Rental Property Investor · Cleveland, OH · Member since 2016 · 37 posts · 19 votes
My wife & I are looking to purchase an apartment that we can use in Downtown Memphis when we visit, but also use as a short-term rental to help provide supplemental income when we aren't there (Airbnb, private website, etc). Ideally we're looking for something Downtown, South Main, or the Pinch District.
We're seeing a lot of units listed on Airbnb, however, when we look at units in the same or surrounding properties we're seeing that a majority of the condo associations require at least a 6 month leases.
Clearly people are listing their places on Airbnb so I'm wondering how they're getting around this. The obvious answer is they either they aren't telling the condo association or the condo association / property management doesn't actually care enough to take action.
We haven't had experience with a condo before so I'm looking to hear from others who have invest in either a condo, Memphis, or both. What action can a condo association take if you are "caught" renting your apartment for a shorter timeframe?
Real Estate Consultant · OH · Member since 2023 · 2k+ posts · 1k+ votes
3y
Don't have an answer to your question but one thing I do want to throw out there is.... You don't get anywhere doing underhanded things. Even if everyone else is getting away with it for now, doesn't mean they won't do something to stop the STR in that complex sometime.
Real Estate Consultant · OH · Member since 2023 · 2k+ posts · 1k+ votes
3y
Don't have an answer to your question but one thing I do want to throw out there is.... You don't get anywhere doing underhanded things. Even if everyone else is getting away with it for now, doesn't mean they won't do something to stop the STR in that complex sometime.
Attorney · Memphis, TN · Member since 2017 · 130 posts · 104 votes
3y
@Matt Rutter Some HOAs are more active/lenient than others. But I think most HOAs would catch a STR sooner or later. Probably as soon as the neighbors started complaining.
As far as getting caught - they'd probably hit you with fines. A good closing attorney will read through the HOA documents to look for leasing prohibitions. Just make sure you include in your offer that the offer is contingent upon being able to operate a STR.
Real Estate Broker · Memphis, TN · Member since 2015 · 1k+ posts · 887 votes
3y
@Matt Rutter I have a client who has some SFR STRs. He gets a lot of clients who need a furnished home to house traveling nurses or construction workers for the Blue Oval project. If you want more information, I'll be happy to talk to you offline.
My wife & I are looking to purchase an apartment that we can use in Downtown Memphis when we visit, but also use as a short-term rental to help provide supplemental income when we aren't there (Airbnb, private website, etc). Ideally we're looking for something Downtown, South Main, or the Pinch District.
We're seeing a lot of units listed on Airbnb, however, when we look at units in the same or surrounding properties we're seeing that a majority of the condo associations require at least a 6 month leases.
Clearly people are listing their places on Airbnb so I'm wondering how they're getting around this. The obvious answer is they either they aren't telling the condo association or the condo association / property management doesn't actually care enough to take action.
We haven't had experience with a condo before so I'm looking to hear from others who have invest in either a condo, Memphis, or both. What action can a condo association take if you are "caught" renting your apartment for a shorter timeframe?
I wouldn't risk it. Look for an apartment in the pinch or uptown area in Memphis. I saw a five unit available in the uptown area on 712 fifth st for $599k