Mashvisor data- Destin, 30A or PCB

Mashvisor data- Destin, 30A or PCB

Jersey city, New Jersey (NJ) · Member since 2018 · 65 posts · 8 votes

I recently purchased Mashvisor subscription to focus on few markets and to get some real insights. I'm not sure that the data there is fully accurate and accounts for bookings other than airbnb (VRBO, Individual bookings and monthly rentals during off season etc). For one, I compared the numbers with what @avery carl has in her blog. Her numbers are far more encouraging.

So, I was wondering if anyone here has used mashvisor before and what their thoughts are in using that tool in optimal way.

Second, I'm almost in final stages of taking a decision to buy either a 2-3 bedroom beachfront condo or affordable SFH or townhouse few blocks away from a beach in either of Destin, 30A or PCB. The airbnb numbers dont look much different than each other in all of these 3 markets. Yes, Destin surely has a little edge and my first choice too, but im equally open to other two as well. I'm in touch with few realtors in these areas, but wanted to run by with you guys your thoughts on the same. My max budget is 450k as I dont want to play too big in my first outing as an investor. Also, i mostly intend to manage myself remotely from here in East Coast. So, if you have to pick one area with my budget, which will be your first choice in terms of better ROI and long term appreciation and other factors. Also, I'm assuming that there are not much of short term rental regulations in either of these areas and that remote management is possible.

On a side note, while looking at Mashvisor numbers, Palm Springs, CA, seem to have some amazing numbers especially for properties with higher number of bedrooms. I had considered PS in the past, but extensive regulations and the far away factor has discouraged me. But, looking at the numbers there I wondered why its not still considered a good market.

Thanks for your advice and pointers as always!

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Rental Property Investor · Philadelphia, PA · Member since 2016 · 543 posts · 716 votes
6y
Originally posted by @Dev Paul:

Thanks for your replies, guys. Since i have not yet decided that which of these 3 areas i should focus more, any striking differences among these 3 or any one you particularly like or avoid for whatever reason?

Second, Im not sure on mashvisor its easy to pinpoint which specific area each listing is from. But im still learning to navigate the tool and might reach out to them.

 Honestly, when I’m making decisions like this, I find a few comparable properties on Airbnb in each location & pay my offshore assistants to track these properties every day for the next few months & record how much $$ they’re making. I trust my assistants way more than i trust mashvisor or airdna!

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  • Michael BaumPro Member
    Olympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
    6y

    Hey @Dev Paul, on Mashvisor, I have never used it, but like all automated data scrapers, it will depend on available data to provide an accurate result.

    The more data points, the more accurate your results will be. Any outliers will really skew the results. I personally would start running down similar properties to yours in the area and do a manual data comparison.

    As for Palm Springs, it has a lot of regs and California is extremely tenant friendly. I personally think the risk is not worth the potential reward. 

  • Member since 2020 · 2 posts · 0 votes
    6y

    Double-check the Airbnb revenue on AirDNA's Rentalizer.

  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    6y

    I agree with Michael about avoiding California and doing some manual comparisons.

    I would create a spreadsheet with a different tab for each location.

    Find 5 comparables to the vicinity and type of property you are interested in. 

    Maybe create another tab for same area but SFR vs condo to specifically compare those against each other.

    See how the numbers compare.

  • Jersey city, New Jersey (NJ) · Member since 2018 · 65 posts · 8 votes
    6y

    Thanks for your replies, guys. Since i have not yet decided that which of these 3 areas i should focus more, any striking differences among these 3 or any one you particularly like or avoid for whatever reason?

    Second, Im not sure on mashvisor its easy to pinpoint which specific area each listing is from. But im still learning to navigate the tool and might reach out to them.

  • Rental Property Investor · Philadelphia, PA · Member since 2016 · 543 posts · 716 votes
    6y
    Originally posted by @Dev Paul:

    Thanks for your replies, guys. Since i have not yet decided that which of these 3 areas i should focus more, any striking differences among these 3 or any one you particularly like or avoid for whatever reason?

    Second, Im not sure on mashvisor its easy to pinpoint which specific area each listing is from. But im still learning to navigate the tool and might reach out to them.

     Honestly, when I’m making decisions like this, I find a few comparable properties on Airbnb in each location & pay my offshore assistants to track these properties every day for the next few months & record how much $$ they’re making. I trust my assistants way more than i trust mashvisor or airdna!

  • Real Estate Agent · Tampa, FL · Member since 2018 · 464 posts · 452 votes
    6y

    @Dev Paul - I've had a Mashvisor account locally as well, and their STR numbers are out to lunch. I generally lean on local investor-friendly agents or AirDNA as a solid source of info. AirDNA numbers are optimistic in the area, but not nearly as off as Mashvisor. Good luck!

  • Jersey city, New Jersey (NJ) · Member since 2018 · 65 posts · 8 votes
    6y

    Thanks Mark and Matt. Mark, i had already been researching for a while and dont want to keep doing this analysis paralysis thing for ever. I think im fairly clear on towns i need to focus on after months of going over posts here and other articles i read. Its now just a question of finding the right property which makes most sense. Im hoping someone could offer insights on pros and cons of these three areas.

  • Real Estate Agent · Tampa, FL · Member since 2018 · 464 posts · 452 votes
    6y

    @Dev Paul - You'll be able to cash flow in any of those areas.  I have clients that love each of them! You truly make the money when you buy, so it'll come down to partnering with a solid agent to help you find that golden nugget.  

    As far as the areas, they all have their pros and cons.  PCB has been known to be a party/spring break town for years, but (especially after Michael) they have been trying to convert to a more family-friendly vacation spot.  30A has done a great job of keeping the large devlopments out and mass commercialization.  It's a beautiful area with a laid-back vibe.  However, 30A will generally be the most expensive area.   Destin is quite commercialized, and in my mind, it's a good mix of 30A and PCB.  

    When are you looking to pull the trigger? That makes a difference as well in expectations and planning.

  • Jersey city, New Jersey (NJ) · Member since 2018 · 65 posts · 8 votes
    6y

    Thanks Matt for the comparison. Also, it seems STR regulations are pretty relaxed in this market and there are no strict requirements to meet guests or getting some expensive permits from the city or some max number of reservations etc? I'm hoping to close something soon.

  • Contractor · Sheboygan, WI · Member since 2016 · 921 posts · 266 votes
    6y

    @Dev Paul what is your goal as far as ROI after all taxes,expenses and fees? That is what would you like to net?

  • Jersey city, New Jersey (NJ) · Member since 2018 · 65 posts · 8 votes
    6y

    @Todd, ideally from what I understand, atleast a ROI around 10% on total investment (including mortgage amount) makes it worthwhile on short term rentals. So all the cash flow after all the expenses and taxes including interest paid on mortgage. For example, if i buy a property worth 400k with 80 k downpayment and 10k closing costs. Lets say mortgage with taxes and hoa per month is 3k, out of which atleast 500 dollars is going towards my principal payment, so i like to count it as 2.5 k net costs per month. Add another 800 dollars for monthly expenses, utilities etc. In the end, i need to net at least avg of 5-6k in rental revenue every month to have net profit of 30-35k yearly. From what i read here and other places, it seems few markets like these in florida, do net these kind of numbers for many people. Let me know your thoughts

  • Real Estate Agent · Tampa, FL · Member since 2018 · 464 posts · 452 votes
    6y

    @Dev Paul - Regulations are always going to be a concern anywhere and in any real estate investing niche.  In areas such as Destin or Gatlinburg, they've been a short term rental market before AirBnB even existed, so the economy and government is much more on board.  In bigger cities like Nashville or Atlanta, the hotel industries have been severely disrupted, which is why you're seeing a lot of regulation there. 

    Locally, Destin has some regulation and permits, but it's nothing crazy.  If you want to avoid that you can jump over to Miramar Beach/30A or even Fort Walton Beach, where there isn't as much (if any) oversight.

  • Jersey city, New Jersey (NJ) · Member since 2018 · 65 posts · 8 votes
    6y

    Thanks Matt. I sent you a pm. Let me know if my numbers above make sense.

  • Rental Property Investor · La Quinta, CA · Member since 2014 · 1k+ posts · 779 votes
    6y

    @Dev Paul Happy to chat about Palm Springs, good numbers but a super restrictive ordinance.  We have properties in that general area with more lax restrictions.  @Adam Gilbert may be able to chime in as well.

  • Realtor · Palm Springs, CA · Member since 2012 · 4 posts · 7 votes
    6y

    @John D. @Dev Paul Yes, each city in the Coachella Valley has a different vacation rental ordinance, rules, regulations and sometimes even business models when leveraging large events such as the tennis tournament and Coachallea/Stagecoach etc. Happy to discuss those nuances if you have specific questions. 

  • Jersey city, New Jersey (NJ) · Member since 2018 · 65 posts · 8 votes
    6y

    Thanks John and Adam. Right now focusing only on Florida panhandle market. But perhaps second vacation rental will be in PS area. I actually visited PS 1.5 years ago and really liked the place and properties there. If it was not for the distance and super restrictive landscape (especially the part where local manager needs to be there 24/7), PS would have been my first choice to buy my first vacation rental.

  • Rental Property Investor · La Quinta, CA · Member since 2014 · 1k+ posts · 779 votes
    6y

    @Dev Paul while the rules depend on the local City, the typical requirement is that someone responds to the complaint within 45 or so minutes 24/7.  It does not necessarily mean they need to be local.  Also, this requirement is complaint based, so if there is not a complaint, it's not an issue.

  • Contractor · Sheboygan, WI · Member since 2016 · 921 posts · 266 votes
    6y

    @Dev Paul, Yes you should be able to net 10% with a NNN lease in PCB area. A duplex for 400k can be built that would yield 40k net, excluding interest costs due to leverage. A lease would mean the property manager furnishes the property, pays all taxes , insurance and maintenance. Property owner is passive and just collects a check.

  • Real Estate Agent · Charleston, SC · Member since 2018 · 37 posts · 29 votes
    6y
    Originally posted by @Ahmed Hashlamon:

    Hey sir,

    This is Ahmad, VP of Data at Mashvisor. Thanks for raising this up, we really appreciate your valuable feedback

    With the data, I'm happy to tell that we validated our calculated occupancy rates, revenue, and booked nights with several Airbnb hosts in order to guarantee providing you the best you'll have; as a result, our comparisons and algorithm showed an identical match with the hosts' data.

    The more rentals and listings in the area is a primer factor for the higher accuracy we bring to you, so it mainly depends on rental listings to ensure there're no outliers ruining your data, however, we do our best labeling the outliers and excluding them.

    The special thing we offer to you in Mashvisor that we use only verified and valuable listings to you, so we only do our calculations based on listings have more than 3 reviews, any listing with less than 3 reviews is excluded. 

    Also, we only do our calculations on entire homes/apt listings, so we don't use private rooms or shared rooms listings to analyze a townhouse or an SFH like other services, which guarantee to you a higher similarity ratio better, and more accurate calculations.

    Finally, we allow our customers to export listings comps so you can see how we calculated it for any listing or area, and what listings we used to, this exported spreadsheet would help you a lot and make things easier for you validate

    I've spent a lot of time with Mashvisor data in the past and the biggest issue for me is the fact that you don't include Vrbo data in the reports. That's a pretty significant amount of data since a significant amount of hosts use both platforms. I do appreciate the ability to export data, that's one area where you have the upper hand over Airdna.

  • Lender · Tampa, FL · Member since 2018 · 149 posts · 102 votes
    5y

    @Dev Paul

    Happy to chat about pcb if you would like to reach out. I own a 3br condo and remote self manage. Should get around 65-67 ish total gross this year with missing out on a month and a half with COVID lockdowns. Do think it was a bit busier year as no one could take a cruise and international travel was way down.

  • Member since 2018 · 7 posts · 0 votes
    5y


    @Joey Morea what condo is your unit in?  I'm looking at Calypso but would really like to get an insiders perspective on condo with the best ROI.  Also, how much are you going to net?  Thanks so much!


    Originally posted by @Joey Morea:

    @Dev Paul

    Happy to chat about pcb if you would like to reach out. I own a 3br condo and remote self manage. Should get around 65-67 ish total gross this year with missing out on a month and a half with COVID lockdowns. Do think it was a bit busier year as no one could take a cruise and international travel was way down.

  • Real Estate Agent · Tampa, FL · Member since 2018 · 464 posts · 452 votes
    5y

    @Josh Hinkle - As an investor and Realtor in the area, one of the more exciting condos in PCB is Tower III (calypsotoweriii.com/) -- They were originally Calypso Tower III, but due to legal issues with Calypso Towers I and II, they decided to break off to avoid that drama (Hence, they're just called "Tower III" now.)  

    All that to say, the location is fantastic (closest condo to Pier Park) and the projections vs the value seem to be very solid, which you can see in their site as well. 

    Best of luck!!

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