Updated about 5 years ago on . Most recent reply
Rental Property Calculator for a Vacation Rental
Hihihihihihihi....Would anyone be able to send a few thoughts on how to use the Rental Prop Calculator to analyze a seasonal vacation renal. I'm doing this for my mother who owns a condo in Cape May, NJ. She often has 24 or so nights a year rented out to guests and the rest of the time they either use it themselves or have it winterized. The occupancy is all over the place but I do have the yearly rent revenue and expenses to use as a baseline. I'm not sure if the "%Vacancy" line item applies either since it's not a year-round occupied single tenant property. Another line item that I may need to goose in the numbers is the amount that AirBnB charges. Perhaps I could enter that in the "Property Management" cell since there isn't a traditional prop manager here? Many thanks from me and mom!
Most Popular Reply
@David Sclarow Here is a spreadsheet I have shared over the years on BP. STR's go by Occupany, not Vacancy and is really quite a different cash flow model as tenants are not paying for everything, the owner/host is. Lots of stuff to read on BP. For estimating revenue, it's simply a combination ADR (average daily rate) and Occupancy * # of available days. You can get high level ADR by looking at the booking sites for similar properties around you and a decent Occupancy rate on AirDNA for the market.
Best of luck