Does anyone have any sales comps for AIR BNB properties?

[Craig Teeter]

Does anybody have any experience SELLING air bnb properties?  Many people say that they are twice the income of long term rentals? 

Do they also sell for twice the price??

[Andrew Postell]

@Craig Teeter I think what you are referring to is a "conventional, conforming" loan vs. "portfolio/commercial" loan.  When we use conventional, conforming money (money from Fannie/Freddie) to buy a property those loan types will use "Comparable Sold Value".  Meaning, when a similar property as the subject property was sold, that is a comp.  Now "similar" is defined as similar size, year built, bedrooms/baths, condition, etc.  Being a rental or a primary home does not come into play with a Fannie/Freddie loan.  Nor does a Air BNB property.  A similar sold property is a comp and that is what is used to determine lendable value.

If you are using commercial money, then it can be anything really.  And sometimes a commercial loan will use the "rental income" to evaluate a property.

The difference here is what is the best loan for you to use?  If you want a fixed 30 year rate, and can qualify for it, then a Fannie/Freddie loan is the better loan for you.

If you cannot qualify for a Fannie/Freddie loan, or if a commercial loan will lend you MORE money because they evaluate the property on rental income, then maybe the commercial loan is right for you.  A typical commercial/portfolio loan in Texas is a 20 year adjustable rate mortgage.  And for some people that is fine.

I hope this makes sense how I am describing it.  Feel free to tag me with any other questions you may have.  Thanks!