Investment Info:

Condo buy & hold investment.

Purchase price: $170,000
Cash invested: $60,000

Old Town Scottsdale Short-Term Rental
https://www.airbnb.com/rooms/plus/38820169?preview_for_ml=true&source_impression_id=p3_1591724166_WwikkhUST8AmmYnl

What made you interested in investing in this type of deal?

My love of Old Town and personal use of Airbnb

How did you find this deal and how did you negotiate it?

Found on the MLS and negotiated directly with the seller through my agent

How did you finance this deal?

5% down FHA

How did you add value to the deal?

Complete remodel and furnishing

What was the outcome?

A short-term rental listed through Airbnb. Revenue ranges from $700 (COVID related in April 2020) to $6500 highest month so far.

Lessons learned? Challenges?

Managing contractors and designers to ensure we stay on budget and time.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

No

You should be a decorator! Nice work! Pretty sure that community has rental duration limits, possibly 30 day minimums. I assume the HOA is not enforcing?

Also, PHX open dates are priced too low, you can get $400 per night...

very cool looking place. 

Since you did a 5% down FHA, just curious how you got around the FHA requirement that you have to reside in the property as your primary residence for 1 year.

David, congrats on your condo sounds like it is going great. I am also looking into condos to air bnb in the Phoenix area and will love to hear more about your experience. Especially how you handle cleaning. Any info would be appreciated. 

David, congrats on your condo sounds like it is going great. I am also looking into condos to air bnb in the Phoenix area and will love to hear more about your experience. Especially how you handle cleaning. Any info would be appreciated. 

@David Marshall how did you get around FHA if it is a short term rental? they require owner ocuppied and it looks like you are renting the whole unit.

After doing some research, I found out that he did not buy with 5% down FHA, but rather 5% down conventional.

HOA is $385/mo but does include all utilities.

And I guess he is very lucky that the condo association allows short term rentals as most do not.

@Paul Welden what lender did he use to get 5% down for an investment property? Unless he’s actually living in one room and renting out the others.

It appears he bought it under the pretense as an owner occupant in order to get access to the 5% down payment. 
This is all assumptions based on my research and 15.5 years as a real estate agent. 

This is awesome, thanks for sharing!