Investment: Airbnb vs market

eBay / Eng
noobay

Go to company page eBay Eng

noobay
Aug 3, 2021 17 Comments

Investment in short term rental Airbnb property vs investing in the market.

I wonder if folks have done both and have a good comparison.
I googled around a bit and it looks like even in high occupancy areas you get around 6-7% returns which doesn't seem significantly better than the market.

Thoughts?

comments

Want to comment? LOG IN or SIGN UP
TOP 17 Comments
  • Have a handful of airbnbs. Returns are way higher than 6-7% based on market. Using a yearly return is also difficult since so many factors go into it.

    I would not recommend it though. It's definitely not passive at all, it's a full time job. I'm selling all of my properties and doing other things.
    Aug 3, 2021 8
  • New
    Rse44

    New

    Rse44
    Have been a Airbnb host before and it’s so true that it attracts super shitty people like 50% of the time. One time I had a woman who was hiding her criminal brother who got arrested next day. Don’t do it.
    Aug 3, 2021 4
    • Google / Eng
      ABC-CEO

      Go to company page Google Eng

      ABC-CEO
      Hope they gave you 5 star for it.
      Aug 3, 2021
    • New
      Rse44

      New

      Rse44
      5 star doesn’t matter - I deleted the listing long back to protect myself and my house.
      Aug 3, 2021
  • Google / Eng
    ABC-CEO

    Go to company page Google Eng

    ABC-CEO
    Depends on what your goal is. Earn extra income? Own real estate? Airbnb helps you get there but you need to work for it.
    Aug 3, 2021 2
    • eBay / Eng
      noobay

      Go to company page eBay Eng

      noobay
      OP
      Yeah passive income. With hopefully better returns than SPY
      Aug 3, 2021
    • Google / Eng
      ABC-CEO

      Go to company page Google Eng

      ABC-CEO
      I think you get mixed up between growth vs income. SPY pays 1.8% dividend but supposedly grow 8% a year. Rental properties pay higher, but come with work and liability, and may not grow that fast.
      Aug 3, 2021