Anyone do Airbnb Short term Renting as Host?
Some info about me to get better advice from y’all 25 Nw like 580-600 Tc - 350-400 Yoe little over 3 In the NJ/NY area right now & supporting parents and helping pay their mortgage/support. So right now I live at home - probably until end of year. I was considering buying my own place in Jersey city maybe or something with easy access to nyc via NJ transit With that idea in mind I was also trying to see how realistic something could be for doing Airbnb house hacking and if others have done it? All the investments I have now is just index funds and I’m trying to explore other options now and want to learn what others have done. I’m worried about making a dumb decision and being in a ton of debt by taking on a property & not being able to support family but feel like there’s a really good option here to explore
I’ll rent from you in the jersey city area if you buy a house
You rock ❤️ - I’m struggling to see if this is a good decision as the only 2b/2ba are like high HOA condos
I used to host my second bedroom in my 2bd/2ba in SF and made over $4000/month until my HOA told me to stop. I also used to work on host products at Airbnb. Check your local laws first on whether it’s okay. Keep in mind hosting can be great money, but it also requires a LOT of work, especially cleaning and coordinating check in and checkout. Look at how similar properties in the area rent out for, and you can decide whether it’s worth it for you or not. You can also consider hosting a few days a month to see if you like it or not, rather than host full time.
Did you sell the unit? Long term rental? Could you automate parts of it? Can you talk about your decision to buy the 2b/2ba before doing the Airbnb? Regarding research for pricing - how do you check timelines / dates / parts of the year ? How do you tell how occupied other places in the area generally are? Like what if some random suburb - people in general are never Airbnb out, but the next town 10 min over is ?
I bought a 2bd/2ba condo with my partner in SF in 2016, we decided to try Airbnb to supplement the mortgage until our building told us to stop a few months later. Afterwards we rented the second bedroom to a roommate until we eventually wanted the privacy and stopped renting altogether in 2019. I couldn’t really find parts of it to automate. Airbnb has some tools to manage messages and whatnot, but cleaning and laundry took the most amount of time. The tricky thing is that different markets will have different times of surge throughout the year. In SF there’s Dreamforce, the JP Morgan conference, or other major events that draw people in the area. In Chicago there’s Lolapalooza. In Palm Springs there’s Coachella or other music festivals. I’m sure there’s tons of host forums that have dates for high demand, and looking at your Airbnb host calendar will tell you periods of high demand. Prices and demand also changes when the check-in dates are close or far. The short answer is that it really depends on the demand for your location. NYC and downtown urban areas are always booked. You’ll have to do some research on listings nearby for suburbs to see how they’re priced and how often they’re booked.
You should try house hacking— buy a 3 br in Brooklyn and rent out the other two rooms.
Would you suggest doing this via long term rentals? With my situation rn I think I would need to do a FHA 3% loan probably My other concern would be buying a place that has high HOA & Would likely be a condo without much appreciation (which is ok if I have cash flow)
As far as I can tell, most “nice” places do not cash flow.
Build a model, make some conservative assumptions, and calculate out what your IRR will be. Research local regulations. You can use Airdna to estimate potential revenue. I bought a place in CO last year and am renting it out on Airbnb. Paid ~$400k and grossing ~50k/year. There's other markets with even higher returns but a good deal is harder to find nowadays. I'm not sure if you'll get the same returns in the tristate area. It is a lot of work if you're managing it yourself and you have to be prepared to deal with all sorts of guest issues.
Do you live there? What was your process to finding a location and evaluating the steps (comparable pricing, #dAys it would be filled) Guest issues seem like it could be a nightmare, could you talk about any you’ve had ?
Airbnb property management companies to offload all the work n related stress. 8-10% fees. Aim 20-22 days Airbnb rental and cash flow after 8-10% management fees deduction. Only SFH, no condos and TH. HOA will not allow Airbnb and will eat up the cash flow. Try touristy spots in any city, the premium price you will pay will pay you back in the long run. Malibu Manhattan etc never die away, dot com, 08, covid and everything shall pass. People still flock these hotspots for ages to come.
I did. It's good money but it's work. It's also seasonal. But then I thought to myself; TC and WLB are good. Why am I adding stress to my life? So I stopped and focused on using spare time with family and friends.
Thank you, I think this was another factor I wanted to consider. How much time were you spending for how much return?
How tf do you make 350-400 at 3 YOE?
Stock appreciation
I am E5 at Fb