Treehouse AirBNB in Maine

[Amanda Salovitch]

Investment Info:

Other other investment.

Purchase price: $700,000
Cash invested: $175,000

I purchased three treehouses that are short term rentals. They sit on 56 acres in Western Maine. This property is also a small business (18 hole disc golf course & convenience store) that is operated by my business partner. If you are interested in renting visit our website www.inthetreesmaine.com

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

I was looking for short term rentals in Maine because we are the Vacationland!

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

It was listed on the MLS. We offered $15k under asking which they accepted. It was hard to find someone to appraise it because it is a very complicated appraisal with very few comps. The appraisal came in lower than our offer so we were able to renegotiate and get it for $25k under asking price in the end.

How did you finance this deal?

We did a commercial mortgage with 25% down and I split that with my business partner

What was the outcome?

The treehouses are booking fast on AirBNB. We have multiple income streams from this property, the rentals, disc golf fees and the items we sell at the store.

Lessons learned? Challenges?

This purchase was complicated because we are truly starting a business not just purchasing real estate. I had to build create a brand, start a website, develop a social media following, figure out how to sync booking software, purchase inventory, etc. so it has been a huge learning curve!

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

I represented myself on this deal. I am an investor friendly real estate agent!