Air BNB Arbitrage
Hello Everyone! My name is Devin and my friend and I recently started working towards an AirBNB arbitrage business. We started an LLC, got EIN and all that, business checkings with AMEX and Business Credit card with AMEX for 8k, Building business credit rn.
I guess im on here hoping to meet a couple new people who actively do this who would spare some time to meet or call and so I can pick their brain! I'm starting to get anlysis paralysis and i like to be very prepared before pulling the trigger so having some more advice and someone to talk to would be awesome!
Hey Devin, I'm a local broker and property manager (100+ Airbnb listings). We currently have 18 arbitrage in the portfolio but these are old contracts, we don't do this anymore.
"Arbitrage" means closing the gap between two asset classes. As the years have gone by, LTR rates are up and STR rates are down some, in part because of "rental arbitrage," and it makes the model much less profitable than it once was.
To build long term wealth, I'd suggest purchasing the old fashioned way.