Is anyone still expanding the portfolio of STRs?
Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes
Is anyone still expanding the portfolio of STRs?
Most Popular Reply
Real Estate Agent · Colorado | stan.store/JamesCarlson · Member since 2014 · 2k+ posts · 2k+ votes
1yThe right STR property is always a good buy.
The short-term rental market, at least here in Colorado, has birfurcated. You either go:
-- Small and unique couples getaway. Think cool A-frame with awesome amenities.
-- 5br+ vacation rental for big groups.
The good-enough but bland 3br cabin just doesn't cut it anymore. My two cents, at least.
50 Replies
- 1yCollin HaysBusiness MemberProperty Manager · Gatlinburg, TN · Member since 2020 · 3k+ posts · 4k+ votes
In the Smokies, there are far more sellers of STRs than buyers. I suspect this is the case throughout the country.
I am always a buyer if the deal is right. A couple of my all-time best deals were bought in precisely the peak of the overall market. The moral to that story is, you are only looking for one deal. I tend to get myself in trouble when I go searching for deals - stretching proformas, trying to force something, etc. It's like waking up one day and deciding "Gee, I think I'll invest in the stock market today."
If you stay watchful and ready, the good deals will come to you. Anxiousness leading to a bad deal can really set your financial future back.
- 1yMike GrudzienPro MemberLender · Eugene, OR · Member since 2019 · 2k+ posts · 1k+ votes
Quote from @Collin Hays:
In the Smokies, there are far more sellers of STRs than buyers. I suspect this is the case throughout the country.
I am always a buyer if the deal is right. A couple of my all-time best deals were bought in precisely the peak of the overall market. The moral to that story is, you are only looking for one deal. I tend to get myself in trouble when I go searching for deals - stretching proformas, trying to force something, etc. It's like waking up one day and deciding "Gee, I think I'll invest in the stock market today."
If you stay watchful and ready, the good deals will come to you. Anxiousness leading to a bad deal can really set your financial future back.
I heartily agree with Collin. It's not the MARKET, it's the DEAL. It's all about the numbers.
- 1yJohn UnderwoodPro MemberInvestor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
Quote from @Collin Hays:
In the Smokies, there are far more sellers of STRs than buyers. I suspect this is the case throughout the country.
I am always a buyer if the deal is right. A couple of my all-time best deals were bought in precisely the peak of the overall market. The moral to that story is, you are only looking for one deal. I tend to get myself in trouble when I go searching for deals - stretching proformas, trying to force something, etc. It's like waking up one day and deciding "Gee, I think I'll invest in the stock market today."
If you stay watchful and ready, the good deals will come to you. Anxiousness leading to a bad deal can really set your financial future back.
Me too. I'm always looking for a deal.
- Member since 2025 · 4 posts · 7 votes1y
Quote from @Collin Hays:
In the Smokies, there are far more sellers of STRs than buyers. I suspect this is the case throughout the country.
I am always a buyer if the deal is right. A couple of my all-time best deals were bought in precisely the peak of the overall market. The moral to that story is, you are only looking for one deal. I tend to get myself in trouble when I go searching for deals - stretching proformas, trying to force something, etc. It's like waking up one day and deciding "Gee, I think I'll invest in the stock market today."
If you stay watchful and ready, the good deals will come to you. Anxiousness leading to a bad deal can really set your financial future back.
I'm new to the investing world but have been active in residential sales in North Carolina for the past 2 years. When you said "Anxiousness leading to a bad deal" I felt like that describes me when looking at properties for STR goals. I find myself falling into that trap. Thanks for pointing that out!
- Real Estate Agent · Colorado | stan.store/JamesCarlson · Member since 2014 · 2k+ posts · 2k+ votes1y
The right STR property is always a good buy.
The short-term rental market, at least here in Colorado, has birfurcated. You either go:
-- Small and unique couples getaway. Think cool A-frame with awesome amenities.
-- 5br+ vacation rental for big groups.
The good-enough but bland 3br cabin just doesn't cut it anymore. My two cents, at least.
- Rental Property Investor · Clayton, GA · Member since 2020 · 186 posts · 152 votes1yI'm generally in the i'm not going to buy camp. I just think the market is on the way down, and we will continue to see it decline only question is how much. Demand lower, supply of rentals are up, interest rates are still high, house prices are high... That said if there is a path to success right now I think your 2 bullet points are the best and smartest path to success. The question is is the profit you make on those two worth the extra work and effort over a regular long term rental (also hard to find i get it). There are a lot of headwinds right not in the STR politically state and local level. I know where i live they are being fought aggressively, even outside of laws neighbors are running people off.
Quote from @James Carlson:
The right STR property is always a good buy.
The short-term rental market, at least here in Colorado, has birfurcated. You either go:
-- Small and unique couples getaway. Think cool A-frame with awesome amenities.
-- 5br+ vacation rental for big groups.
The good-enough but bland 3br cabin just doesn't cut it anymore. My two cents, at least.
- Member since 2022 · 1k+ posts · 1k+ votes1y
Quote from @James Carlson:
The right STR property is always a good buy.
The short-term rental market, at least here in Colorado, has birfurcated. You either go:
-- Small and unique couples getaway. Think cool A-frame with awesome amenities.
-- 5br+ vacation rental for big groups.
The good-enough but bland 3br cabin just doesn't cut it anymore. My two cents, at least.
This is what I have been saying for a while now. In most markets you are either one bedroom or 5+ bedroom. Renovating a property as we speak that will have 7 bedrooms once finished. I would only buy a 2-4 bedroom property if it were in a A+++ location and/or a market where that bedroom count works the best and there is no premium for having more bedrooms. I know these markets exist, although they seem to be the exception.
As for the 1 bedroom route, at that point you are competing with hotels so you may as well be one. Buy a commercially zoned properties and build extra units with pooled amenities. The fixed costs are a killer with small properties.
- 1yGarrett BrownPro MemberRental Property Investor · Houston, TX · Member since 2024 · 519 posts · 560 votesI could not agree with this advice more. Go big or go small.
Quote from @James Carlson:
The right STR property is always a good buy.
The short-term rental market, at least here in Colorado, has birfurcated. You either go:
-- Small and unique couples getaway. Think cool A-frame with awesome amenities.
-- 5br+ vacation rental for big groups.
The good-enough but bland 3br cabin just doesn't cut it anymore. My two cents, at least.
Location and the actual deal are always going to matter, but it's a harsh climate right now.
I'm still buying and looking right now, but I am also underwriting more conservatively than ever.
Commercial real estate (boutique hotels, RV parks & campgrounds, etc) has really caught my eye recently more though. - Real Estate Agent · Colorado | stan.store/JamesCarlson · Member since 2014 · 2k+ posts · 2k+ votes1y
Quote from @Garrett Brown:
I could not agree with this advice more. Go big or go small.Quote from @James Carlson:
The right STR property is always a good buy.
The short-term rental market, at least here in Colorado, has birfurcated. You either go:
-- Small and unique couples getaway. Think cool A-frame with awesome amenities.
-- 5br+ vacation rental for big groups.
The good-enough but bland 3br cabin just doesn't cut it anymore. My two cents, at least.
Location and the actual deal are always going to matter, but it's a harsh climate right now.
I'm still buying and looking right now, but I am also underwriting more conservatively than ever.
Commercial real estate (boutique hotels, RV parks & campgrounds, etc) has really caught my eye recently more though.Yep, I remember reading this NYTimes story last year about roadside motels having a moment with hipsters buying dilapidated properties and blowing them out with style. Not sure I'm into that, but man unique is a such a huge selling point right now.
- Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes1y
Quote from @James Carlson:
The right STR property is always a good buy.
The short-term rental market, at least here in Colorado, has birfurcated. You either go:
-- Small and unique couples getaway. Think cool A-frame with awesome amenities.
-- 5br+ vacation rental for big groups.
The good-enough but bland 3br cabin just doesn't cut it anymore. My two cents, at least.
Are you personally seeing and buying quality short-term rentals at the moment? Or building them from broken properties?
- 1yJay HinrichsBusiness MemberReal Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
Quote from @James Carlson:
Quote from @Garrett Brown:
I could not agree with this advice more. Go big or go small.Quote from @James Carlson:
The right STR property is always a good buy.
The short-term rental market, at least here in Colorado, has birfurcated. You either go:
-- Small and unique couples getaway. Think cool A-frame with awesome amenities.
-- 5br+ vacation rental for big groups.
The good-enough but bland 3br cabin just doesn't cut it anymore. My two cents, at least.
Location and the actual deal are always going to matter, but it's a harsh climate right now.
I'm still buying and looking right now, but I am also underwriting more conservatively than ever.
Commercial real estate (boutique hotels, RV parks & campgrounds, etc) has really caught my eye recently more though.Yep, I remember reading this NYTimes story last year about roadside motels having a moment with hipsters buying dilapidated properties and blowing them out with style. Not sure I'm into that, but man unique is a such a huge selling point right now.
in the right area those are winners.. Like the few that are in Calistoga CA.. ( Napa Valley) were traditional air bnb is very tough to get licensed. - Real Estate Agent · Colorado | stan.store/JamesCarlson · Member since 2014 · 2k+ posts · 2k+ votes1y
Quote from @Austin Fowler:
Quote from @James Carlson:
The right STR property is always a good buy.
The short-term rental market, at least here in Colorado, has birfurcated. You either go:
-- Small and unique couples getaway. Think cool A-frame with awesome amenities.
-- 5br+ vacation rental for big groups.
The good-enough but bland 3br cabin just doesn't cut it anymore. My two cents, at least.
Are you personally seeing and buying quality short-term rentals at the moment? Or building them from broken properties?
I'm not buying anything at the moment (largely because we've got some money tied up in a Mexican property).
But my clients are almost exclusively STR investors in Colorado, and they tend to buy mostly turnkey properties. I've had one or two over the years buy something with rehab/value-add potential, but mostly we're looking for ready-to-go properties with something unique about them. An A-frame, incredible views, wall of windows, 5 or 6+ bedrooms, etc.
- Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes1y
Quote from @James Carlson:
Quote from @Austin Fowler:
Quote from @James Carlson:
The right STR property is always a good buy.
The short-term rental market, at least here in Colorado, has birfurcated. You either go:
-- Small and unique couples getaway. Think cool A-frame with awesome amenities.
-- 5br+ vacation rental for big groups.
The good-enough but bland 3br cabin just doesn't cut it anymore. My two cents, at least.
Are you personally seeing and buying quality short-term rentals at the moment? Or building them from broken properties?
I'm not buying anything at the moment (largely because we've got some money tied up in a Mexican property).
But my clients are almost exclusively STR investors in Colorado, and they tend to buy mostly turnkey properties. I've had one or two over the years buy something with rehab/value-add potential, but mostly we're looking for ready-to-go properties with something unique about them. An A-frame, incredible views, wall of windows, 5 or 6+ bedrooms, etc.
What companies provide turnkey short-term rentals?
- Real Estate Agent · Colorado | stan.store/JamesCarlson · Member since 2014 · 2k+ posts · 2k+ votes1y
Quote from @Austin Fowler:
Quote from @James Carlson:
Quote from @Austin Fowler:
Quote from @James Carlson:
The right STR property is always a good buy.
The short-term rental market, at least here in Colorado, has birfurcated. You either go:
-- Small and unique couples getaway. Think cool A-frame with awesome amenities.
-- 5br+ vacation rental for big groups.
The good-enough but bland 3br cabin just doesn't cut it anymore. My two cents, at least.
Are you personally seeing and buying quality short-term rentals at the moment? Or building them from broken properties?
I'm not buying anything at the moment (largely because we've got some money tied up in a Mexican property).
But my clients are almost exclusively STR investors in Colorado, and they tend to buy mostly turnkey properties. I've had one or two over the years buy something with rehab/value-add potential, but mostly we're looking for ready-to-go properties with something unique about them. An A-frame, incredible views, wall of windows, 5 or 6+ bedrooms, etc.
What companies provide turnkey short-term rentals?
No companies that I know of in the area. I just mean properties for sale in Colorado that are either already running as a short-term rental or are otherwise in pristine shape and only require furnishing.
- 1yMichael BaumPro MemberOlympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
Like everyone else said, it isn't the area as much (location location location still applies) but the deal itself.
We Placed an offer today on a cabin that if the offer is accepted will be an STR.
The underwriting on this purchase is leaner than any property that I have ever purchased. So why did I make an offer?
- RE is challenging everywhere
- the itch to purchase got over whelming.
- it is a nice luxury cabin in the sierras. The area has a lot of giant sequoias including one of the biggest in the world, a nice river, a cute little town, and I know a very competent (understatement) co-host that serves that area.
- it is near turn key. This is a rarity for my purchases. With greater effort/risk I should get greater return. This being near turn key, it should have lower return.
- my family can use it and if the $hit ever hits the fan, we have a place to escape to.
This definitely is not a home run purchase. My underwriting shows IRR after a couple years that exceeds the S&P lifetime by an ok margin. More of a base hit on a luxury cabin that I will be proud to own.
In addition most people consider my underwriting conservative (I consider it slightly conservative). For example, I used $500/month maintenance/cap ex which I consider my best estimate but most would consider conservative.
Expected stabilized monthly rent ratio is 2.1% (yearly 25.3%). As indicated it is a tough market so in this market, I consider this pretty good in a location I want to own. I would definitely pass if this was not a location that I want to own or if I did not have a good co-host in that area.
Good luck
- 1yArman AhmedPro MemberReal Estate Agent · Columbus Cleveland Dayton, OH · Member since 2024 · 2k+ posts · 975 votes
Yeah, it’s definitely getting tougher, but some people are still adding STRs. The key I’ve seen is buying in areas with steady year-round demand, running numbers with conservative occupancy, and making sure the deal still works as a long-term rental if needed. That way you’ve got a solid backup plan if regulations or market shifts hit.
Are you mainly looking at vacation spots or city markets?
- Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes1yDo you know anyone specific that is still adding short-term rentals to their portfolio? Does anyone in this thread know anyone specific that is systematically adding short-term rentals? In a profitable, scalable, repeatable, professional manner?
Quote from @Arman Ahmed:
Yeah, it’s definitely getting tougher, but some people are still adding STRs. The key I’ve seen is buying in areas with steady year-round demand, running numbers with conservative occupancy, and making sure the deal still works as a long-term rental if needed. That way you’ve got a solid backup plan if regulations or market shifts hit.
Are you mainly looking at vacation spots or city markets?
- Member since 2022 · 1k+ posts · 1k+ votes1y
Quote from @Austin Fowler: Do you know anyone specific that is still adding short-term rentals to their portfolio? Does anyone in this thread know anyone specific that is systematically adding short-term rentals? In a profitable, scalable, repeatable, professional manner?
IMO you are only scalable in STR if you have multiple properties in the same market because at least you can consolidate your vendors. Eventually you could create your own cleaning company to reduce cleaning expenses, and have a QC inspector to get ahead of the inevitable complaints and headaches that come from having so many units in operation.
Even then you still need a lot of units to justify investing in those personnel and having enough work to keep them consistently busy, and that is a brutal no mans land to traverse between being a small STR investor with a W2 and someone who makes their living from it exclusively.
The other scalability problem with STR is that each unit has its own mortgage, insurance policy, a property tax bill, outdoor areas requiring maintenance, HVACs that go out and cost a fortune, and many other potential expenses and time black holes that are specific and exclusive to each unit you own.
- 1yAndrew SteffensBusiness MemberTampa, FL · Member since 2022 · 4k+ posts · 3k+ votes
I had 9 coming out of COVID and did consolidate to 5 total STR's now. I have not acquired in about 2 years but am not opposed to it (in my market - Tampa there still is cash flow to be found). I think I'll look to acquire 1 before the year is out for the tax advantages.
Vacation Rentals of Florida53 Reviews - Member since 2019 · 1k+ posts · 292 votes1y
Hi Austin! I can relate - it’s been challenging to add new STRs in today’s market with higher costs and tighter competition. I’ve been focusing more on making the properties I already have perform better while still keeping an eye out for the right opportunities. Happy to connect!
- Huntsville, AL · Member since 2018 · 579 posts · 864 votes1y
@Austin Fowler - I bought my first out of state STR with a business partner in November of last year. It's been performing so well that we agreed to watch for the next opportunity, which presented itself last month - we haven't finished getting it ready yet, but we should have it active by next month. Might consider a third STR in this location in 2026 as well.
So we are not systematically buying STRs - but if the right opportunity shows up, we will pursue it.
- 1yGarrett BrownPro MemberRental Property Investor · Houston, TX · Member since 2024 · 519 posts · 560 votes
@James Carlson Same, I only buy unique places at this point. Harder to find deals, but so much easier to market online and not rely on OTA's
- Real Estate Agent · Colorado | stan.store/JamesCarlson · Member since 2014 · 2k+ posts · 2k+ votes1y
Quote from @Garrett Brown:
@James Carlson Same, I only buy unique places at this point. Harder to find deals, but so much easier to market online and not rely on OTA's
Totally agree. My best-performing client's tiny A-frame west of Colorado Springs has been visited by numerous influencers wanting those cool videos and posts. The word-of-mouth alone is driving STR business for him.
- Investor · FL · Member since 2016 · 332 posts · 388 votes1y
Honestly, I am late to see this post, because I have been too busy touring properties and working numbers in the Smokys and Emerald Coast markets this past week. After going through the over 2k Smokys listings there were only about 15 I would consider touring because my buy box is very specific (location, quality, uniqueness). In the Smokys I have decided to buy lots and build (yet again) my more unique properties. Put an offer on one lot yesterday 25% below list and have my builder looking at three more lots today. Two of these three lots are not on the market but I cold called owners after driving by Saturday.
On the Emerald Coast the numbers are tight with interest rates and property taxes (insurance is not as bad as people make it). Today I will put an offer in on one beachfront property 10% below asking as that is the only way to make numbers work. I went through yesterday for the Emerald Coast market and identified potential off market properties and started cold calling. Hopefully, one of these cold calls will pay off, but we shall see.
So if you are looking to buy be specific on your buy box and your ROI and then make offers based on that alone. Keep emotions out of it. There are good deals and don't be afraid to put in a low offer if that is the only way to make numbers work.
- Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes1y
Quote from @Account Closed:
Honestly, I am late to see this post, because I have been too busy touring properties and working numbers in the Smokys and Emerald Coast markets this past week. After going through the over 2k Smokys listings there were only about 15 I would consider touring because my buy box is very specific (location, quality, uniqueness). In the Smokys I have decided to buy lots and build (yet again) my more unique properties. Put an offer on one lot yesterday 25% below list and have my builder looking at three more lots today. Two of these three lots are not on the market but I cold called owners after driving by Saturday.
On the Emerald Coast the numbers are tight with interest rates and property taxes (insurance is not as bad as people make it). Today I will put an offer in on one beachfront property 10% below asking as that is the only way to make numbers work. I went through yesterday for the Emerald Coast market and identified potential off market properties and started cold calling. Hopefully, one of these cold calls will pay off, but we shall see.
So if you are looking to buy be specific on your buy box and your ROI and then make offers based on that alone. Keep emotions out of it. There are good deals and don't be afraid to put in a low offer if that is the only way to make numbers work.
What does your current portfolio consist of? How quickly are you looking to expand it? To what scale do you wish to expand it? What limits your rate of growth? Deal flow or capital?
- Investor · FL · Member since 2016 · 332 posts · 388 votes1y
Quote from @Austin Fowler:
Quote from @Account Closed:
Honestly, I am late to see this post, because I have been too busy touring properties and working numbers in the Smokys and Emerald Coast markets this past week. After going through the over 2k Smokys listings there were only about 15 I would consider touring because my buy box is very specific (location, quality, uniqueness). In the Smokys I have decided to buy lots and build (yet again) my more unique properties. Put an offer on one lot yesterday 25% below list and have my builder looking at three more lots today. Two of these three lots are not on the market but I cold called owners after driving by Saturday.
On the Emerald Coast the numbers are tight with interest rates and property taxes (insurance is not as bad as people make it). Today I will put an offer in on one beachfront property 10% below asking as that is the only way to make numbers work. I went through yesterday for the Emerald Coast market and identified potential off market properties and started cold calling. Hopefully, one of these cold calls will pay off, but we shall see.
So if you are looking to buy be specific on your buy box and your ROI and then make offers based on that alone. Keep emotions out of it. There are good deals and don't be afraid to put in a low offer if that is the only way to make numbers work.
What does your current portfolio consist of? How quickly are you looking to expand it? To what scale do you wish to expand it? What limits your rate of growth? Deal flow or capital?
I have 9 currently and seek to have between 13 or 14 by May. I have a few currently under contract. Honestly the only thing that limits my growth is me. I am content so I took 12 months off of acquisitions and building. I got a little bored so now I want to add properties. Adding properties is more of a hobby than a goal or sense of accomplishment/purpose/identity. I also believe this to be a good time to get some great buys. It is hard to resist some clearance pricing on properties:) There are fire sales out there...you just have to put the offer in.
- Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes1y
Quote from @Account Closed:
Quote from @Austin Fowler:
Quote from @Account Closed:
Honestly, I am late to see this post, because I have been too busy touring properties and working numbers in the Smokys and Emerald Coast markets this past week. After going through the over 2k Smokys listings there were only about 15 I would consider touring because my buy box is very specific (location, quality, uniqueness). In the Smokys I have decided to buy lots and build (yet again) my more unique properties. Put an offer on one lot yesterday 25% below list and have my builder looking at three more lots today. Two of these three lots are not on the market but I cold called owners after driving by Saturday.
On the Emerald Coast the numbers are tight with interest rates and property taxes (insurance is not as bad as people make it). Today I will put an offer in on one beachfront property 10% below asking as that is the only way to make numbers work. I went through yesterday for the Emerald Coast market and identified potential off market properties and started cold calling. Hopefully, one of these cold calls will pay off, but we shall see.
So if you are looking to buy be specific on your buy box and your ROI and then make offers based on that alone. Keep emotions out of it. There are good deals and don't be afraid to put in a low offer if that is the only way to make numbers work.
What does your current portfolio consist of? How quickly are you looking to expand it? To what scale do you wish to expand it? What limits your rate of growth? Deal flow or capital?
I have 9 currently and seek to have between 13 or 14 by May. I have a few currently under contract. Honestly the only thing that limits my growth is me. I am content so I took 12 months off of acquisitions and building. I got a little bored so now I want to add properties. Adding properties is more of a hobby than a goal or sense of accomplishment/purpose/identity. I also believe this to be a good time to get some great buys. It is hard to resist some clearance pricing on properties:) There are fire sales out there...you just have to put the offer in.
How do you fund/afford your acquisitions?
- Investor · FL · Member since 2016 · 332 posts · 388 votes1yI was military for 29 yrs with a stay at home wife. Initially we funded the first couple STRs using w-2 income and buying stuff on clearance from Walmart and selling it for regular price on ebay and Amazon. Plus we reinvested all profits for the first six years. Now it is only reinvesting profit after paying ourselves first. If you are hungry enough you will a find a way to eat. If you are hungry enough to get a deal you will find a way to fund it. I personally do not do partnerships as I have seen too many of them fall apart. Could I have been larger faster yes, but I did it peacefully and contently.
Quote from @Austin Fowler:
Quote from @Account Closed:
Quote from @Austin Fowler:
Quote from @Account Closed:
Honestly, I am late to see this post, because I have been too busy touring properties and working numbers in the Smokys and Emerald Coast markets this past week. After going through the over 2k Smokys listings there were only about 15 I would consider touring because my buy box is very specific (location, quality, uniqueness). In the Smokys I have decided to buy lots and build (yet again) my more unique properties. Put an offer on one lot yesterday 25% below list and have my builder looking at three more lots today. Two of these three lots are not on the market but I cold called owners after driving by Saturday.
On the Emerald Coast the numbers are tight with interest rates and property taxes (insurance is not as bad as people make it). Today I will put an offer in on one beachfront property 10% below asking as that is the only way to make numbers work. I went through yesterday for the Emerald Coast market and identified potential off market properties and started cold calling. Hopefully, one of these cold calls will pay off, but we shall see.
So if you are looking to buy be specific on your buy box and your ROI and then make offers based on that alone. Keep emotions out of it. There are good deals and don't be afraid to put in a low offer if that is the only way to make numbers work.
What does your current portfolio consist of? How quickly are you looking to expand it? To what scale do you wish to expand it? What limits your rate of growth? Deal flow or capital?
I have 9 currently and seek to have between 13 or 14 by May. I have a few currently under contract. Honestly the only thing that limits my growth is me. I am content so I took 12 months off of acquisitions and building. I got a little bored so now I want to add properties. Adding properties is more of a hobby than a goal or sense of accomplishment/purpose/identity. I also believe this to be a good time to get some great buys. It is hard to resist some clearance pricing on properties:) There are fire sales out there...you just have to put the offer in.
How do you fund/afford your acquisitions?
- Member since 2019 · 1k+ posts · 292 votes1y
That's a great question and I can definitely relate to how challenging it feels to grow an STR portfolio in today's market. The landscape has shifted a lot in the last couple of years with tighter regulations, rising costs, and changing guest expectations, so the old "set it and forget it" model doesn't really work anymore.
What I’ve found works best now is being really intentional about market selection (not just chasing the “hot spots”), building out sustainable operations that can scale, and leveraging dynamic pricing + tech tools to stay competitive. It’s also critical to structure acquisitions in a way that makes sense for today’s lending environment — I’ve seen too many people buy at the wrong terms and then struggle to stay profitable.
I’m actively working with owners and investors who are either expanding or pivoting into management, and I’d be happy to share what’s been working for us in acquiring and operating profitable STRs right now. If you’d like, feel free to connect — always happy to talk shop with someone serious about building in this space.
- 1yJordan RayBusiness MemberReal Estate Agent · Memphis, TN · Member since 2023 · 642 posts · 337 votes
Quote from @Austin Fowler:
Would love to connect with someone that is expanding their portfolio of STRs in today's market. I have heard lots of stories from people that have acquired STRs and has shifted to STR management or other services to this industry, but I'm really struggling to find a mentor that knows how to navigate today's market and add profitable STRs to their portfolio and is actively doing so. Is anyone on this forum currently an active STR acquirer/builder? Having success in doing this?
I’m definitely seeing more STRs popping up here in Memphis, and a newer strategy that’s taking hold is what people are calling the “AirBnBRRRR”—using the BRRRR model but pivoting the exit into short-term rentals. Even some turnkey STRs are starting to pencil out profitably in the right neighborhoods.
I personally partner with a local STR management company that has this down to a science—they handle everything from pricing optimization to guest turnover—so investors can scale without it turning into a second job.
Would love to connect with you further if you're serious about building out an STR portfolio in today's market. Memphis has some unique dynamics that make this work really well, especially when you have the right boots-on-the-ground team.
Jordan Ray - eXp Realty5110 Reviews - Member since 2022 · 14 posts · 12 votes1y
We bought last year. Pleasantly surprised with a greater than 20% COC return and over $100k gross already on the books after only launching end of 2/25. Agree with what everyone said though. Our property is unique and we went all in on design and amenities. Also very specific in what we buy now with only unique great locations with water or a view. I'm an agent, STR manager, my wife designs, so we do it all. Our properties typically outperform the market because of all of our systems and the high end design. We are looking to buy again personally and not in any market that all the gurus talk about. I tell all my clients looking to buy that it is a waste of time unless you truly have the cash to set the property up right, and the location is very hard to duplicate.
- Real Estate Agent · Worcester, MA · Member since 2024 · 107 posts · 45 votes1y
I am a STR property manager. Grew from 7 to 21 in 6 months. There are opportunities around you. 1. Find STR lists 2. Get it skip traced 3. Hire callers 4. Walk the property 5. Close
The first 3 steps can be done with VAs.
- Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes1y
Quote from @Sameul Ahsan:
I am a STR property manager. Grew from 7 to 21 in 6 months. There are opportunities around you. 1. Find STR lists 2. Get it skip traced 3. Hire callers 4. Walk the property 5. Close
The first 3 steps can be done with VAs.
Grew from 7 to 21 personally owned short-term rentals or grew your management portfolio by this amount?
- Real Estate Agent · Worcester, MA · Member since 2024 · 107 posts · 45 votes1y
Quote from @Austin Fowler:
Quote from @Sameul Ahsan:
I am a STR property manager. Grew from 7 to 21 in 6 months. There are opportunities around you. 1. Find STR lists 2. Get it skip traced 3. Hire callers 4. Walk the property 5. Close
The first 3 steps can be done with VAs.
Grew from 7 to 21 personally owned short-term rentals or grew your management portfolio by this amount?
Management portfolio. Step 1: Skip trace list 2: Have callers call 3: Walk leads and Close
- Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes1y
Quote from @Sameul Ahsan:
Quote from @Austin Fowler:
Quote from @Sameul Ahsan:
I am a STR property manager. Grew from 7 to 21 in 6 months. There are opportunities around you. 1. Find STR lists 2. Get it skip traced 3. Hire callers 4. Walk the property 5. Close
The first 3 steps can be done with VAs.
Grew from 7 to 21 personally owned short-term rentals or grew your management portfolio by this amount?
Management portfolio. Step 1: Skip trace list 2: Have callers call 3: Walk leads and Close
What does your personal portfolio consist of?
- 1yAdam BartomeoBusiness MemberReal Estate Broker · Cape Coral, FL · Member since 2015 · 2k+ posts · 1k+ votes
We got out of that business years ago. I am sure that you can do well with it in several areas of the country but in SWFL it is a train wreck.
Bartomeo Property Management4.7161 Reviews - 1yMelissa HaworthBusiness MemberReal Estate Agent · The Panhandle | The Emerald Coast | Panama City Beach | Destin · Member since 2017 · 295 posts · 110 votes
Hey Austin, I'm actively growing my STR portfolio in the Florida Panhandle, mostly around Destin and Panama City Beach. The market has definitely shifted, but there are still profitable deals out there if you're willing to dig deeper and get more strategic.
Lately I’ve been focusing on hyper-local data. Instead of relying on broad projections, I’m looking at specific neighborhoods, checking local zoning rules, and analyzing which listings are actually booking consistently throughout the year. I also underwrite way more conservatively now and plan for longer ramp-up periods or soft seasons.
I haven’t moved into management or exited the space. I’m still acquiring, just with more intention and a stricter buy box. The returns are still there if the numbers make sense.
Happy to connect and swap notes if you’re digging into similar markets or exploring the Gulf Coast.
- Investor · Warner Robins, GA · Member since 2015 · 1k+ posts · 490 votes1y
My company is currently expanding our cohosting model.
- Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes1y
Quote from @Rosston Smith:
My company is currently expanding our cohosting model.
Isn’t cohosting similar to property management where you do not own the underlying asset? Does your company own short-term rentals?
- Investor · Warner Robins, GA · Member since 2015 · 1k+ posts · 490 votes1y
Quote from @Austin Fowler:
Quote from @Rosston Smith:
My company is currently expanding our cohosting model.
Isn’t cohosting similar to property management where you do not own the underlying asset? Does your company own short-term rentals?
Yes that is correct, we do not own the underlying homes, we assist with the operations of the owners business. - Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes1y
Quote from @Rosston Smith:
Quote from @Austin Fowler:
Quote from @Rosston Smith:
My company is currently expanding our cohosting model.
Isn’t cohosting similar to property management where you do not own the underlying asset? Does your company own short-term rentals?
Yes that is correct, we do not own the underlying homes, we assist with the operations of the owners business.Are any of your owners on BP? Would love to hear their thoughts on expansion in this thread.
- Investor · Warner Robins, GA · Member since 2015 · 1k+ posts · 490 votes1y
Quote from @Austin Fowler:
Quote from @Rosston Smith:
Quote from @Austin Fowler:
Quote from @Rosston Smith:
My company is currently expanding our cohosting model.
Isn’t cohosting similar to property management where you do not own the underlying asset? Does your company own short-term rentals?
Yes that is correct, we do not own the underlying homes, we assist with the operations of the owners business.Are any of your owners on BP? Would love to hear their thoughts on expansion in this thread.
Yes sir I am an owner. We're continuing to grow, primarily in Middle GA & the greater phoenix area. At 30 SFH's and looking to scale to 100 within the next two years - Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes1y
Quote from @Rosston Smith:
Quote from @Austin Fowler:
Quote from @Rosston Smith:
Quote from @Austin Fowler:
Quote from @Rosston Smith:
My company is currently expanding our cohosting model.
Isn’t cohosting similar to property management where you do not own the underlying asset? Does your company own short-term rentals?
Yes that is correct, we do not own the underlying homes, we assist with the operations of the owners business.Are any of your owners on BP? Would love to hear their thoughts on expansion in this thread.
Yes sir I am an owner. We're continuing to grow, primarily in Middle GA & the greater phoenix area. At 30 SFH's and looking to scale to 100 within the next two yearsThat's awesome. To be clear, are the numbers you quoted for your management company? What kind of growth are you looking to see in your personal portfolio?
- Investor · Warner Robins, GA · Member since 2015 · 1k+ posts · 490 votes1y
Quote from @Austin Fowler:
Quote from @Rosston Smith:
Quote from @Austin Fowler:
Quote from @Rosston Smith:
Quote from @Austin Fowler:
Quote from @Rosston Smith:
My company is currently expanding our cohosting model.
Isn’t cohosting similar to property management where you do not own the underlying asset? Does your company own short-term rentals?
Yes that is correct, we do not own the underlying homes, we assist with the operations of the owners business.Are any of your owners on BP? Would love to hear their thoughts on expansion in this thread.
Yes sir I am an owner. We're continuing to grow, primarily in Middle GA & the greater phoenix area. At 30 SFH's and looking to scale to 100 within the next two yearsThat's awesome. To be clear, are the numbers you quoted for your management company? What kind of growth are you looking to see in your personal portfolio?
Yes they are. I've sold my SFH's and MFHs (5 units) and am focusing solely on growing my cohosting company. I plan to exit in around 5 years and purchase some class B multifamily around 100 doors. Search up Brooke Pfautz book on STR management and that's essentially my focus.
- Property Manager · Chattanooga, TN · Member since 2018 · 179 posts · 135 votes1y
The deals I'm seeing that work are twofold...basically a house flip into STR. One example is an older, dated home that has been on the market with multiple price reductions. Maybe it has a pool and a large yard where amenities can be added. Perhaps it has an unfinished basement that can be finished. Maybe it's a small cabin where you can add a huge porch with a hot tub, daybeds, hammocks, and bar seating. I'm not seeing any turnkey STRs that would cash flow. It seems common for those to have an asking price with a 10% gross revenue to purchase price ratio, which is a recipe for losing money, except for the best 1-3 months of the year.
- Investor · Reseda, CA · Member since 2019 · 297 posts · 151 votes1y
Quote from @Tyler Divin:
The deals I'm seeing that work are twofold...basically a house flip into STR. One example is an older, dated home that has been on the market with multiple price reductions. Maybe it has a pool and a large yard where amenities can be added. Perhaps it has an unfinished basement that can be finished. Maybe it's a small cabin where you can add a huge porch with a hot tub, daybeds, hammocks, and bar seating. I'm not seeing any turnkey STRs that would cash flow. It seems common for those to have an asking price with a 10% gross revenue to purchase price ratio, which is a recipe for losing money, except for the best 1-3 months of the year.
With what frequency do you see deals like this that will be worthy of acquiring? What fraction of the deals that you think would be worthy of acquiring do you actually acquire? What limits the expansion of your portfolio?
- Member since 2021 · 124 posts · 87 votes1y
Adding a few tokens for you.
If you stand out, you will make money. 99% people thought that travel industry was oversaturated. Airbnb beat all the odds and became one of the most valuable companies in the world.
Don’t overextend your business and focus on developing yourself. Your portfolio can only grow as much as you.
Expanding the number of houses is not only way to expand your portfolio. Your existing property often has the most potential to increase your income. - Lender · United States · Member since 2020 · 1k+ posts · 499 votes1y
After that recent STR hike in fees, I expect less activity in the space. It'll still thrive, but Airbnb has already been more expensive than hotels for the last 2 years, and they just added to it.
- Property Manager · Erie & Millscreek PA | Maggie Valley & Haywood County NC · Member since 2024 · 264 posts · 119 votes1y
Hey Austin! I hear you, the STR market has definitely shifted, but there are still investors actively building portfolios. A few things I've seen work in today's market:
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Focus on cash flow-friendly markets: Look outside major metros where STR regulations are strict, and pick areas with high occupancy rates and strong tourism or business travel demand.
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Leverage property management: Either in-house or through specialized STR management companies, this is key to scaling without burning out.
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Buy undervalued or off-market properties: You can still find deals where the numbers work even in competitive markets.
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Know the regulations: City rules and HOA restrictions are critical. STR compliance mistakes can eat profits fast.
If you want, I can also put together a short list of tips for finding active STR mentors and networks that have been a game-changer for many investors.
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