Where are the best and friendliest Airbnb cities?

[Andres Triveno]

Where are the best and friendliest cities to invest/buy real estate for a short term/vacation rental business (Airbnb, VRBO)?

[Marcus Johnson]

@Bonnie Low

Read my reply to Gerald Pitts.

[Andres Triveno]

Originally posted by @Marcus Johnson:

@Gerald Pitts  Let me be very clear, I would only advise purchasing out short term rentals in this area if you are within 20 minutes of these properties for management and turnover routines, you won't make any money if you have to distribute these duties.  My point was that there would be quite a nice niche for someone who enjoys the lake areas and wants to be part of the community, long distance landlording wouldn't be profitable.   We bought the lake property in 2018 with original intent to convert the property to 4 season cabin which would be value add and sell it in a couple of years.  What we found is that we stopped using the cabin frequently and started advertising on Airbnb and found a ton of interest of tourist from Iowa, South Dakota, Minnesota and Wisconsin.   It took me about a year to figure out exactly what the right prices are for each season or holiday of the year.  For example ice fisherman and hunters love the area from October until March, bullhead days in Waterville, MN, you could upcharge per nights to around $250 to $300.    Christmas was very popular, brining in $125 a night.  Spring and Summer brings in the boaters and fisherman, I started getting repeat business from the same customers and they were reserving 6 months in advance.  In 2019, we brought in $15,000, which could have been much higher, this was the year I was learning the systems, once you gain popularity and are 5 star hosts on Airbnb, like we were 8 times over, people flocked in.  In 2020 right before Covid, we rented to 4 metal workers doing a big job in Waseca for $6,000.  We finally sold in May of 2020, because I was tired of driving an hour to do change overs and we no longer wanted a cabin anymore, because we missed camping with a travel trailer.  It's really to bad, because we were running an awesome business and the customers were repeats.   There is definetely a market for someone down there if you live in the area and like to get your hands dirty, if you are a long distance landlord, this probably isn't your lifestyle.

Not true I have 4 STR units and dont have to visit them at all. My cleaner manages and replenishes everything

[John McGonigal]

@Andres Triveno I'm surprised nobody has yet mentioned Branson, MO. Thriving STR market with a long season (Mar-Dec) that draws a lot of vacationers to area attractions. Think Gatlinburg/Pigeon Forge but cheaper.

[JaNae Anderson]

Hi @John McGonigal what do people typically visit Branson for? Just curious because it seems like they have a long season. I wouldn’t mind checking it out.  

[John McGonigal]

@JaNae Anderson Hi JaNae, tourists visit Branson for a lot of different reasons.  You can internet search "Branson Tourism" to get a feel for their attractions.  It is definitely a 'tourism' town.  Silver Dollar City is probably the best-known attraction (similar to Dollywood in Pigeon Forge), but there nearly endless family focused activities (live shows, aquarium, theme parks, museums, event centers, etc).  We've been to many 'theme' parks and Silver Dollar City is by far our favorite.  It just has a different feel than typical roller coaster park.  Branson is also a big draw for family or other reunions, regional/national competitions, and conventions due to there being so many things to do in town.  It brings in a lot of families with kids... We've taken our kids to Branson many times, and I used to live 30 minutes away, and we've barely touched the surface of things to do.  It also attracts older travelers who typically love the many live shows that are available. Due to being a central location, it attracts many different organizations for conferences and reunions. Golf, softball, and other sports competitions are held there regularly.  It is also a beautiful part of the Ozark Mountains.

If you're familiar with Gatlinburg/Pigeon Forge, I'd say Branson is a sister city.  We just visited Pigeon Forge and Gatlinburg over the holidays to do a little market comparison and many of the attractions you find in Tennessee, you'll find in Branson.  I think the main difference is Gatlinburg has the Smokey Mountain National Park as a main interest for outdoor enthusiasts, where Branson has several big lakes that attracts fishing and boating enthusiasts. 

Branson is absolutely worth a trip if you're comparing markets or want to know what it is all about.  If you end up not buying an investment property, you'll at least have a blast looking!  Good luck.

[JaNae Anderson]

Thank you so much for your insight. I really appreciate it. I'm starting my research on Branson right now. It sound like fun.