Help analyze Airbnb investment
Property is selling for 325K (3Bed/2Bath). The property is 10 minutes away from the beach. Plan is to put 100K down. Is $550 profit a month worth it? Planning to do the lawn ourselves once a month since property is not too far
If daily rate is 200 and monthly occupancy is at 50%, 3k is the revenue but how much money out of it comes into your pocket? Buy it if you can afford the mortgage with 0% occupancy at times. The more the better imo
550 comes in pocket after everything is paid for
I didn’t read the numbers, but looks good to me. Go for it OP!
Why put 30% down? Can you put less down and still at lease break even? Also, is it furnished? Keep in mind a furniture cost of about $1.5K minimum per room, plus appliances if they don't come with it (fridge, washer & dryer)
People aren’t using Airbnb much anymore at all though. Why not make it a straight rental?
Doesn't BNB get a cut of the 200, or is $200 net cleaning, BNB expenses, and utilities?
200 is net. Post fees and cleaning
who covers cleaning and maintenance?
550*12/100000=6.6%, decent but not stellar.
5% deposit has less risk
Like ur name Nvidia Can you get 5% on a CD?
What's the cost of cleaning the house after a guest leaves? The cleaning supplies cost is for the supplies, not the maid services hired for cleaning. Take that into account.
That’s charged by Airbnb and it’s paid by the guest. So whatever the guest pays for cleaning, I will pay the cleaner
I understand. Did you compare the cost of cleaning fees charged by bnb to cost you'll pay the cleaning agency? Is there a net profit in there, or are you going to pay more out of pocket?
It’s 6% return on your 100k investment, not bad but also not too attractive. What is Airbnb blocks you for any dispute. Will you be able to survive? By renting it?
Add 20-30% to operating costs and then evaluate. If you end up making more profit in practice then great but operating costs always runs over budget and you should plan for that and cover the risk
Where is it?
NC