All Forum Posts by: Joshua Strickland

Sounds like you need larger reserves or a partner with some capital so that you’re not over leveraged in case of a few low months.

It never hurts to make a pitch to the seller as all things are negotiable in real estate, but unless you have a personal relationship with them I wouldn’t see that happening in this market. 

Also if you could reach out to other STR hosts in the market and ask them if they would mind sharing any strategies for the off-season.

Facebook group called Smoky Mountain VR Owners Only. You have to have a place up there or closing on a place to join, but lots of good resources for eastern and western NC. I bet you can find some good recommendations in there. 

I’m all for a good fixer upper project, but it actually hurts your business in the long run.

By hiring these projects out you get the ooportunity to better relationship with your local handyman, plumber, 
electrician, etc. This way when you call them with an emergency you aren’t a new face, but rather a loyal paying customer. Treat them right and pay them a fair wage so they will look forward to your call. Makes your life a lot easier in the long run. I also try not to nickel and dime my vendors, but rather set clear expectations up front.

For example: I’ve even offered to pay an extra fee for them to include pictures of their work so I know it’s been done properly. 99% of the time they decline and say that it isn’t necessary and it sets you off on the right foot.

Also if they do bad work, the. At least you learned who not to use in the future.

Check out Modsy.com

I never personally used them but they have a good idea in theory. Not local though.

Depending on your DTI you could get a 10% vacation home loan and should still have reserves left over. I'm always a fan of large reserves just in case. If buying an established STR most come with furniture that is already in it, but make sure to clarify.

I use Smartbnb and it has a metrics tab, but has to be exported to a file to see. The calendar and messages tab is user friendly though. Thinking about changing to Hostaway because it seems to have more features, but haven’t pulled the trigger yet.

Prices are through the roof everywhere. I have 2 in Pigeon Forge and despite rising prices I still project 20%+ CoC returns on many cabins that I've analyzed this year, and that is with a 20 to 25% down payment. Obviously it is always deal specific so do your due diligence.

One of my good friends has a cabin in Ellijay and is loving it. He is around 80% occupancy for the year on a 2/2. Prices in Ellijay and Blue Ridge are lower than the Smokies but rates are slightly lower as well from what I’ve seen. Once again it is all deal specific. 

@Joe Splitrock @Robert Gilstrap Good point with the liability issue. I only have hot tubs or community pools, but not a personal pool. I was looking at it from a different point of view. I guess as long as it is clear in the listing it wouldn't be a problem.

@Nathan Gesner I agree. I’m definitely not buying up there TRVL token like it’s dogecoin, but it is a neat concept. To piggyback off of your metaphor, there could a Beyoncé out there somewhere.

@Bruce Woodruff agreed!