Short term rental arbitrage in Boise??

Question

Hi there everyone! So I’m looking to get into real estate investing, but I’m self employed and don’t make a lot of money. I’ve listened to podcasts about short term rental arbitrage and I have enough capital saved up to get my foot in the door and start that kind of business. My plan would be to build up more capital that I can then invest into acquiring my own properties. I’m curious if anyone has any advice or has done anything like this in the Treasure valley/Boise area (where I live) and if so, I’d love to buy you a coffee or something and ask you some questions about it. Thanks!!

Danielle

Derek H. · Answer

Danielle, don’t forget that STR arbitrage is just a job. It’s not real estate investing, it’s a job. I know you said you would do it to build capital to buy your own places, but is there a better way to build capital than buying $4,000 worth of IKEA furniture and pots and pans? Can you double down on your current self employment, something you already know and build capital quicker/easier, without outlaying capital to chase capital.

Anna Strausbaugh · Answer

Hi @Danielle McMurphy! I am not personally doing it, but I lease one of my properties to a company who does this and have a few clients who also do it. It could be very lucrative in this market if you find the right property. I'd be happy to chat about what I know.  They just gave us a long term lease offer that we couldn't refuse with great terms so we went that direction, but if you can make a sweet deal on a lease for a property then I think it's a great way to build cash with low start up costs.