Short-Term Rentals in Philadelphia

[Andrew Reyes]

Hi All:

I have a group of like-minded investors in NY that have has a great deal of success  with short-term rentals (AirBnB). They are expanding to PHI and have approached me about partnering with them on a deal.

Below is the info I have so far, looking for advise on what I am missing from a data standpoint, and what I should know about the market in general.

Property type: Townhouse

Listing price: $550K

Layout: 2bd/2ba

Property taxes: $13K

Income expectation: $200-$300 per night

Leverage: approx. 85% LTC

What is a good estimate for the following:

Financing fees

Closing costs

Vacancy rate: (I was told 80% is a conservative estimate for the area)

Repairs & Maintenance

Cap Ex

Thank you all in advance for the advice!