Successful Dallas Airbnb sold for ~530% ROI in 2.5 yrs. (Casa View area)

[Michael Castro]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $175,500
Cash invested: $13,500
Sale price: $242,500

Purchased as primary residence, used as an Airbnb, held for only 2.5 years cash flowing ~$600/mo net, sold for $67k appreciation and ~$18k net income.

From $13,500 (including furniture) to $85,000 in 2.5 yrs. ~530% ROI.

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

Low money down, no work needed.

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

On mls, was multiple offers and I offered well above list. Didn't matter because cashflow still worked.

How did you finance this deal?

Conventional

How did you add value to the deal?

Just furnished and switched out light fixtures.

What was the outcome?

From $13,500 (including furniture) to $85,000 in 2.5 yrs. ~530% ROI.

Lessons learned? Challenges?

Dallas Airbnb taxes kept increasing, and this particular market was very saturated, had to keep prices low and focus on keeping 98% occupancy rate. Low price point meant having bad tenants at times.

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

I am the agent.