Airbnb advice - newbie
BP Fam,
New England Investor interested in purchasing an Orlando condo to Airbnb. Any advice, tips or tricks. Looking at 2 to 3 bedroom condos. Any comments on potential profits?
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#3 Short-Term & Vacation Rental Discussions Contributor
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Sure Orlando great rental area. Not sure about condos though usually hear about SFH there. There are a TON of rentals so you have to do better than the completion to get action. All about Disney!
Interesting! I just assumed a condo could have amenities similar to a hotel but added bedrooms for a larger family. Will Look into some SFH in areas that allow STR. Thanks!
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Calling @Shawn McCormick! He knows a ton about the area @Steve Wolfrey.
Thank you @Michael Baum
@Steve Wolfrey. There is a lot to go over here in regard to what your experience is, budget, risk level, how you will use the property and overall expectations. This is a crowed market, so making sure you understand what it takes to be successful is critical.
Happy to discuss this further anytime.
Best of luck!
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Condos are a dime a dozen so more competition, but they have more rules and fees.
Quote from @Steve Wolfrey:
BP Fam,
New England Investor interested in purchasing an Orlando condo to Airbnb. Any advice, tips or tricks. Looking at 2 to 3 bedroom condos. Any comments on potential profits?
I generally suggest you stay away from smaller condos. With smaller condos you are directly competing with the tens of thousands of hotel rooms that are available in the area. The short-term rentals in the Disney arean that have great returns on investment tend to be larger single family homes and resorts style communities. There are whole communities that are designed around the vacation rental market here in the Disney area. If you focus on acquiring a 5 plus bedroom single family home with a private pool in a resort style community and higher a fantastic operator or do the hard work and setting up the systems and processes yourself for operating remotely you should be able to turn a decent profit.
would start by finding out if they are allowed much of Orlando has laws against short term rentals or strict rules about how they can be run and where
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You sure about condos? Even though they may allow STRs right now, that can change in a heartbeat. I assume in an area like yours, they are pretty well accepted, but you gotta really make sure about the HOA board...
Any way you can do a small house?
Quote from @Bruce Woodruff:I am open to Single family. I am also researching storm damage homes. Have flipped homes but looking to get into Rentals that cash flow without having to pay for the whole thing in cash.
You sure about condos? Even though they may allow STRs right now, that can change in a heartbeat. I assume in an area like yours, they are pretty well accepted, but you gotta really make sure about the HOA board...
Any way you can do a small house?
Take a look at the properties already analyzed as STR's here
https://awning.com/a/search?in...
I can make an introduction via DM to a local STR agent as well
Hi Steve! The Orlando/Disney market is different than most markets. My team mates and I specialize in, and own, short term rentals in the area. Condos can be tricky as most are 'non warrantable'. You are correct in that they have amenities similar to hotels. And so do many of the townhomes and SF homes, which we do find to be a major factor in generating higher returns. There are many things to consider when investing anywhere. We know the short term market here and are happy to help in any way possible. Please feel free to DM me anytime and best of luck!
Quote from @Steve Wolfrey:
BP Fam,
New England Investor interested in purchasing an Orlando condo to Airbnb. Any advice, tips or tricks. Looking at 2 to 3 bedroom condos. Any comments on potential profits?
Are you going to be buying them with a DSCR loan or can you qualify with a conventional investment mortgage? If you are going to DSCR them, buying a condo might be tough because the HOA's are usually high and the rate is also going to be higher due to the property being a condo. ON a DSCR loan the entire mortgage payment, needs to be higher than the mortgage payment so the two factors I listed above are going to make this property harder to ratio. If you are going the conventional route, I am going to assume you make a decent income and this may not be a factor. If you are going DSCR, I would suggest a townhome. Please reach out with any questions.
Can be a tricky market with so much competition. Unless you know (or someone you trust) knows an angle that most other seeing could be an uphill battle.
I’d do a ton of research, spend time in the area and try to assure profitability as much as possible on the numbers.
Best of luck!