All Forum Posts by: Mekhi Jones

Mekhi Jones has started 2 posts and replied 9 times.

I do not operate any STR however as a landlord I would be open to allowing a STR operator to sublet an apartment of mine for use as their own Airbnb, etc. However, it would have to come with some pretty significant upside, like double or triple the profits of my normal cash flow on that unit, a large deposit for the extra wear and tear, a long term lease with annual built in increases. Something to make it worth the headaches as the owner, not to mention the extra liability from people coming and going or disturbing long term tenants. Clearly, this would make more sense in a single family or townhouse type of property that is more private. It is hard to imagine there is enough revenue in most areas of Cincinnati that would allow the operator to pay the premium I would charge and still make any money doing this here. I could be wrong, or there could be other landlords out there with lower expectations. Best of luck in your pursuits!

That makes sense, would need a really sweet pot for the landlord to convince. But its not enough money in Cincinnati for even making solid profit on the 1x cost on the unit; I included some numbers somewhere else on this forum post that isn't a pretty picture

Thank you for your response on this! Hopefully see you around the forums and maybe even a Cincy meetup, and best of luck!

1 Vote

Originally posted by @Dave Stokley:

For the record, cleaning fees are billed directly to the guests, and in many places Airbnb also bills guests for local bed tax. But still, doesn’t seem like a winner.

Ahh okay, so some savings but still.Thanks for your response

0 Votes

Originally posted by @Dave Stokley:

"Hands-off rental arbitrage" simply doesn't work, in my experience. Once you pay someone to host it for you you're not gonna have any profit left over. Which makes sense, because if there was that much of a gap, why wouldn't the owner just do it?

Some approximate numbers I used with Cincinnati:

Revenue through Airbnb: $2,090.00 (19 nights at $110/night [62% occupancy in peak])

Leased Rent(monthly): $1000

Expenses: $1,033 (taxes, fees, utilities, cleaning cost, 10% savings)

Note: Cleaning costs alone were $390 ($65 per visit [6 - 3 day visits])

Take Home: $57 of cold hard cash!

I grabbed most of my estimates from averages, so there some wiggle room to save/make more but expenses also didn't include the startup costs or a property manager. So too tight of margins, unfortunately.

If I do it, it'll be more to have a second home than to actually make money. Maybe as an Office Space Tax write off.

0 Votes

Hi BP community,

I am an out of state investor in my hometown of Cincinnati, so I plan to visit for both work and family now.

Im thinking of practicing Rental Arbitrage with an apartment in the city to add double as another income stream and to serve as my housing when I visit. I've been reading that finding a landlord willing to do this is difficult so I wanted to ping for forums for any advice for finding and convincing landlords. I've been just sending questions and message on Zillow so far, or if I can find an email on the properties website. Is there a better way?

While you're here, do you think this strategy and effort is worth it? Im primarily finding investment projects for fix-and-flips, with partners on the ground in Cincinnati, so I'll be the most hands off but don't want to distract myself with the high turnover of STRs. So to this end, any advice for finding a property managers/hosts?

4 Votes

@Evan Zeigler Hi Evan and welcome to the BP community! It’s awesome that you’re starting out so early, still in Univ

Ive also recently joined the platform and am an Investor in Cincinnati, my hometown.m; though I’m based out of State. I’m also just starting out so happy to connect and help each other grow

Best of luck and looking forward to following the journey!

1 Vote

@Keith Martel glamping (glamorous camping) is for sure a customer trend and market that makes this place amazing

People are revenge spending BIG on Travel and the Outdoors so I see this doing really well ! Pricing and occupancy wise

1 Vote

Thanks for the links! Im so glad I found BP's resources and guides. This couldn't be more of a treasure trove of knowledge

Originally posted by @Justin Windham:

@Mekhi Jones

It’s nice to have you on Bigger Pockets!

Make sure you check out all that this site has to offer. You will be able to get answers to so many of your questions regarding real estate investing, wholesaling, flipping, rentals, lending, self-directed IRA and Solo 401k investing, or tax and legal guidance from many of the knowledgeable members. Take advantage of the networking opportunities and best wishes to you.

There are a few self-contained guides that you can access here: https://www.biggerpockets.com/guides

I really like the alerts feature that can quickly guide you to current topics that might interest you: http://www.biggerpockets.com/alerts

1 Vote

@Blake Park as long as it starts with a ‘C’ in Ohio haha

0 Votes

Hello Bigger Pockets Community 👋🏽

My name is Mekhi [muh-ky] and I am starting out as a Out of State Real Estate Investor in my hometown of Cincinnati, Ohio. Im based in the Bay Area, CA and work as a Software Engineer for a Self Driving company called Nuro (check out our on-road delivery bot, it’s pretty cool)

I’ve been getting educated over the last few weeks on the podcast and the forums, and over the next 90 days I plan to acquire my first property to flip with some of my closest friends.

Would love to connect and tap in with the other Cincy investors, and hope to meet you through the forums and even some in-person events when I’m in the city.

Ask: Any Cincinnati Investors recommend any General Contractors that I would be able to walk a property with to get more accurate rehab estimates?

Offer: A new local professional connection ☺️ after some learning and experience l’ll be able to offer more

5 Votes

All Forum Posts by: Mekhi Jones

Mekhi Jones has started 2 posts and replied 9 times.

Post: Pitching Rental Arbitrage

Post: Pitching Rental Arbitrage

Post: Pitching Rental Arbitrage

Post: Pitching Rental Arbitrage

Post: Looking for mentor near Cincinnati, OH

Post: Non-Cabiny Cabins for STR

Post: New Investor Introduction

Post: New Investor Introduction

Post: New Investor Introduction