Updated over 4 years ago on . Most recent reply
Best STR Investments!
Getting into some analysis paralysis, so I want to hear your stories!
1. What has been your most profitable STR?
2. Where was it located?
3. How much capital was required for the initial investment?
I appreciate your insight!
Most Popular Reply
I'll preface this with I've been "strategically lucky" in riding the appreciation wave over the past 2 years, but there is opportunity in any market, you just have to know how and where to look, and be patient.
4/2 cabin in Pigeon Forge purchased in May 2020 with 10% down - $38k. Made $100k revenue in 14 months and sold last year for $265k profit not including what I made from renting. 1031 into a PCB condo and buildable land in PF.
(that was my 2nd best deal over the past 2 years)
Purchased land in PF in Oct. 2020. Built 4/3 cabin for just under $550k (cash plus private loan). Waiting on final cash out appraisal next week. Should be somewhere between $900 - $1.1. Could potentially cash out a couple hundo at 75% LTV, but I'll probably leave most of the equity in it and just take my cash invested out. I eventually want to own all my properties out right. Call me crazy, but I am a big Dave Ramsey financial peace fan.
Potential for my newest build, 6/6 pool cabin in PF, to surpass both of those in total equity created unless the market tanks in the next 12-18 months. Build for $300-350/ sf and new construction currently can go for over $450+/ sf.
I had analysis paralysis for about a year before starting. Could have bought into the marketing tanking fear during Covid, but the I thought the data said otherwise so I took my shot. Getting started and not overleveraging was the best thing I could have done. It gets a lot easier after your first deal.