All Forum Posts by: Michael Greenberg

HOA = RUN AWAY! I am invested in Scottsdale @Ada Tor and have had multiple units in HOA communities, one of which I have sold, another will likely hit the market after high season next spring. When the community doesn't want STR's they are going to aggravate you with complaints or attempts to change their CC&R's. I am working my way out of any HOA communities as you may be aware that the State of AZ has legalized STR's but HOA's may disallow them. If you're really interested in creating a new business, use those HOA dues to make a new investment, maintain it yourself, and forge your own success - it will be well worth it.

I ship directly from Amazon using my prime account to my cleaning crew and they restock for me - works flawlessly.  Amazon now has their own brand of "disposables", it's a no-brainer and I stock them in a locked off area of each property.

I use a similar strategy to @Jon Crosby, however recently moved to Allstate as they released a policy that extends your personal homeowners policy to your investment properties.  Not full proof, but I like the mechanics of this.  I've also been looking at Slice.is (yes not a .com but a .is) for supplemental coverage.  Check out their site, pretty self explanatory.  I haven't tried it yet as I'm thinking through the best way to "bake it in" to my pricing other than their recommendation which is to "raise my rates".  

@Rick Baggenstoss - thanks for the response.  I am able to view by OTA (Airbnb, VRBO, length of stay, etc....).  It is in spreadsheet format but is a manual process - wish it would dump from the sites in the same format, but no luck.  However, my routine when I receive a reservation is to immediately update that spreadsheet which makes it less painful than entering them all at one time.

Mike

Hi Rick,

I have created my own KPI's (key performance indicators) and occupancy is calculated just to compare MOM and YOY trends.  I track revenue, then back out ALL costs, OTA fees, Cleaning Fees (add back the difference if this is a profit center and average this cost), and any other fees if any. Tax should be a wash. You should then end up with a NET number which is my most important calculation.  I then can run totals for the ones I mentioned above and built a few charts.  It's a bit of manual work to setup but once you're done it's just plugging numbers and confirming calculations.

Mike

Electronic games are not a great idea, @Luke Carl mentioned just more to break and maintain.  I too have pool tables as @John Underwood mentioned and it is a worthwhile investment, just make sure you have a large enough area for it.  I also have outdoor games such as corn hole, rope toss, etc... but my VR locations are good for the outdoors.

I just started using a free tool called Turnoverbnb.com  Free to use unless you use their cleaning crews (I do not).  Works very well and allows my cleaners to access their own app and manage their schedule.  Sync's with Airbnb and VRBO/HA just fine.

Yes ABB collects and remits in certain jurisdictions (not sure if it is all of them).  It's a nice benefit.  @Eric A. where did you hear this?  I believe HA is owned by Expedia.

Hi Sean,

I recently just 1031x'd a Condo in Scottsdale, AZ simply because of the HOA "noise" that was being made. I have found people to be jealous, petty and uninformed about STR's. I will likely be initiating another 1031x for the sale of another Condo shortly as the same noise is percolating there as well. I am somewhat fortunate that the State of AZ legalized STR's in exchange for registration and submission of lodging taxes by Airbnb and Owners alike. The exclusion to the law is that HOA's can disallow them. For this very reason I am exchanging into stand alone homes in non-HOA neighborhoods. Learn your local county and understand the State positioning as well. Savannah, like Scottsdale is dependent upon tourism so maybe you can find some favoritism.

Hope that helps and best of luck!

Mike

I've been testing Airbnb's pricing during my low season (now) on (3) properties.  I agree with @Villy Ellinger on the larger properties, grossly undervalued, however my smaller condos seem to be pretty much inline with their estimates.  It's a little discouraging because I think they are eroding the pricing in our business as their motivation is to have us accept as many reservations as possible at the lowest possible price so they can capture their commissions.  I would test VRBO's MarketMaker (beta) application as well as your location may vary by other channels.  

Mike