Looking for a co-host to get into STR

[Tina Tsysh]

Hi everyone,

I'm very interested in getting into STR but I work a full-time job which I enjoy and don't want to quit. I read online that you can find co-hosting partners where you can provide the capital and they can provide the management. Anybody looking for investors or has anyone ever done that? What has been your experience like?

[Marshall Leipprandt]

@Tina Tsysh Does your area in Orange County have STR minimum stay restrictions? I ask because if your minimum stay is 30+ nights, you'd be doing a lot less guest communication/admin than if you have a turnover every 3-4 nights. There are many things you can do to decrease your time doing tedious tasks (getting keypad locks for self check-in, automate guest messages through templates, finding a cleaner that will sync with your calendar, etc). My wife and I self-managed while we were both working full-time and although sometimes things can overlap and be stressful, it was totally manageable.

However, if you feel more comfortable having someone handle all of the management so that you don't have to worry about anything, start with your network of family/friends and see if anyone would be willing to help you manage for a percent of your rental revenue. Even better if someone in your network has experience doing so or at least experience owning real estate or being a landlord themselves. There are also property management companies out there who likely offer these same services, but they'll likely take 20%+ of your gross rents.

If you're footing all of the capital for a deal, I don't think I would bring in an investor on the equity front. Maybe you can find someone interested in putting up 1/4 of the capital and fully managing, while you put up the other 3/4. People partner on these things all the time and you can get as creative as you want on the terms, but the most important part is finding someone you trust and someone you work well with - especially if you'd be mixing capital when purchasing. This is why I would generally lean towards finding someone you can "hire", particularly if you have the means to actually fund the deal yourself.