AirDNA and STR revenue projections

[Frank Calderaro]

I’ve been some deal analyses for short term rentals with the AirDNA tool. Can anyone speak to the accuracy of their projections? One property I’m am looking at shows approximately $106k in annual revenue, but the realtor on the property is showing an $81k potential based on historical for the property.

For those using AirDNA, what are your thoughts about how much you can rely on their projections when doing analyses and making purchase decisions?

Thanks.

[Luke Carl]

This question is asked so often I feel like Bill Murray learning to play the piano. 

I would run your numbers based on the 81k which sounds like it’s rental history. Whatever the property did in the past you will do much better. I’m guessing the return is just fine at that number. 

In STR, if you're doing it in an actual vacation market, the question is much more "can I do this" than "will it make money"

You will be dealing with drunk vacationers in your home trying to figure out the remote to watch dirty movies at 2am. 

This is the business I have chosen. And while I’m not on the yacht at my island today @Paul Sandhu I am in my 40 foot bus towing a purple Jeep in the middle of west Texas headed to wherever the heck I want for as long as I want. Thanks to my lovely drunk guests! 

Side note: I will be over 100k gross rents in July on JUST my STRs. 7 properties. 7 of 43. Yes. Over 100k per month. Someday I’ll catch up to uncle paul.