All Forum Posts by: Eric La Pratt

This is interesting, @Ravi P. How does this fit into the recently negotiated landmark deal struck between the city and AirBnB?

@Juan Duque For 29%, they're doing literally everything except providing the unit, furniture, utilities & repairs. 29% includes cleaning, marketing, turning over, concierge services, toiletries, answering emails/calls... all of it.

Has anyone run into any issues getting licensed with the City of Chicago?

What type of vacancy rates are you seeing? Obviously more in Jan/Feb, less in peak season summer. How much do your rates vary from low to high? I would guess the number you're interested in is total revenue divided by the nights booked?

Thanks Syed Lateef ! 10k was exactly what I guessed in furnishings. I'll shoot you a note - curious to dive into this deeper for sure. I have a strong handle on the photography end of things - my previous career was as a very high end architecture and hospitality photographer - so I can get that it took 5 days for sure. Danny Duran I will text you his info for sure this morning. Keep it coming, y'all. I feel like this is an untapped subject as a search for Chicago AirBnB doesn't yield nearly as many results on BP as almost anything else and it has a massive AirBnB presence.

I have a multi-unit in a class A neighborhood in Chicago (Lincoln Square - 60625) that I am wrapping up a large rehab on right now. The property is on a remarkable block and the units really are fantastic - we've taken great care in choosing finishes and upgrading many items. The last 2 units are coming online right now and we're suddenly considering AirBnB vs. long term rental. Here's why:

An old friend of mine from the hospitality world has cofounded what I understand is the only "full-service" short-term rental property management company in Chicago and they manage over 100 units - doing everything from price adjusting to marketing to filling to cleaning. I do not believe they are paying your utility bills or ordering maintenance but they are cleaning and turning the property over day after day if necessary. They charge a 29% fee to do this - literally answering every email/message, writing feedback, acting as a concierge services, meeting tenants if necessary (normally doing lockbox/coded entry nowadays), etc.

The numbers his company prepared for me are almost too irresistible. We're talking netting roughly 50% more than I would net with long term tenants. I've run their same numbers considering if I were to property manage it myself, and the numbers are staggering. All said, I have a few detailed questions:

1. Does anyone have experience in running numbers for short term rentals that they can share how to do it?
2. For those of you who are doing this, how are you furnishing your units? How do you figure these costs? Do you rent? Buy? I would think that we would want our furnishings to similarly match the beautiful finishes we used (wherever that sweet spot is) in order to maximize our returns.
3. How are you managing the turnover/cleaning? If you do it, how do you arrange for when you are out of town?

This is a good start to hopefully getting me to a space where I can make an informed choice.

@Elliott Kim - Is this property a legal 2 unit? Have you seen the certificate of zoning compliance yet? Which unit(s) is/are non-conforming? What are their ceiling heights and are there 2 forms of egress? Lastly, how many parking spaces do you have?

Thanks all! I've done the Zillow community but need to expand - going to try the others today!

Bravo @Diego Ortega! Looks spectacular. Hoping you get that under contract soon.

I'm about to start listing my apartments - what are you using to post them for an open house?

Thanks!

I have a duplex in Ferndale I am considering options (like selling) and have a few questions for the BP community familiar with 48220. 

• 1970 sq. ft.
• North of 8 Mile, East of Woodward, West of Hilton
• 2X 2 bedroom + dining room apartments
• Rental certificate
• Fully Separated Utilities (including furnace & water heaters)
• Highly qualified tenants
• Stainless appliance upstairs unit
• Very, very, very clean
• Massive lot

Questions:

1. Where are you all getting your rental valuations from? I am curious to know where mine stand.
2. Ferndale market is hot. Multi-family is also hot. What are some thoughts about pricing strategy for both rentals and sales? I am seeing some varying thoughts out there.
3. Are there agents that you all might recommend for selling? No rush, so like everyone, looking to maximize.

Thanks!