I'm just wanting to ask of anyone owning/operating an Airbnb or Short Term Rental in Memphis/the Memphis area what your experience has been like? I live in Nashville, and as of late regulations have tightened up like crazy. What are the STR regulations in Memphis? Are they strict? Lax? (I suppose those answers would be relative.) Is using the Airbnb and STR strategy in Memphis viable? What are your occupancy rates like? How do you have your management/cleaning services set up? Obviously the closer you are to the hot spots I'm sure the better you do.
I'm considering pivoting my strategy a bit to aim more at doing STR's in Memphis and am just doing a bit of research before jumping all in. Any insight would helpful and much appreciated!
Thanks in advance!
Hey @Tim Bergstrom - we do Airbnb in Denver and have built out a database of information for surrounding areas. While I can't tell you what Nashville's is, I can tell you how you can get the info on the regulations. Call the city planner, ask for the planner of the day and then ask them the following three questions: 1.) do they have any rules currently on Airbnb or VRBO? If they say yes, ask them to email you the written documentation. If no, ask them if they 2.) have a limitation on rentals that are thirty days or less and 3.) if not, if they have a limitation on utilizing properties in ways not shown in the use code. Also, ask them about compliance. Good luck.
Hi @Tim Bergstrom -
I'll be curious to follow this thread, as I've considered the short term market in Memphis as well. (Currently my rentals are regular long term rental properties.)
I've watched a house across the street from me that is an AirBnB property to see how well they do - it's a 3b/2b in the University of Memphis area, and seems to have at least one occupant most weekends, but rarely during the week.
Here is a link to the Memphis city resolution passed last year regarding a 3.5% tax on short term rentals: http://memphistn.gov/Portals/0/pdf_forms/SKMBT_C65416101710140.pdf
Thanks @Erin Spradlin ! I've actually done a good bit of digging for info here in Nashville and have a pretty good handle on the regulations. But that definitely seems like a good SOP and a good checklist when researching new markets!
Yeah @Daniel Weaver , I hope some good info will pop up here. Would love to chat with you more in depth and compare notes about what we find!
Also, maybe both of you do or don't know about everbooked.com and airdna.com. But both are website resources that pull data and metrics about AirBnB stats to find out revenue, occupancy, and market info. I've used everbooked a good bit to analyze prospects here in Nashville and have started to use it for Memphis as well. You can just plug in an AirBnB url listing or an address of a listing you know of and get a bunch of info for free. Airdna is a paid service I haven't started using yet. I'd be interested to hear/see the stats on that property you were talking about Daniel.
@Tim Bergstrom - those sites look like they have great data! I'll send you a connection request so we can chat a bit more.
Hey @Tim Bergstrom I pay for the "Market Minder" service here in Denver and it runs $70 per month. I think once you decide to pull the trigger on Memphis it would be worth it to buy a month of the service to help narrow down which neighborhood you want to buy in. I use it a ton, and although the revenue numbers are extremely subjective (they include cleaning fees) it is easy to see which neighborhoods are killing it and which aren't. Good luck!
I am in Nashville as well, and after our first investment or two we were priced out of this market. We shifted our focus to short term rentals in the Gatlinburg/Pigeon Forge area and were able to scale to 5 in the course of a year. We have been crushing it. And since the Smoky Mountain area economy has been relying on the commerce of short term cabin rentals and tourism since the 60's, we feel pretty confident it would be one of the last municipalities to ever crack down on short term renting.
Most of my Memphis rentals seem to be short term
Sorry,,, just a shot at humor,, PM called about another eviction
Create Lasting Wealth Through Real Estate
Join the millions of people achieving financial freedom through the power of real estate investing