Short Term Rental in Phoenix

[James Cool]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $420,000
Cash invested: $120,000

5 bedroom 2 bath property with pool, shed and playground in the backyard. Created with the intention of using as a short term rental. Fits 11 people.

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

Air Bnb and short term rental properties were very popular at the time.

How did you add value to the deal?

New paint, surface level outdoor remodeling, and new furniture.

What was the outcome?

Property was not incredibly successful as a short term rental, mostly due to location. Has become part short term and mid-term rental now.

Lessons learned? Challenges?

Location is crucial for short term rentals and it is better to fit the majority needs than to be a specific kind of rental. This property is only a good fit for families and large groups as it has lots of beds and space.