3-unit STR prop/biz sale, valuation online rep (host status)
Brandon VukelichBusiness Member
Real Estate Broker · Tacoma, WA: 🏢 27 LTRs 🏡 3 STRs · Member since 2018 · 547 posts · 457 votes
Broker at Multifamily Properties519 Reviews
3-unit STR prop/biz sale, valuation online rep (host status)
Most Popular Reply
Andrew SteffensBusiness Member
Tampa, FL · Member since 2022 · 3k+ posts · 3k+ votesHey @Brandon Vukelich I broker sales of performing STR assests monthly. Most buyers are mom and pop so cash or business loans are not likely and will be conventional or DSCR as you noted. The property should be valued as any other Real Estate property i.e. via the comparative sales approach, not income. I often see "premiums" paid for furnishings and upcoming bookings that will likely come with it and a sort of proof of concept. You can achieve this with an appraisal gap waiver. For example:
A house has an estimated fair market value of $500k. The parties agree on this but agree to purchase the property for $550k fully furnished. You put in the contract the buyer will pay cash up to $50,000 if appraised value comes lower that agreed upon purchase price. The appraisal comes in at $510k. $510k gets mortgaged under mortgage terms and an additional $40k is paid by buyer to complete the sale.
Vacation Rentals of Florida53 Reviews
9 Replies
- 7moMike GrudzienPro MemberLender · Eugene, OR · Member since 2019 · 2k+ posts · 1k+ votes
Wow. This is an interesting dilemma. I want to see some of the solutions.
- 7moJohn UnderwoodPro MemberInvestor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
Only valued at what comps say for similar STR. No one can get a loan on anything but this.
You also can't value or transfer a superhost status. That is assigned to the owner of the account not the property. The Airbnb account is not transferable. So next person will start over with reviews etc.
Someone might be willing to pay a cash premium above appraised value of the property, or all cash?
- Real Estate Broker · Tacoma, WA: 🏢 27 LTRs 🏡 3 STRs · Member since 2018 · 547 posts · 457 votes7mo
My business partner in the property said he specifically setup our online accounts to be transferrable if someone takes over the LLC. We realize most of the time an individual buying from another individual host, needs to start all over. We went through that when we purchased the property in 2020. Here is what he found through his research, not sure how accurate it is:
The review equity premium
Your property's 405 total reviews with Superhost and Premier Host status on both platforms represent a significant intangible asset that justifies a valuation premium.
Why review equity matters:
Irreplaceable competitive moat: A new buyer cannot replicate 5 years of reviews and elite status. This creates immediate cash flow from day one, whereas a new STR takes 2-3 years to build comparable credibility.
Algorithm advantages: Superhost and Premier Host status provide:- Priority placement in search results
- "Superhost" badge drives 20-40% more clicks
- Access to exclusive promotional opportunities
- Lower platform fees and support priority
- Sustainable demand (not a flash-in-the-pan)
- Operational excellence (high ratings = repeatable systems)
- Transferable income stream (reviews stay with property)
Valuation impact: Properties with 100+ reviews and elite status command 5-10% premiums over comparable STRs. For your property, this justifies using a 5.3% cap rate (vs 5.8% market) and adds $75,000-$150,000 to business value.Category Metric Value Notes Platform performance Unit A – Airbnb 143 reviews 4.94 rating; Superhost Platform performance Unit A – VRBO 75 reviews 10/10 rating; Premier Host Platform performance Unit B – Airbnb 107 reviews 4.93 rating; Superhost Platform performance Unit B – VRBO 80 reviews 10/10 rating; Premier Host Competitive positioning Your review count 405 total reviews – Competitive positioning Typical STR property <50 reviews – Competitive positioning Your advantage 8x industry average – Business value impact Review acquisition cost $50–$100 per review Marketing + discounts Business value impact Replacement value $20k–$40k – Broker at Multifamily Properties519 Reviews- Atlanta · Member since 2022 · 712 posts · 642 votes7mo
Quote from @Brandon Vukelich:
My business partner in the property said he specifically setup our online accounts to be transferrable if someone takes over the LLC. We realize most of the time an individual buying from another individual host, needs to start all over. We went through that when we purchased the property in 2020. Here is what he found through his research, not sure how accurate it is:
The review equity premium
Your property's 405 total reviews with Superhost and Premier Host status on both platforms represent a significant intangible asset that justifies a valuation premium.
Why review equity matters:
Irreplaceable competitive moat: A new buyer cannot replicate 5 years of reviews and elite status. This creates immediate cash flow from day one, whereas a new STR takes 2-3 years to build comparable credibility.
Algorithm advantages: Superhost and Premier Host status provide:- Priority placement in search results
- "Superhost" badge drives 20-40% more clicks
- Access to exclusive promotional opportunities
- Lower platform fees and support priority
- Sustainable demand (not a flash-in-the-pan)
- Operational excellence (high ratings = repeatable systems)
- Transferable income stream (reviews stay with property)
Valuation impact: Properties with 100+ reviews and elite status command 5-10% premiums over comparable STRs. For your property, this justifies using a 5.3% cap rate (vs 5.8% market) and adds $75,000-$150,000 to business value.Category Metric Value Notes Platform performance Unit A – Airbnb 143 reviews 4.94 rating; Superhost Platform performance Unit A – VRBO 75 reviews 10/10 rating; Premier Host Platform performance Unit B – Airbnb 107 reviews 4.93 rating; Superhost Platform performance Unit B – VRBO 80 reviews 10/10 rating; Premier Host Competitive positioning Your review count 405 total reviews – Competitive positioning Typical STR property <50 reviews – Competitive positioning Your advantage 8x industry average – Business value impact Review acquisition cost $50–$100 per review Marketing + discounts Business value impact Replacement value $20k–$40k – pretty sure you cannot transfer the listing to a new owner and reviews would not transfer as well. it is against Airbnb terms of service. which honestly it should be, as the new owner was not the host who provided service. and the new owner would not be a super host, unless they already are with other properties they own or manage
- Real Estate Broker · Tacoma, WA: 🏢 27 LTRs 🏡 3 STRs · Member since 2018 · 547 posts · 457 votes7mo
Quote from @Trent Reeve:
Quote from @Brandon Vukelich:
My business partner in the property said he specifically setup our online accounts to be transferrable if someone takes over the LLC. We realize most of the time an individual buying from another individual host, needs to start all over. We went through that when we purchased the property in 2020. Here is what he found through his research, not sure how accurate it is:
The review equity premium
Your property's 405 total reviews with Superhost and Premier Host status on both platforms represent a significant intangible asset that justifies a valuation premium.
Why review equity matters:
Irreplaceable competitive moat: A new buyer cannot replicate 5 years of reviews and elite status. This creates immediate cash flow from day one, whereas a new STR takes 2-3 years to build comparable credibility.
Algorithm advantages: Superhost and Premier Host status provide:- Priority placement in search results
- "Superhost" badge drives 20-40% more clicks
- Access to exclusive promotional opportunities
- Lower platform fees and support priority
- Sustainable demand (not a flash-in-the-pan)
- Operational excellence (high ratings = repeatable systems)
- Transferable income stream (reviews stay with property)
Valuation impact: Properties with 100+ reviews and elite status command 5-10% premiums over comparable STRs. For your property, this justifies using a 5.3% cap rate (vs 5.8% market) and adds $75,000-$150,000 to business value.Category Metric Value Notes Platform performance Unit A – Airbnb 143 reviews 4.94 rating; Superhost Platform performance Unit A – VRBO 75 reviews 10/10 rating; Premier Host Platform performance Unit B – Airbnb 107 reviews 4.93 rating; Superhost Platform performance Unit B – VRBO 80 reviews 10/10 rating; Premier Host Competitive positioning Your review count 405 total reviews – Competitive positioning Typical STR property <50 reviews – Competitive positioning Your advantage 8x industry average – Business value impact Review acquisition cost $50–$100 per review Marketing + discounts Business value impact Replacement value $20k–$40k – pretty sure you cannot transfer the listing to a new owner and reviews would not transfer as well. it is against Airbnb terms of service. which honestly it should be, as the new owner was not the host who provided service. and the new owner would not be a super host, unless they already are with other properties they own or manage
Correct, I believe that applies to individuals. If a business entity owns and operates a STR or multiple STRs and someone buys the business entity, wouldn't that business profile remain in place?
Broker at Multifamily Properties519 Reviews - Atlanta · Member since 2022 · 712 posts · 642 votes7mo
Quote from @Brandon Vukelich:
Quote from @Trent Reeve:
Quote from @Brandon Vukelich:
My business partner in the property said he specifically setup our online accounts to be transferrable if someone takes over the LLC. We realize most of the time an individual buying from another individual host, needs to start all over. We went through that when we purchased the property in 2020. Here is what he found through his research, not sure how accurate it is:
The review equity premium
Your property's 405 total reviews with Superhost and Premier Host status on both platforms represent a significant intangible asset that justifies a valuation premium.
Why review equity matters:
Irreplaceable competitive moat: A new buyer cannot replicate 5 years of reviews and elite status. This creates immediate cash flow from day one, whereas a new STR takes 2-3 years to build comparable credibility.
Algorithm advantages: Superhost and Premier Host status provide:- Priority placement in search results
- "Superhost" badge drives 20-40% more clicks
- Access to exclusive promotional opportunities
- Lower platform fees and support priority
- Sustainable demand (not a flash-in-the-pan)
- Operational excellence (high ratings = repeatable systems)
- Transferable income stream (reviews stay with property)
Valuation impact: Properties with 100+ reviews and elite status command 5-10% premiums over comparable STRs. For your property, this justifies using a 5.3% cap rate (vs 5.8% market) and adds $75,000-$150,000 to business value.Category Metric Value Notes Platform performance Unit A – Airbnb 143 reviews 4.94 rating; Superhost Platform performance Unit A – VRBO 75 reviews 10/10 rating; Premier Host Platform performance Unit B – Airbnb 107 reviews 4.93 rating; Superhost Platform performance Unit B – VRBO 80 reviews 10/10 rating; Premier Host Competitive positioning Your review count 405 total reviews – Competitive positioning Typical STR property <50 reviews – Competitive positioning Your advantage 8x industry average – Business value impact Review acquisition cost $50–$100 per review Marketing + discounts Business value impact Replacement value $20k–$40k – pretty sure you cannot transfer the listing to a new owner and reviews would not transfer as well. it is against Airbnb terms of service. which honestly it should be, as the new owner was not the host who provided service. and the new owner would not be a super host, unless they already are with other properties they own or manage
Correct, I believe that applies to individuals. If a business entity owns and operates a STR or multiple STRs and someone buys the business entity, wouldn't that business profile remain in place?
i dont believe so. as i said, I think it is against their Terms of service.
- 7moAndrew SteffensBusiness MemberTampa, FL · Member since 2022 · 3k+ posts · 3k+ votes
Hey @Brandon Vukelich I broker sales of performing STR assests monthly. Most buyers are mom and pop so cash or business loans are not likely and will be conventional or DSCR as you noted. The property should be valued as any other Real Estate property i.e. via the comparative sales approach, not income. I often see "premiums" paid for furnishings and upcoming bookings that will likely come with it and a sort of proof of concept. You can achieve this with an appraisal gap waiver. For example:
A house has an estimated fair market value of $500k. The parties agree on this but agree to purchase the property for $550k fully furnished. You put in the contract the buyer will pay cash up to $50,000 if appraised value comes lower that agreed upon purchase price. The appraisal comes in at $510k. $510k gets mortgaged under mortgage terms and an additional $40k is paid by buyer to complete the sale.
Vacation Rentals of Florida53 Reviews- Real Estate Broker · Tacoma, WA: 🏢 27 LTRs 🏡 3 STRs · Member since 2018 · 547 posts · 457 votes7mo
Quote from @Andrew Steffens:
Hey @Brandon Vukelich I broker sales of performing STR assests monthly. Most buyers are mom and pop so cash or business loans are not likely and will be conventional or DSCR as you noted. The property should be valued as any other Real Estate property i.e. via the comparative sales approach, not income. I often see "premiums" paid for furnishings and upcoming bookings that will likely come with it and a sort of proof of concept. You can achieve this with an appraisal gap waiver. For example:
A house has an estimated fair market value of $500k. The parties agree on this but agree to purchase the property for $550k fully furnished. You put in the contract the buyer will pay cash up to $50,000 if appraised value comes lower that agreed upon purchase price. The appraisal comes in at $510k. $510k gets mortgaged under mortgage terms and an additional $40k is paid by buyer to complete the sale.
Good feedback on STR sales @Andrew Steffens I appreciate it. Yep, we used an appraisal gap addendum at times for certain transactions. Thanks for the reminder and suggestion!
Broker at Multifamily Properties519 Reviews
- 7moMichael BaumPro MemberOlympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
Unfortunately @Brandon Vukelich, everyone here said it best. It is worth what the comps say it is worth.
Unlike a widget company that might have contracts and existing business, a STR doesn't have that.
Past performance doesn't guarantee future results. So a buyers loan will be on the property and not the rest. Now if they go a SBA route, someone might be able to get a loan based on the systems and the property.
The reviews should not transfer. Those are for the previous owners management. The new owner could tank that place in less than a year.
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