Another STR Nearby Or No?

[Rebecca Palmer]

We own a vacation rental in NW Lake Tahoe that we love and is doing very well as an Airbnb. We are gearing up to purchase another property in the next year or two and are debating....do another one in the same area, as we already have cleaners/contractors/services that we trust? OR do we buy a property in a completely different area (state) to diversify.

We live abroad currently and go back to Tahoe twice a year to check in on things and do any needed projects. That is one argument for the “another I’m Tahoe” camp, since we could do both at once.

But would having two in the same area be reckless? Because if something happened in the area, BOTH would be affected?

And to follow up, we are also thinking through if we bought in the same area, would we buy another with the same target audience in mind? (Larger house, private beach, family friendly) or diversify in “type” and maybe do the opposite....maybe aim for the couple travelers instead and get a smaller place in a hyper convenient location (right by downtown, restaurants, etc)

Any thoughts appreciated!

(I’m a stay at home mom currently to two little boys and managing our Airbnb from the UK has been a fantastic gig! Highly recommended to any other moms who wonder if they could do it or not!)