Has anybody tried luxury rentals or content houses?

Has anybody tried luxury rentals or content houses?

Member since 2018 · 125 posts · 21 votes

Found this beautiful home and it got me thinking. What kind of vacancy would a house like this have out in rural north east areas like NJ/NH/PA? It would cost me just under 50% of my net income to pay the mortgage ($700k). I've heard the really nice houses (maybe $3M), can make $80k/month as a content house where you get a percentage of the income of the creators that live there. 

Can even purchase first as an AirBnb and ease into it. Start with one creator then add more. The more creators in the house the more investments made into the house to make it most presentable for production. Can even focus on particular shooting areas just like a traditional set. Areas that are best for backdrops are pristine, then the rest of the house can be more normal.

I have a lot of experience with content creation and production work, so I have an edge there. I've also negotiated deals with large manufacturers like Lamborghini, Rolls Royce and Kawasaki.

So that is one angle, but what about just traditional rental setup where I try to find long term tenants who can afford to pay $4600+/mo to live in a large 6 bedroom house? I have no idea who that market is. Who has that kind of money and wants to rent rather than buy? Technically, I could afford it and it might make sense if I had a HUGE family AND a 6 figure wife so the mortgage is easy. Thing is I can afford it because I live in a $2000 average rental market, not far from where you can find ugly $1M homes with normal people living in them somehow. I doubt many locals can afford $3500 rent, so that means top 3-4% of income earners, but again why would they not buy?

Seems it would be a tiny market of unique situations like some famous doctor coming from another country or something and want a place to live while they settle in, and look for a long term solution.

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  • Lender · Washington DC · Member since 2015 · 2k+ posts · 2k+ votes
    4y

    There are people in my market that pay $20000 a month in rents to have an ocean view. Location, being very special like a castle or some fabulous 30 car garage is what you need.  Problems: lots of actors who make big money aren't the best financial managers so how to find ones who can pay? Not just some want to be "influencer" who fakes it until they make it.   Reasons they don't buy today: still in forbearance, no down payment saved, move around alot, in a divorce, funds tied up in lawsuit.... 

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