Is it a good idea to Purchase an Airbnb property? Thinking about putting 300k as down payment maybe loan 600k. The return is about 13% cash on cash. But is it a long lasting business? We certainly have to hire a PM company as we can’t manage this. Average stay time is about 3 days. #personalfinance #investments #airbnb #airbnbdata #realestate
Between 2012-14, I was offered bitcoin as pay in some sites for content writing, I skipped them for real money. Reality is harsh sometimes.
Lol I know how you feel. I took the opportunity 7 years ago and it was one of the best decisions I’ve made. You can still buy Btc though, it’s still gonna get to another ath.
Invest in crypto and stocks, with that much capital and proper guidance if you’ve got a CPA. Are you already invested in crypto or stocks?
Maybe.
PM’s charge 25-30% of revenue as their fee for short terms rentals. Did you consider that in your math ?
Yeah included that
I do LTR, but have thought about STR. I’d do research first on how the local municipality is treating STRs. In some cases they make you pay the same taxes as hotels, and require you get licensed to do them all together. If that’s the case, it may not be worth it. Also, find out how long it’s been an STR and why the current owner is selling. If their netting 36k+ a year, there’s a reason they are selling. Make sure to get a home inspection and write it in as a contingency. Lastly have you compared LTR for STR? For 300K a year and 600K in loans (900k total) you could pickup multiple properties for some diversification and have some decent lower stress dividends.
Never ask for financial advise on internet forums. It’s the blind leading other blind people. I once asked if I should buy Ethereum. They said it is a fad. It was trading at $8 back then
Then ask who?