Updated almost 7 years ago on . Most recent reply
First Vacation Rental Property!
Investment Info:
Single-family residence buy & hold investment in Fort Collins.
Purchase price: $400,000
Cash invested: $80,000
Vacation rental. 4 bed, 2.5 bath, 2 car. Well-located Fort Collins neighborhood.
What made you interested in investing in this type of deal?
2+ year history of very strong vacation rental bookings. Good location. Seller including all furnishings. Most importantly, came with the grandfathered short-term rental license required by the City. Hard to come by!
How did you find this deal and how did you negotiate it?
For Sale By Owner, direct contact with the seller.
How did you finance this deal?
Portfolio loan local bank, 20% down
How did you add value to the deal?
Minor cosmetic improvements. Majorly improved the online VRBO and AirBnb listings to attract more renters.
What was the outcome?
Cash flow every month since purchase! And becoming a "Premier" listing on VRBO with 5-star reviews etc.
Lessons learned? Challenges?
Probably overpaid for the home furnishings, but wanted the no-hassle so bought it furnished. Don't discount your rents for renters trying to fish for a deal! They won't treat the house well anyways.