Volcano? Kailua-Kona Vacation Rental+Full time rental & A VOLCANO

[Nate Morris]

My wife and I are under contract to buy an ocean view home with a 65% occupancy 4/2 Airbnb rental with a full time 2/1 rental below. It is on a steep hill and right on the 2lane Kuakini Hwy....but it performs well.

Then a Volcano happens with the subsequent media hype. Cancellation requests, tourism impact, etc.

We need a 45%-50% occupancy to break even...

Do I pull out out? How long can this last and how long to recover?

[Joel Bongco]

Aloha @Nate Morris, are you able to pull out?  If yes, I would exit the deal.   Although your property is currently not on the "High Risk" side of the Big Island, you are still going to take a big hit occupancy wise.  Its going to be a long while before things recover.