
this was fantastic
Would you sign an apt lease to use for this short term rental income strategy?
Awesome content! The STR Analysis Calculator on your page doesn't have the "Rental Comps" and "Future Price" tabs. Shoud it?
6000/month divided by 185 gives us 34 nights ? That is more than a month and ypur occurs 80%?
I am not understory math! How did you get 6000/month at a 185/night with 80% occupancy?
Hi I have been follow you I have 2 Airbnb in Orlando Florida but the slow season like now August and September are veryyyyy slow I lower the price is beautiful 3/ 2 Condominiums. What advise you can give me. Best regards
Thx for the vid.
Hi, can you talk about how you are able to purchase properties with a 10 percent down payment? Typically lenders are asking for a 20-25% down payment for investment properties. Thank you
I was wondering the same any insight would be helpful
The seller carry’s back 10%
Great video. I heard you say that most of your properties you put 10% down. Are those conventional loans?
Theres vacation home morgages that are 10% down. He said it on his bigger pockets episode
With all the data you were looking at, how did the 50% average occupancy rate go to 80 in your predictions? Did I miss something?
New here! Thanks for the info. I'm interested in this industry, so starting to learn. I believe another video you mentioned having around 10 properties, where are all located? I know CA and TN. Also, when people break your things or maybe even steal, you don't contact them for reimbursement, instead take it out of your maintenance budget? What made you guys get into the business, background story or did I miss the video on your beginnings?
Just saw your video. How do you identify the most profitable cities in a certain state? I live in MD.
Great video but you skipped over the PM fees. Why is that?
Great content
Such good info!
Glad you think so!
Do you provide the form your showing?
What template did you use to build the analyzer? I tried downloading the checklist and the calculator, but both links lead me to the calculator. I'm really appreciating your video content!
Did I hear correctly that the rental averages just under $190/night plus $175 cleaning fee for an average of two days? Does the client see this billed as a single number or as two fees? Is there push back from visitors on this?
THIS WAS GREAT! I'm in the August BP Bootcamp with Ashley! Have a question that I seemingly cannot get around. How Are You Getting 3ish% Financing? Two Mortgage Brokers and one Bank have said for a 2nd home purchase, rates START at 4.3%. How do I find a better rate? Thanks huge in advance.
Note: I do not share with lenders that this will be a STR.
Just keep shopping for better rates with more lenders!
Thanks for the very good info. My wife and I are thinking about doing an Air bnb. We have our own house (it has a mortgage) plus we inherited her parents house (no mortgage) which has 6 bedrooms and is located in the mountains near a lot of wineries and a major Equestrian center but I would not call it a major tourist area. It seems like a no brainer but is it as easy as I think (all we are paying on the house is taxes and utilities)?
Which lender allows 10 percent down to purchase STR property?
I bought mine as a vacation / 2nd home with 10% down, then converted to a STR.
Love the content!! Can you please straighten the frame behind your head 😅
😂🤦🏻♀️I hate when it’s crooked and I didn’t realize until after filming!!
If you ever visit Shreveport, I would love to buy you lunch and pick your brain. Currently stationed here for the next year, but you’ve motivated me to get started with STRs.
How are you able to only put 10% down? I thought investment/second home properties require 20%?
You and your lovely wife are very brilliant.