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Updated about 3 years ago,
- Investor
- Asheville, NC
- 1,761
- Votes |
- 1,932
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Is there a rule of thumb for estimating STR expenses beyond PITI?
Hello BP! I'm looking for feedback from experienced STR operators. We're experienced with LTRs, but are hoping to buy our first STR in early 2022. While I feel confident running numbers on LTRs I'm not sure what to estimate for expenses beyond PITI for a short term rental. I know cleaning fees are a pass through. That leaves HOA fees (if applicable), restocking basic supplies like paper goods and linens, power and water, landscaping, snow removal (in Bend, OR). So my questions are: 1) what am I overlooking and 2) is there a rule of thumb of % you typically add to estimate these expenses? Obviously it will vary seasonally and some guests will be respectful with utility usage while others will run the AC with the windows open but how do you estimate these costs when you run your numbers? Any help is much appreciated!