All Forum Posts by: Scott Morris

@Mike Lambert, the tourism numbers are growing faster than the number of rentals that are available in Medellin. Furthermore, among available rentals, there is currently a shortage that I see lasting awhile because many of the new developments are hotels and not residential. Many of the residential projects that are in construction now still have 1.5-3 more years to go before they are operational. By the time they are on the market, I expect the tourism rates to still have outpaced the development. Maybe one day the market will hit that threshold, but for now, I just don't see it happening anytime soon. 

Concerning competing on price. According to AirDNA (an AirBNB analysis platform), the local average rating for an Airbnb host & their respective property is not very good. Across the board from quality to cleanliness, it ranges between 3.5-4.5 stars. That being said, there is a lot of room for improvement across the board. One of the reasons for this is the cultural differences with Colombians. Most property buyers here (more than 95%) are still Colombians and not foreigners. They have a different mentality when it comes to renting, investing, and hospitality. It gives me an edge. You don't have to compete on price when you simply offer something better in every other category. Until they catch up in every rating category + a comparable property, I feel that the competition is weak right now.

On a separate note, I am considering a project in Guatape. I am currently evaluating several and a couple looks promising, however, the capital requirement is much larger because of the sheer size and ambition of said projects. But I already did the due diligence and they check out. My passion project is in a different town a coffee region. I am bringing a Balinese-style resort to the area which does not currently exist around these parts.