Episode 056 – Part Two of You Can’t Fix Noise & Other Things to Avoid When Property Shopping
SHOW NOTES & LESSONS
What you want to look for when acquiring properties for you STRs or your Portfolio:
Look for a Neighborhood that Looks & Feels Good.
Check it out at all times of the Day and Night.
#1 Thing - as always - Location, Location, Location!
How's the Parking? At night? I look for Designated Parking!
What to Avoid:
Noise! - Whether it's being backed-up to a busy street or barking dogs, noise is one of your worst enemies when it comes to renting out a property.
Bathrooms - Optimally, one bathroom for each bedroom. At the very least, no bathrooms that force you to walk through bedrooms. No good! Masters need their own bathrooms, always!
No converted rooms or quirky floorplans. A house has to have flow & it has to be re-sellable. You have to be able to sell fast and quirky floorplans and converted rooms JUST DON'T SELL WELL.
Stairs should be wide and clear, and everything should be standard. Steps' risers...
Episode 055 – Part One of You Can’t Fix Noise & Other Things to Avoid When Property Shopping
SHOW NOTES & LESSONS
What to do when the neighbor's dog won't stop barking...
First, knock on your neighbor's door and try to talk to them.
If they aren't home, leave a note. Give them time to fix it.
Check your HOA or city ordinances. Follow their guidelines, which usually asks you to contact the police or a local authority, make written notices, keep a (video) log, and follow up.
Reminder: Do your due diligence before signing on the line!
That airport didn't just go up overnight and that dog has most likely been there the entire time. Make certain you do your due diligence BEFORE you rent or buy a property. Know your neighbors. Knock on their door. Ask questions like, "is there anything you wish you were aware of before you bought your home? Is there anything you think I should know?
Michelle has an entire list of what type of house not to buy!
We split this episode into two parts because Michelle began going into the Types of Things She Avoids when Purchasing or Renting a...
Investing in Out-of-State Real Estate
Investing in Out-of-State Real Estate
Buying real estate rarely goes smoothly, and buying property out-of-state has even more potential challenges. If you are planning on renting property out-of-state, there are similar challenges involved. However, either are entirely manageable if the potential trouble areas are planned for and addressed. Many people rent and own property out-of-state, and you can too.
Also, whether you decide to buy a property or rent it, let’s just call it what it is: Controlling the Property. Whether you rent or own, you are “controlling” the property in order to run a Short-Term Rental Business out of it and you must be able to “control” the use of that property within the eyes of the law.
Reasons for Buying Out-of-State Real Estate
There are several reasons why you might consider owning or renting a property in another state. Maybe local real estate prices are simply too high...
Episode 047 – Lessons from the California Exodus
SHOW NOTES & LESSONS
OVER 5 MILLION PEOPLE HAVE LEFT CALIFORNIA NOW DUBBED "THE CALIFORNIA EXODUS"
Although people are moving into the state while others are moving out, Cali has still lost more than 1 million people and the population continues to shrink.
Who's moving in?
Those making $200,000 plus per year with higher education from tax-burdened states like New Jersey, New York, and Illinois (also seeing massive Exoduses).
Who's moving out?
Those making $55,000 and below with no college education.
Where are they moving to?
States with much more affordable housing like Texas, Arizona, Nevada, and Oregon.
CALIFORNIA HAS 5 OF THE TOP 10 MOST EXPENSIVE RENTAL MARKETS
What a One Bedroom Rents for in:
Los Angeles $2249 month
San Francisco $3400 month
Las Vegas $925 month
Phoenix $945 month
What a Two Bedroom Rents for in:
Los Angeles $3200 month
San Francisco $4500 month
Las Vegas $1122 month
Phoenix $1137 month
...
Episode 046 - Why You Shouldn't Treat Your Short Term Rental Like a Long Term Rental
SHOW NOTES & LESSONS
COMPARE INCOMES FROM A SHORT TERM RENTAL TO A LONG TERM RENTAL
2 Bed/1 Bath
Long Term Rental
1 Year Lease
$1200 month
2 Bed/1 Bath
Short Term Rental
Daily Rate
$87 per night
82% occupancy
$2140.20 month
2 Bed/1 Bath
Short Term Rental
Airbnb's Weekly
10% Discount
$609 for 7 days
-$60.90 discount
$548.10 per week
rent out 3 times
$1644.30 per month
A Loss of $495.90 mo
or $5950.80 per year
2 Bed/1 Bath
Short Term Rental
Airbnb's Monthly
28% Discount
$2610 for 30 days
-$730.80 discount
$1879.20 per mo
100% occupancy for
$1879.20 per month
A Loss of $261.00 mo
or $3132 per year
Use Vacancy Instead
Short Term Rental
Our Monthly
18% Discount
$2610 for 30 days
-$469.80 discount
$2140.20 per mo
Same as your original Single Day!
WHERE DO I FIND MY PER DAY RATE AND OCCUPANCY RATE?
If you've been a host more than a year, use last year's numbers.
If you haven't been a host for a year yet, then use...
Episode 035 – Best Tools for Automation: Putting Your Business on Autopilot
SHOW NOTES & LESSONS
Automation
*Schlage
*August
*Lockitron
Some need help, like Kevo, Z-Wave, or a Smart Hub.
Begin with eLocks
Then Dynamic Pricing
Add AirDNA
Make sure your Cleaning Company has Online Scheduling
Automate Your Messaging
Take a Look at Properly
Find a VA at onlinejobs.ph
Think Shark Tank: Do you want half of $2 million or all of $10,000?
Our Membership Site opens in May!!
WHAT BOOKS, PRODUCTS, SERVICES, OR LINKS WERE MENTIONED...
Please use our Affiliate Links whenever possible and help support the show. Thank you!
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Recommended Article or Blog Post Related to This Week's Podcast:
Recommended Podcast Episode that is paired with this one like a Fine Wine:
Get This Episode's Show Notes in a pdf form...
PICTURE OF PDF
Show Transcript
[00:01] Over the last two centuries, nearly 90 percent of the world's millionaires have created their wealth through real estate. Here to tell you how you can ride this...
Episode 028 - How Legal Is My Short Term Rental?
SHOW NOTES & LESSONS
You want to diversify and invest in many things, like stocks & bonds, gold & silver, and real estate. However, Specialize in one area of Real Estate Investing - like Short Term Rentals, for instance!
Attorneys specialize. Doctors specialize. You should, too.
Each state has a variety of rules and regulations when it comes to Short Term Rentals.
You can go to Airbnb's Page about Legal & Regulatory Issues. Read what they have to say, then google your city and state with search phrases like, "do I need a permit or license for my short term rental in Tucson, Arizona?" Then just start reading.
- Find out all you need to know for your state government's page and from your city's official government website.
- Ask your Real Estate Agent if the property is Short Term Rental friendly but still, ask for a copy of the HOA's CC&Rs.
Remember, the government provides tax cuts and incentives as a...
Episode 027 - No Cash? No Problem! How to Get Started on a Dime
SHOW NOTES & LESSONS
LIES WE ARE TOLD & HOLD AS LIMITING BELIEFS... It takes money to make money. NOT TRUE! You just have to work harder.
Co-hosting is to Short Term Rentals what Wholesaling is to Real Estate Investing.
The Key to Any Type of RE Investing is Marketing! Consistent Marketing is best but you have to FIND the properties. Actively go looking for the type of homes you need.
What type of property do I look for? You are looking for a home that no one lives in but is furnished. It could even be a staged house for sale. Just non-owner occupied, no one living there, but furnished.
Where and how do I find these properties?
*Buy a list on Listability.com
*Craigslist
*Zillow
*Put out Yellow Signs (Bandit Signs)
*Realtors
*Attorneys
You are looking for homeowners who are open to allowing you to host guests in their already furnished home.
What is my job as Co-host? You will run the STR business. You will get the property BNB ready. Clean & Stage,...
