Investor · Spokane, WA · Member since 2023 · 31 posts · 16 votes
Hey friends,
Really struggling with paying 25-30% of our gross to a property manager on our first STR.
I love all the details that go into AirBNB (decor, set-up, marketing copy, customer service), so the only things I can really see needing help with are:
1. 24/7 emergency response person
2. Lawn care
3. Great cleaning people for turnovers who I can trust
Is that worth 30%?
Our STR is in a vacation town 40 min from us - we are very familiar with the area.
It's worth it to me. My STRs have the highest ROI of all of my investments and paying someone else to handle the calls about "the wifi no working, the hot tub isn't hot enough and how do I work the TV," is well worth it. I get to spend my time focusing on activities that grow my portfolio rather than those low ROI activities.
Freeing up your time and mental energy to focus on networking, deals and scaling will have significantly better ROI for you in the long run.
I'd say is insane to not manage your own STR! You need two key players - a cleaner and a handyman. Since you'd be managing remote, I encourage you to do your due diligence and find a cleaner that truly cares about your property. You may have to pay them a little extra but it will be completely worth it. You need someone who will take inventory every turnover and is able to constantly provide updates on things around the house that may go "missing" or need fixing. Which takes me to the handyman part , you need someone reliable who is can make themselves available at a times notice. It may take some time to set up but you will be rocking and rolling in no time!!! Best of luck! Cheers.
Simon provided a great answer.
You are also relatively close for any emergencies.
Vrbo and Airbnb already provide great software to allow you to easily self manage.
Really struggling with paying 25-30% of our gross to a property manager on our first STR.
I love all the details that go into AirBNB (decor, set-up, marketing copy, customer service), so the only things I can really see needing help with are:
1. 24/7 emergency response person
2. Lawn care
3. Great cleaning people for turnovers who I can trust
Is that worth 30%?
Our STR is in a vacation town 40 min from us - we are very familiar with the area.
High season is all summer, then slows way down.
Thoughts? What am I missing?
TIA!
Kelly
Yes it's insane. Think like managing hotel from remote while you are super busy with 6 digit W2 salary. Not worth it in my own opinion. Also you need to have some personality that suitable to this hospitability industry. If you are introvert for example, or not resourceful, even if it's located 2 miles from you, don't do it. The behavior aspect is the most important in my opinion. I am glad I outsourced the management to PMC, I don't have patience to entitled 3 days renter thats leaving negative feedback LOL