Selling an STR - how/where to advertise?

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Selling an STR - how/where to advertise?

Michael Lynn
Member since 2021 · 12 posts · 7 votes

Hi BP STR investors, we've listed our Hollywood, FL property for-sale as a turnkey STR. I'm looking for advice on how/where I should advertise to get the most engagement, especially with fellow STR investors. Am I able to share the listing here in BP STR?

The property has been great, and we currently have all five-star reviews. We're selling specifically to re-invest the capital into an opportunity in Texas.

Thank you!

Mike

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Robin SimonBusiness Member
Lender · Austin, TX · Member since 2022 · 5k+ posts · 4k+ votes
3y
Quote from @Michael Lynn:

Hi BP STR investors, we've listed our Hollywood, FL property for-sale as a turnkey STR. I'm looking for advice on how/where I should advertise to get the most engagement, especially with fellow STR investors. Am I able to share the listing here in BP STR?

The property has been great, and we currently have all five-star reviews. We're selling specifically to re-invest the capital into an opportunity in Texas.

Thank you!

Mike


 The FB Group "Airbnb homes for sale" is pretty popular and high-volume with potential buyers

[email protected]
Harpoon Capital514 Reviews
WebsiteView Page
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  • Robert Finn
    Realtor · San Antonio, TX · Member since 2021 · 150 posts · 107 votes
    3y

    Congrats on the upcoming sale! I'd also consider going live on your area MLS if not already. You can include pdf spreadsheet of the past 12 months revenue earned, snippets of surrounding Airdna comps, and a link to the OTA listing pages to view reviews in the additional docs section. I'd also list out all the furniture, appliances, and improvements made since ownership.

    2Reply
  • Luke CarlPro Member
    Rental Property Investor · Tennessee Florida · Member since 2016 · 4k+ posts · 5k+ votes
    3y
    MLS with a Realtor. it's not worth any more than the other houses in the neighborhood no matter how much it rents for unfortunately. Unless it's more than 5 doors then it's a hotel!
    Podcast Guest on Show From Surviving on $30/Day to 30+ Properties Thanks to Blue-Collar Skills
    1Reply
  • James Wise
    Real Estate Broker · Cleveland Dayton Cincinnati Toledo Columbus & Akron, OH · Member since 2013 · 31k+ posts · 20k+ votes
    3y
    Quote from @Michael Lynn:

    Hi BP STR investors, we've listed our Hollywood, FL property for-sale as a turnkey STR. I'm looking for advice on how/where I should advertise to get the most engagement, especially with fellow STR investors. Am I able to share the listing here in BP STR?

    The property has been great, and we currently have all five-star reviews. We're selling specifically to re-invest the capital into an opportunity in Texas.

    Thank you!

    Mike


    Put it on the MLS. It's a vacant fully furnished house. It being used as a STR in the past doesn't add value to it.

    1Reply
  • Eliott Elias
    Investor · Austin, TX · Member since 2021 · 9k+ posts · 5k+ votes
    3y

    MLS is the best place

    0Reply
  • Michael Lynn
    OP
    Member since 2021 · 12 posts · 7 votes
    3y

    Sounds good, I appreciate the feedback everyone. We've priced it fairly based on our improvements and local comps, and it's listed on the MLS - #F10356789.

    https://www.zillow.com/homedet...

    @Robert Finn thanks for the insight, we'll work on those docs this week.

    1Reply
  • Scott E.
    Contractor · Scottsdale, AZ · Member since 2010 · 2k+ posts · 3k+ votes
    3y

    The posters who are saying it being a fully furnished airbnb doesn't add value clearly don't have experience selling a short term rental before (or they don't live in a hot short term rental market).

    Homes around here that are fully furnished "turn key" short term rentals sell for as much as 50% OVER other homes in the neighborhood that are just vacant, empty homes. Not exaggerating. We're talking about neighborhoods where single family homes sell for $800K, and short term rentals in the SAME neighborhood sell for $1.25M.

    With that being said, I agree with the others that the MLS is a good place. You should work with a realtor who has experience with short term rentals. But before signing up with a realtor, call up some local property managers. Property managers have dozens of investors that they already work with, and maybe they can connect you with somebody who is looking to buy.

    2Reply
  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    3y

    I usually sell my flips on Zillow.com. Everyone looks there nowadays. 

    It will only appraise as a SFR house.

    0Reply
  • Leslie Anne Morris
    Real Estate Agent · Smoky Mountains, TN · Member since 2022 · 1k+ posts · 984 votes
    3y

    Definitely MLS first, but there are also some facebook groups with STR properties for sale that you can advertise on for free.

    0Reply
  • Bruce WoodruffPro Member
    Contractor/Investor/Consultant · San Diego / Phoenix · Member since 2021 · 12k+ posts · 15k+ votes
    3y

    I agree with @Scott E. A money-making business - with documentation - can have great value to the right person. But the trick is to sell the house as a house. Then separately sell the business as a business. 

    0Reply
  • Michael BaumPro Member
    Olympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
    3y
    Quote from @Scott E.:

    The posters who are saying it being a fully furnished airbnb doesn't add value clearly don't have experience selling a short term rental before (or they don't live in a hot short term rental market).

    Homes around here that are fully furnished "turn key" short term rentals sell for as much as 50% OVER other homes in the neighborhood that are just vacant, empty homes. Not exaggerating. We're talking about neighborhoods where single family homes sell for $800K, and short term rentals in the SAME neighborhood sell for $1.25M.

    With that being said, I agree with the others that the MLS is a good place. You should work with a realtor who has experience with short term rentals. But before signing up with a realtor, call up some local property managers. Property managers have dozens of investors that they already work with, and maybe they can connect you with somebody who is looking to buy.

    Hey @Scott E., just to be clear, if you have a fully furnished STR you get increased value?

    So if the comps are 750k all over you can sell it for 1.25m and get financed? I don't mean that people just pony up huge down payments to make it work, I mean some comes in with a normal down and you can get it appraised at 1.25 vs 750?

    1Reply
  • Scott E.
    Contractor · Scottsdale, AZ · Member since 2010 · 2k+ posts · 3k+ votes
    3y
    Quote from @Michael Baum:
    Quote from @Scott E.:

    The posters who are saying it being a fully furnished airbnb doesn't add value clearly don't have experience selling a short term rental before (or they don't live in a hot short term rental market).

    Homes around here that are fully furnished "turn key" short term rentals sell for as much as 50% OVER other homes in the neighborhood that are just vacant, empty homes. Not exaggerating. We're talking about neighborhoods where single family homes sell for $800K, and short term rentals in the SAME neighborhood sell for $1.25M.

    With that being said, I agree with the others that the MLS is a good place. You should work with a realtor who has experience with short term rentals. But before signing up with a realtor, call up some local property managers. Property managers have dozens of investors that they already work with, and maybe they can connect you with somebody who is looking to buy.

    Hey @Scott E., just to be clear, if you have a fully furnished STR you get increased value?

    So if the comps are 750k all over you can sell it for 1.25m and get financed? I don't mean that people just pony up huge down payments to make it work, I mean some comes in with a normal down and you can get it appraised at 1.25 vs 750?

    Good question. To clarify my post, a fully furnished turn-key won't necessarily appraise for more. But investors are definitely willing to pay more.

    I'm in close touch with several of these transactions lately and it even surprises me when these deals close. But there are people out there willing to pay a premium for a house when they are able to look at it like buying a business. They underwrite the properties like a commercial deal (based on the pro-forma cap rate, even though its just a single family house).

    The appraised values in these neighborhoods I'm tracking are creeping up as these transactions close and create more recorded comps. But the contract prices are still ahead of the appraised values, so traditional financing is a problem.

    I should also mention that I am referencing an extremely desirable short term rental region. An area that is walkable to one of the hottest parts of town for tourists.

    1Reply
  • Michael BaumPro Member
    Olympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
    3y

    Well that sounds a bit crazy @Scott E. to me. There really isn't a proforma cap rate with a STR. I know you can have some kind of projection if the place has a track record, but that is with the current owners. New owners might not have the chops for hospitality, make changes based on personal taste etc.

    Plus, you usually can't move that listing with reviews intact. So essentially it is a new STR with zero performance history.

    There must be some pretty flexible underwriting going on. I would have to guess that will get more difficult moving forward with prices stabilizing, LTR rates dropping a bit and interest rates staying high.

    Thanks for the clarification.

    0Reply
  • Brian Barch
    Member since 2022 · 272 posts · 253 votes
    3y

    awning.com will market it as a business to potential investors for you.  They have licensed realtors on staff

    0Reply
  • Robin SimonBusiness Member
    Lender · Austin, TX · Member since 2022 · 5k+ posts · 4k+ votes
    3y
    Quote from @Michael Lynn:

    Hi BP STR investors, we've listed our Hollywood, FL property for-sale as a turnkey STR. I'm looking for advice on how/where I should advertise to get the most engagement, especially with fellow STR investors. Am I able to share the listing here in BP STR?

    The property has been great, and we currently have all five-star reviews. We're selling specifically to re-invest the capital into an opportunity in Texas.

    Thank you!

    Mike


     The FB Group "Airbnb homes for sale" is pretty popular and high-volume with potential buyers

    [email protected]
    Harpoon Capital514 Reviews
    WebsiteView Page
    3Reply
  • Ricardo Hidalgo
    Real Estate Agent · Member since 2019 · 569 posts · 257 votes
    3y
    Quote from @Michael Lynn:

    Hi BP STR investors, we've listed our Hollywood, FL property for-sale as a turnkey STR. I'm looking for advice on how/where I should advertise to get the most engagement, especially with fellow STR investors. Am I able to share the listing here in BP STR?

    The property has been great, and we currently have all five-star reviews. We're selling specifically to re-invest the capital into an opportunity in Texas.

    Thank you!

    Mike


     Have a pro-forma ready and send it to the agents that sell in that neighborhood and contact your neighbors to see if they would buy or if they have a colleague that would consider buying in your area. Facebook, Instagram and Tik tok are good ways to push traffic sources to reach outside markets. 

    0Reply
  • Mike Eichler
    Realtor · Pocono Pines, PA · Member since 2019 · 183 posts · 108 votes
    3y

    I would totally recommend hopping into some local Facebook groups and listing it there, be sure to add as much info about it especially the past performance it has had.

    Hope this helps, let me know if you have any more questions.

    0Reply
  • Bob S.
    Real Estate Consultant · Cleveland · Member since 2020 · 6k+ posts · 3k+ votes
    3y
    Quote from @Michael Lynn:

    Hi BP STR investors, we've listed our Hollywood, FL property for-sale as a turnkey STR. I'm looking for advice on how/where I should advertise to get the most engagement, especially with fellow STR investors. Am I able to share the listing here in BP STR?

    The property has been great, and we currently have all five-star reviews. We're selling specifically to re-invest the capital into an opportunity in Texas.

    Thank you!

    Mike

    Zillow, VRBO, 
    GOOD LUCK 
    0Reply
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