Post by High Priestess on Sept 27, 2015 3:57:05 GMT
Interesting article in Forbes about Airbnb Arbitrage
The article talked about a guy in San Diego who used Airbnb arbitrage to buy a home for short term renting. Amazing that only 3 months on Airbnb pays the entire year's mortgage.
I see that many people are doing this now. I need to start saving for my children's college fund. Can someone explain this to me?
Any recommended cities?
Sammy:
In a number of cities a non owner occupied AIRBnB "rental" would be a poor investment ... As it would violate local codes ... Proceed with caution !
By light of day ... I wonder, if this be a bit of "back door" marketing
Tim
Sam, no it is a little bit of frustration over the growing and expanding presence of property managers on Airbnb.
Personally, I don't think property managers should be running listings but it seems that I hold a minority viewpoint on this subject. But, if this is being allowed, then I might as well join.
Deborah:
There's a difference between being a property manager, running other's properties (where you don't have investment costs or much risk) and being a property owner, buying a property just to do short term rentals on it.
I think that because very few cities have passed regulations on short term rentals, it would be premature to invest in properties just to rent them out short-term. It could easily happen that you spend a lot of money to buy a house to rent it out short term, only to find out 1 or 2 years later that in that city you aren't allowed to do that.
Sammy:
Or find that your AIRBnB "income property" has a outstanding TOT tax lien ... Left hanging, by the last bigger fool ...
The article talked about a guy in San Diego who used Airbnb arbitrage to buy a home for short term renting. Amazing that only 3 months on Airbnb pays the entire year's mortgage.
I see that many people are doing this now. I need to start saving for my children's college fund. Can someone explain this to me?
Any recommended cities?
Sammy:
In a number of cities a non owner occupied AIRBnB "rental" would be a poor investment ... As it would violate local codes ... Proceed with caution !
By light of day ... I wonder, if this be a bit of "back door" marketing
Tim
Sam, no it is a little bit of frustration over the growing and expanding presence of property managers on Airbnb.
Personally, I don't think property managers should be running listings but it seems that I hold a minority viewpoint on this subject. But, if this is being allowed, then I might as well join.
Deborah:
There's a difference between being a property manager, running other's properties (where you don't have investment costs or much risk) and being a property owner, buying a property just to do short term rentals on it.
I think that because very few cities have passed regulations on short term rentals, it would be premature to invest in properties just to rent them out short-term. It could easily happen that you spend a lot of money to buy a house to rent it out short term, only to find out 1 or 2 years later that in that city you aren't allowed to do that.
Sammy:
Or find that your AIRBnB "income property" has a outstanding TOT tax lien ... Left hanging, by the last bigger fool ...