Mountain Town Investment Property

[Eliza Sparks]

Investment Info:

Single-family residence buy & hold investment.

10 person Airbnb rental in mountain town of Pagosa Springs. Close to Wolf Creek Ski area, and home of Pagosa Hot Springs brings lots of visitors during all seasons.

What made you interested in investing in this type of deal?

Everyone in Colorado dreams of owning a mountain house, but the market is so competitive in the towns off I-70. We discovered Pagosa Springs in early 2020 and learned they have a very successful tourism and Airbnb market, with reasonably priced homes.

How did you find this deal and how did you negotiate it?

We had our eye on this house that had been on the market for months, and just lowered in price. We weren't able to get in to the house to view it because it was fully rented out for weeks on Airbnb (a good sign!). We ended up putting in an offer sight unseen, and beat out another interested investor. We were able to negotiate all the furniture to stay with the house.

How did you finance this deal?

Traditional financing with 20% down.

What was the outcome?

We were handed future confirmed Airbnb bookings at the closing table, and were immediately able to have the short term rental business up and running. It's been an extremely successful rental. We were given the cleaner and maintenance resources as well to have people to trust on the ground there, who also knew the house better than we did.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

If ever looking in Pagosa Springs, CO, we'd recommend working with Anita Bowles with Jim Smith Realty. She also runs her own short term rentals in the area and is very plugged in to the community.