Naples, FL Short Term Investment
Investment Info:
Single-family residence other investment in Dutch Flat.
Cash invested: $20,000
This is a property we rented from a landlord and listed the home on Airbnb. We utilize the rental arbitrage model for this investment. This is a 3 Bedroom, 2 Bathroom home.
What made you interested in investing in this type of deal?
We chose this home because it's in a great location and less than a mile to the beach. The home sleeps at least 6 people, so we were interested in properties that hold more guests.
How did you find this deal and how did you negotiate it?
We found this property ourselves and spoke with the owner directly to negotiate why this would be a win-win situation for both parties. She was on-board and we signed the lease within a few days.
How did you finance this deal?
We used our own cash.
How did you add value to the deal?
We transformed the backyard into a beach backyard, we have a hot tub, fire pit, horseshoes, and a grill, making this the highlight of the home. We designed the interior with comfortable furniture, Smart Tv's in every room, and gave the place an overall beach vibe.
What was the outcome?
We're at a 93% - 100% occupancy rate per month. Our ROI per month is 250%-300%.
Lessons learned? Challenges?
Having a hot tub requires maintenance. With this amenity added to the space, we've seen an increased electricity bill and some minor repairs.
@Samantha Brett- Amazing! Thank you for sharing. Yes- unfortunately, pools and hot tubs, although great amenities for STR's and MTR's can be a hassle to maintain.
Sam,
I love the idea of transforming the backyard into a sandy beach. I live in Bonita Springs- can you share what company you used to do the backyard transformation?
That's an interesting strategy. Minimal risk and upfront investment and nice returns. Good luck!
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Real Estate Agent FL (#3302102)
- John R Wood Properties
