Orange Beach / Gulf Shores - Still too high?

[Bryan Crawford]

We have been going to OBA / GS for 10 years and know the area well. We are considering a STR there, but in looking at properties it seems things are still a bit inflated. There seem to be 2 groups: 1) Those who bought during COVID and overpaid now trying to get out (negative cashflow) and still asking too much and 2) those who bought even as late as 2017 and 2018 trying to make a killing on their money. Either way when you do the spreads with current nightly rates these are almost always in the red. Unless you put a TON of cash down and by that point we could pick up a couple LTR near home. I don't mind a break even. But these rentals seem to be bleeding money.

Thoughts?  

[Bryan Crawford]

Numbers are down a little.  But the area is doing well.  The ones struggling are often the fault of owners still wanting COVID rates....and they honestly have horrible marketing.