Uproot and move to Whitefish on a STR dream?

Question

Hello all, we have recently been looking at the Whitefish MT market, it seems to be a great STR market. We have an opportunity to move to Whitefish and put 10% down, live there for a year and then turn into a STR. What is a safe way to understand the STR income potential? How much typically goes to Airbnb or any other site you might have it listed on? Looking for some advice on STR, its a newer strategy for me that I am hoping to learn more about. I want to make sure I am not chasing the shiny object because I really want to live in Montana.

Bruce Woodruff · Answer

Or just go to ABNB or VRBO and look up properties, Study the maps and area. Find out where people want to stay, close to downtown, Etc...

Austin Elm · Answer

The nightly rent rate depends upon the location, layout, bedrooms, additional amenities, etc. Be sure that you can STR according to the zoning and covenants of the property as Whitefish has zoning districts that do not allow for STR.

Local property managers will charge 25-30% of the gross rents as their fee for a short term rental. You might find some cheaper online versions, but they are still taking a good cut.

Conservatively you could estimate for 120 days out of the year at your average nightly rental rate. Could easily get to 180 days per year or more but I always like to estimate conservatively.The market is a great area for a STR as there is a lot of demand for people visiting the area for the many lakes, mountains, hikes, and Glacier National Park.

You can always call a local property manager to get an idea for your nightly rental rate or projected annual rent roll. And BP has good calculators to give you an idea of return.

Michael Glunk · Answer

@Kayla Uderitz @Austin Elm is correct in everything he has said. (He's also a great agent resource if you are looking for one. Just to give him a quick plug.) To build on the comments thus far, and being a property owner in Whitefish now for 15+ years, STRs are doable. But I haven't found them to be extremely lucrative in Whitefish. I know of a few condo STRs that do decent, but that's about it. And I don't like Condos or HOAs personally. There are strict STR areas as Austin has mentioned. In the downtown area, generally speaking, this is the Railway district. Google Whitefish zoning map and you will see where you can and can't have an STR. The toughest thing is it's very seasonal in my opinion in the Flathead Valley as it relates to STRs, but would love to be proven wrong. I continue to explore STR options, but have looked outside of Whitefish Proper and more at other alternatives.  Buying a place and building a garage apartment (where allowed by zoning) is another good option) pros and cons to this. Way easier to manage and more consistent cashflow. But the cashflow won't be huge. Happy to chat more or answer any specific questions.

Justin MacKenzie · Answer

Whitefish is an amazing place. A lot of good information already on this thread. First step is to make sure your property can be used as a STR. Find a good agent and get their opinion. Call the local planning department and ask them as well. You don't want to buy a place with a STR strategy only to find out you can't.

I would use airdna, the free version, to get an idea of what you can expect for occupancy and rates. I would then find similar airbnb listings and vrbo listings and look at their calendars. How do they look? What are they charging? Fully booked? Half? Does it match what airdna is reporting? How do they compare to your potential place? Do they have a long rental history? I'd also lookup every property manager in Whitefish can call them all and ask them what they think you should expect for occupancy and rates. I've found PM's to be extremely helpful and provide you with good intel, don't be shy ask. They want your business and you can take note of which ones are good and are responsive and helpful. Make sure to ask about lawn care, tree trimming and especially snow removal...how much should you budget for that each month.

A quick google search will tell you what % airbnb and vrbo will take.

Good luck!

Dave Stokley · Answer

Pay for the Whitefish subscription on AirDNA and see what comparable places are earning.

Jay Bunte · Answer

Do you know of any good cleaning companies that specialize in STR's in the Flathead valley?  If so can you PM me?

Andreis Bergeron · Answer

@Kayla Uderitz definitely pay the money for AirDNA Whitefish, MT info! Super helpful and typically pretty accurate.

Michael Baum · Answer

Hey @Kayla Uderitz, sounds like a nice dream! I love the Whitefish area. Do you have a property in mind? Tell us more about the place. What is it? House, condo, waterfront on Flathead? Near the ski village? How much? What's the size?

I really like Montana as well, but I like Idaho more! :)

Luke Carl · Answer

@Kayla Uderitz

Enemy method YouTube

Uproot and move to Whitefish on a STR dream?

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