All Forum Posts by: Mike Shemp

We're still trying to figure out how to keep the bears from our garbage cans.  We use some straps we bought on Amazon, but they still get in.  They might keep racoons out though.

Mike

@Chris Barczewski
I use Hospitable now, but am considering switching.  I'm looking at Guesty now to see if I like it better.

Mike

@Kristyn Grimes

We use Docusign.  

In our listing, we mention they need to sign a rental agreement and that we will send a copy to them before booking if they like.

After booking we put in their email address from Airbnb/VRBO, and send it to them to esign.  Works great!

Hope that helps.

Mike

@Kenny Ng

I think that is going to vary. One simple example one person might be using a traditional homeowners policy that allows STRS, and another person might be using a STR Commercial policy...they are probably going to have different costs to them (and different protections) so could change the % if you were comparing same house against same house.

For me I always find it comforting to make an Excel model.  Here is how I do it:

1. Research all my competitors on Airbnb.  Tracking the rates and vacancies for a period of time by looking at the calendar.  Some people prefer to pay for the data through AirDna and others.  I like to do it myself with Excel.

2. Make several scenarios in Excel...an Optimistic model where you match your competitor and a pessimistic model where you dont.  In the corporate accounting world they call some version of this "strategic planning".  Anyway, plug in the revenue and expesnses for both models.  For example maybe in my optimistic model I am predicting 60 bookings for the year, and in my pessimistic model I'm predicting 35 bookings for the year.  That number will impact your revenue, cleaning expenses, # of handyman calls, gifts for guests, etc.

3.  For revenue, pull it from step #1.  For the expenses, list every category I can think of.   Gas, electric, cable, internet, snowplowing, lawn care, supplies, linens, towels, insurance, soap, shampoo, etc. To find the expense values, start contacting cleaners to see what their rates are.  Once you have a rate, multiply that times the # of times you think you'll need service in each of your models.  For example if they charge $150 and you think you'll have 50 bookings in a year, then your cleaning expenses are 50x150 (plus holiday tip).  Contact snowplow removal people for rates.  Contact lawncare people for rates.  Call your cable/internet provider for a rate, etc.

Once you have all your estimated expenses (which in Excel you should make vary by your assumptions.  If you change that you will have 55 bookings intead of 50, the cost of your cleanings should automatically increase for example), keep playing with the models until you find one that looks reasonable.

Hope that helps!

Mike

@Clayton Hepler

What John said.

Excel....and some time spent on the platforms every  week tracking your competitors, their rates, their vacancy, amenities, etc. will give you a great idea of what you need to do.

As for tech for managing remotely, we are big fans of Hospitable.  They are a big help on cutting down the manual messages to cleaners, handymen, and guests.

Mike

@Javier Santana

Absolutely....

@Javier Santana

Yes, I have seen them before but (for me) am not a fan of them.  I understand why people like them  but I don't like them for the same reasons I'm not a fan of condos.....there is little you can personally do to improve the value of it, plus I dont like having an additional layer of regulation on top of me.

I know in some markets, these hotel/condos are the only thing allowed to be an STR so other options may not be available.

Mike

@Conner Olsen

You should check out Heather Blankenship on Tik Tok and Instagram.  She has a lot of content about buying RV Parks.

Mik

@Sammie Baker

We use Proper for our 3 homes and like them so far. The main reason we chose Proper was when we compared what Proper covered vs. what a traditional homeowners insuranc with STR coverage added...Proper covered more for us.

They were a little bit more expensive than who we were comparing against, but for us....we prefer to pay for more comprehsnive coverage than to possibly submit a claim in the future and have it denied.

Hope that helps.

Mike

@Colin Hassell

We choose vacation markets, and then pick the areas that we like to personally vacation at ourselves to take advantage of function stacking. Function stacking is a term I'm borrowing from the permaculture world where it means one thing can serve multiple purposes.

This way while we are visiting the area, learning which neighborhoods we like, don't like, doing research, etc. we are also spending time in a place we genuinely want to spend time in anyway. Then if we do end up buying in this market, when we visit these homes to do maintenace in the future, we are again spending time in a place we genuinely like to visit. And for the worst case if we decide not to buy in that market, we also spent time in a place we enjoyed anyway PLUS you would have gained some experience when interacting with locals, realtors, and other folks which will set you up for your next market you are interested in.

Hope that helps.

Mike