Airbnb Rental Advice?
My wife and I are planning to rent out an older airstream in the Hill Country of Texas (between San Antonio and Austin) with views of mountains or on a river (prime location). Year round rental targeted couple's getaway.
According to data from Airbnb (purchased), we'll on average be able to rent it out for $110-$130 on weekdays and $130-$180 in the weekend. Occupation rate between 50%-80% (top 10% of properties). The numbers depend on the specific location in the area and vary a lot. Average nights booked will be 2 nights (assumption). Thought about 2 nights min. to lower turnovers, but could have the opposite effect too.
We've seen an airstream for $15K in great condition. We're still looking for a place to put the airstream, though. We want to rent land instead of buying. Land is getting expensive in this area and not a lot for sale, so that made me think it'll be too expensive to own vs. leasing. Rent will cover land expenses (property taxes, utilities, etc.).
We'll be managing the property from Houston, TX (3 hours away). We'll install wifi controlled A/C, install a keyless lock and hire someone to clean the place. We believe it'll be difficult or very expensive to find someone to come clean the property out in the country and be available on short notice. I was hoping to get away with $40/clean-up.
Revenue: $2,000 (50% occupied) - $3,000/month (80% occupied). $24,000-36,000/year.
Expenses (assumptions): $40/clean-up (have no clue), utilities $50/month (have no clue), internet and netflix $80/month, land rental $500/month, Airbnb fee 3%, food and beverage supply $5/booking (too much?).
Cash Flow: $1,000/month (50% occupied) - $1,800/month (80% occupied). It seems too good to be true and I don't like that. I like to be very conservative in my calculations.
Would you do anything different and why?
Any advice on how to find land to lease or other ways to place an airstream on a prime location?
Should we get the airstream ($15K) financed to leverage our money?
Do we need insurance?
Experience with couple's getaway outside the city? What have you experienced is different from other types of short term rentals?
Should/should not get my cleaning fee covered? Maybe partial covered?