Always long term rentals but thinking of starting Airbnb
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Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
4yQuote from @David P.:
This topic has probably been talked about alot but what do most of landlords who always done long term rentals but took the dive into short term rentals and Airbnb?
What was your experience like and is it really that much more work? I would just be hosting one single family home. My other long term rentals are very passive and rarely take up much of my time. The property is located in Los Angeles area in a city currently not requiring a permit. I was thinking I can try it out and worst case if it doesn't pan out I can just turn it into a long term rental.
It does take time. Some will tell you it only takes five minutes a week, but they're not honest. You'll answer calls and emails from people asking about the rental, payment processes, check-in times, amenities, local attractions, etc. You have to watch reservations and track payments. Arrange for cleaners. Handle calls from a guest that checked in at 10:30pm and now they can't figure out the TV remote or the A/C. You'll still have your ordinary maintenance calls for clogged toilets, lack of hot water, and maybe even some unusual ones like a crock pot that didn't properly heat and cook their casserole.
Short-term makes more money but takes more time, period. If you're not ready to accept that, stick with long-term. I own one short-term that is just 30 minutes from my house, but I still hired a manager to take care of it. My time is more important than a little more money.
The DIY Landlord Book4.7247 Reviews
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- Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes4y
Quote from @David P.:
This topic has probably been talked about alot but what do most of landlords who always done long term rentals but took the dive into short term rentals and Airbnb?
What was your experience like and is it really that much more work? I would just be hosting one single family home. My other long term rentals are very passive and rarely take up much of my time. The property is located in Los Angeles area in a city currently not requiring a permit. I was thinking I can try it out and worst case if it doesn't pan out I can just turn it into a long term rental.
It does take time. Some will tell you it only takes five minutes a week, but they're not honest. You'll answer calls and emails from people asking about the rental, payment processes, check-in times, amenities, local attractions, etc. You have to watch reservations and track payments. Arrange for cleaners. Handle calls from a guest that checked in at 10:30pm and now they can't figure out the TV remote or the A/C. You'll still have your ordinary maintenance calls for clogged toilets, lack of hot water, and maybe even some unusual ones like a crock pot that didn't properly heat and cook their casserole.
Short-term makes more money but takes more time, period. If you're not ready to accept that, stick with long-term. I own one short-term that is just 30 minutes from my house, but I still hired a manager to take care of it. My time is more important than a little more money.
The DIY Landlord Book4.7247 Reviews - 4yJay HinrichsBusiness MemberReal Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
Quote from @Nathan Gesner:
Quote from @David P.:
This topic has probably been talked about alot but what do most of landlords who always done long term rentals but took the dive into short term rentals and Airbnb?
What was your experience like and is it really that much more work? I would just be hosting one single family home. My other long term rentals are very passive and rarely take up much of my time. The property is located in Los Angeles area in a city currently not requiring a permit. I was thinking I can try it out and worst case if it doesn't pan out I can just turn it into a long term rental.
It does take time. Some will tell you it only takes five minutes a week, but they're not honest. You'll answer calls and emails from people asking about the rental, payment processes, check-in times, amenities, local attractions, etc. You have to watch reservations and track payments. Arrange for cleaners. Handle calls from a guest that checked in at 10:30pm and now they can't figure out the TV remote or the A/C. You'll still have your ordinary maintenance calls for clogged toilets, lack of hot water, and maybe even some unusual ones like a crock pot that didn't properly heat and cook their casserole.
Short-term makes more money but takes more time, period. If you're not ready to accept that, stick with long-term. I own one short-term that is just 30 minutes from my house, but I still hired a manager to take care of it. My time is more important than a little more money.
agreed your now in the hospitality business not the landlord business huge difference.. from my cheap seats what I see and talk to folks that do well with it are in areas that are known and popular vacation destinations.. My Daughter just bought a floating home on the Columbia river and that has done very well for her although I suspect deep winter will slow down. But it is a logistical heavy lift as she lives in Vegas. And this is a small town close to Astoria so finding cleaners is the main challenge so much so that my wife and I are going to go do the turn for her next weekend LOL.. Ah the things we do for our kids. - 4yJoshua MessingerBusiness MemberProperty Manager · Poconos, PA · Member since 2020 · 443 posts · 264 votes
Hey @David P.!
@Nathan Gesner, and @Jay Hinrichs answered this one perfectly. You are no longer in the landlord business but you are in the hospitality business. You will need to create different systems, outsource processes that you don't want too handle, and overall have to manage everything actively when first getting started.
It can be more rewarding to get into the STR industry if you can get your systems/processes down. But, I would ask yourself before jumping into it that it's something you are interested in doing.
If you have any more questions please don't hesitate to reach out!
Best of wishes,
Josh
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