All Forum Posts by: William Beck

I wonder if they have a cancellation expungement policy. Like if you get a DUI and 10 years later it drops off your record if you're good, same idea but with hopefully a shorter term of 12 months or less. I think the only thing it could impact would be if someone is filtering by superhosts for properties they want to stay at... but that's pretty dumb. At the end of the day, looking for best combo of price, home quality and reviews should keep your business rolling without major impact @Bruce Woodruff

New Build STR's still have meat on the bone in my opinion. The fully turnkey ones in a lot of markets are getting really pricey. Still making money but returns aren't like they were.

Malcomb, I like how you said that! Just like any profession. I'm a realtor and I think it's more like 30% garbage, 50% average and 20% pro. 

If you want to sell your house, go for it. Maybe if you get arrested you can just be your own lawyer too. And if you get cancer, you can be your own doctor. Or like @Patrick Drury when your car breaks down, be your own mechanic! Who needs realtors anyways?! I wouldn't want to waste fees on doctors, lawyers or mechanics either. 

Check the regulations.  I don't know what KC regulations are recently but I think in general larger cities are higher risk for regulatory issues. 

It just entirely depends on who you want to be as a realtor and what part of the country you live in. If you're a quality agent and you work hard and are smart, who gives a sh*t what car you drive or how fancy you look. I'd rather put $50k into another investment property than put $ into a showoff car. Some agents are all about that though. The HGTV Million Dollar Listing agent wannabes. The "Celebrealtors". Just do you and if you feel like you need a nice ride to feel confident, go get it. I loved my BMW 550i but it ended up having engine issues. I'd rather put realtor miles on a basic sedan than my nice luxury toy. 

I just finished putting together a proforma for an STR investment. You want to focus on the 2 main elements that make up your revenue 1) # of nights booked and 2) Average Daily rate.

When I calculate my revenue assumptions I create 9 different columns.  I do 3 sets of ADR for average daily rate, then I do 3 baselines for # of days booked in the course of the year. Then I run all my expenses with prorations for utilities. Finding the ADR comps is going to be easier than finding true occupancy history. Luckily the internet should have different resources available to show what market occupancy should look like for a particular market.  AirDNA can get you a baseline but it's worth finding local comps if possible and just run your analysis for Worst-Worst case scenario to Average-average scenario up through Best-Best

I've noticed that some market areas are more Airbnb or VRBO heavy just depending on how people tend to book in particular areas of the country. Southeast US and Florida is primarily VRBO, Northwest and cities are Airbnb dominant. 

Don't forget about FlipKey! They are taking massive action to steal more market share!!!! (This is my sarcasm font)

Great forum topic @Drew Sygit 
For Short Term Rentals, property management fees can range from 10% to up to as high as 50%. I think any property manager that's taking 35%+ is absolutely scamming people. 10-25% is pretty fair since there's a lot of extra work that goes into the marketing, scheduling cleaning, guest communications. I used to work for Evolve and there are a lot of BP haters on the company. I think they are definitely not perfect and have growing pains and 'headwinds' they face with that growth. It was especially brutal during early COVID ...BUT, for 10% I don't have to waste my time managing my nightly rental and they book it out very well. That's worth it to me. Some people try to overthink the property management for STR's and YES of course you could rent it out better than a management company if you spent all your time tweaking rates, reaching out to guests, being the "Power User" but do you really want to spend that opportunity cost in time? I think if it solves a pain point and it's affordable property management is crucial for scaling.

How big of a property is it? Condo? SFH? Been 16 years since I've been to South Padre. Fun place!

Very cool. I need to do a Northern GA mountains visit to check it out.