Newby to Short Term Rentals

11 Replies

What’s up to the Bigger Pockets Community!

I am new here! To introduce myself, my name is Aaron from Chicago, IL. I have lived my life working in the food and beverage industry. I have a strong passion for customer service and, even more, entrepreneurship!

I am beginning my journey into the world of real estate investments and I am so excited. I am beginning with tons of research. I want to build a solid foundation of knowledge and useful resources and I am looking to you all for help! 😁

Any recommendations on good STR literature? Discussion areas (I figured this would be one of the best to go to)?

What’s a good place to START?

I look forward to hearing back from EVERYONE of you. Hearing different perspectives and learning from multiple sources has a huge impact.

Thanks in advance! 🌎✌🏽

Everything you need to know is literally in this forum.  Any questions that you may ask have already been asked and answered in this forum.  Read posts from Luke Carl, John Underwood, Michael Baum and Julie McCoy. 

Don't read my old posts.  Most of them are horror stories.

Paul, horrible stories or not they are learning experiences. We learn from all types of situations. Thanks for the recommendations! 

John, I will definitely begin by reading through this forum! 

Lorenzo, thanks for the welcome. 

@Aaron Cooper learn how to do single phase and two phase wiring.  Know basic plumbing, like changing the wax seal on a toilet, replacing a garbage disposer and hot water tank.  Know how to repair a washer, dryer and fridge.  Know how to sell people.  Know how to revive overdosed people.  Know how to fight people that are intruders.  You need 3M talent.

Mechanic.

Magician.

Mindreader.

I would stress the focus on general real estate investing if this is your first purchase. Even if it's a short-term rental, the basic rules of investing, calculating a return, mortgages, insurance, and other issues still apply.

Hey @Aaron Cooper ,

Welcome! There are quite a few sites out there that will cover the basics and have some good "intro to short-term rental guides". 

I would also recommend that you spend some time on the Airdna.co website -- both checking out their blog, reports and the tool itself. It's going to prove to be very useful as you begin the process of analyzing potential properties.

Hope it all works out well for you!

I am also interested in learning more about No Documentation Loans and Investor Cash Flow loans? Any suggestions or direction for information? In regards to no doc loans and investor cash flow loans, my partner is looking to begin an STR in Honolulu, HI. Recommendations targeted for that particular market is ideal.

Originally posted by @Aaron Cooper :

I am also interested in learning more about No Documentation Loans and Investor Cash Flow loans? Any suggestions or direction for information? In regards to no doc loans and investor cash flow loans, my partner is looking to begin an STR in Honolulu, HI. Recommendations targeted for that particular market is ideal.

 Hostfinancial.com I have heard good things about for no doc loans. Not associated with them and have never used them myself but worth looking into.

Hey @Aaron Cooper , welcome to the forum. I think Hawaii will be tough for the foreseeable future. They have some very strict regs and COVID19 has stopped traveler's cold.

You can't really beat Pigeon Forge TN and surrounding area's for cashflow. Things are a bit more expensive now than a year ago but everyone who is buying seems to be doing well.

Have you and your partner come up with what you want to offer? Are you looking to do family friendly vacationing (that is what I do) or do you want to offer more hip/cool destination near fun stuff like concerts, nightlife etc? That I think is the base of your decision making. It will narrow down the field.

For example, we are in North Idaho on Lake Coeur d'Alene. I grew up there, it is about 360 miles from where we live. We go there in the early fall (we are booked solid all summer) to hang out with our whole family. It is positive cashflow now after 3 years. 2021 is looking even better. This place works for us.

Now, if I was looking for a pure investment to make cashola, I would have done something different. I could have bought in Coeur d'Alene proper instead of 35 miles downlake. Quite a bit more expensive, but I could have to 10k a week during both Ironman competitions. Just in those 2 weeks. We wouldn't have been on the lake and right in town. I might still buy something but prices are pretty high now.

Once you settle on what you want to do with your first STR, then you can really dig into where.