All Forum Posts by: Mallory Healea

Not sure why you'd need parking for 3 cars, but having off street parking is a good idea. It also means that their cars are less likely to get hit should a driver swerve on the road and hit a car parked on the street. Do a crushed gravel driveway.

The city is requiring one parking space per bedroom. It makes no sense because there are no regulations regarding off street parking for tenants who stay 30 days or more. It's only a requirement for STR. Gravel isn't an option, it would have to be concrete, and while other homes in the neighborhood do have driveways it doesn't seem necessary here. The street has little to no traffic outside of the residents.

0 Votes

Norfolk, Virginia

ah. So that's the information I was looking for. Thank you

0 Votes

Norfolk, Virginia

Quote from @Bonnie Low:

Many people do a hybrid MTR/STR approach. It takes a little more calendar management but can be very worth it if it's allowed in your area. I'd start by getting some kind of idea of what it would cost you to provide a driveway. Sounds like you have the space if you're even considering it so that's a good start. Find out what the requirements are for that driveway. For example, does it have to be paved or can it be a compressed earth/gravel driveway? That's going to make a huge different in the cost. Some municipalities required covered parking. Find out what the local jurisdiction (and HOA if you're in one) require and then talk to some contractors for estimates. Then, as Nathan suggests, just run the math. Unless you're sacrificing valuable landscaping/recreation area, there's really no downside to having additional parking if it pencils out, regardless of what you end up doing with the property. It's always going to be a plus.

I read that the driveway adds about 10% value to the property itself and was hoping that was true!

1 Vote

Norfolk, Virginia

Quote from @Nathan Gesner:

Quote from @Mallory Healea:

It's pretty simple math. (fake numbers below)

The driveway costs $20,000

A short-term rental can bring in $2000 more a month for six months out of the year. It would take you ten months of STR income to pay for the driveway. Everything is pure profit after that.

Do the math and see if it makes sense to you.

thank you for the example. Yes, I do believe that running as a STR for 4 months out the year would be ideal for this property if we decide to go that route, I'm really just curious about the increase in the property value itself.

0 Votes

Norfolk, Virginia

Quote from @Jonathan Bock:

How much more rental income and what's pricing looking like for the driveway?

I haven't gotten quotes yet for the cost of the driveway. This was a recent conversation with the city inspector. I can figure the math for the profit margins once I get the estimates, I'm really just trying to figure out if the addition of the driveway really adds a significant enough increase to the value of the property to make the investment worth it despite the rental income? We have good margins running it as a MTR, and we are self managing from the other side of the world so STR may not even be in our scope of capability at the moment, we are just toying with the idea.

0 Votes

Norfolk, Virginia

We have a MTR that we received a zoning notice on from the city. They believed we were operating a STR. We are considering a STR option for this property for the summer months due to its proximity to the beach. The snag that we may run into however is the zoning office requiring us to have 3 off-street parking spaces. We currently have 0 off-street and only have on-street for this property. We would have to add a driveway in order to operate as a STR. So my question is would it be worth the additional investment? As of right now this property pays for itself with the MTR income, but the potential earnings during the summer months could prove to be very lucrative. Im just not sure of that actual value-add of a driveway so any insight is appreciated.

1 Vote

Norfolk, Virginia

Quote from @Erin Spradlin:

Quote from @Jamie Banks:

When launching a new property I always budget 3 months of vacancy. Sometimes you’ll get a reservation right away but for me it’s taken 3-4 weeks on average to get a confirmed reservation. In addition to the platforms you listed, make sure you’re also listed on Furnished Finder

I have found that the midterm rental occupancy rate is as high or higher than the long-term rental occupancy rate. We have maintained a 92% occupancy rate in Denver for the past 24 months. For this reason, I would not budget this much time in. I think one month is acceptable/the first month you own the place is acceptable. After that, the vacancy on a medium-term rental should not be more than a week between reservations.

I have two properties in the Hampton Roads area of Virginia. I have one that has been vacant since December. I have tried lowering the price and advertising and only a couple bites with nothing substantial. It could be my location, but I would say budgeting for 3-4 months of vacancy is smart. Our vacancy has nearly tapped us financially and that's with us not touching any of the funds that we were bringing in all year.

0 Votes

Is it always going to be at the same location as well? Looks like I just missed this month, is it possible to do the first and third Thursdays?

0 Votes

Cincinnati, Ohio

All Forum Posts by: Mallory Healea

Mallory Healea has started 1 posts and replied 8 times.

Post: Value-add of a Driveway?

Post: Value-add of a Driveway?

Post: Value-add of a Driveway?

Post: Value-add of a Driveway?

Post: Value-add of a Driveway?

Post: Value-add of a Driveway?

Post: How are your MTRs getting booked?

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