About to Walk Away...Airbnb Deal W/O reports

[Amy O'Brien]

I am looking to buy the following property - 

Beach house that rents 180/days per year - duplex total nights rented 378 average rent per night $425

The P&L numbers do not match these numbers - the property has also been on and off the market for years which makes me nervous 

According to my math here are the numbers 

Cost 775K

Down Payment 156K

Average Income 100K

Average Expenses 25K

Mortgage P/I - 2650

NOI - 75K

Cash Flow - 43K

ROI 28%

Cap Rate 9.7%

Cash on Cash - 26%

Total ROI - 45%

Is this a good deal?? I am just concerned because we continue to ask for the reports and we are not getting them. 

[Patricia Steiner]

Is your "math" based on the P&L or on what you expected to have from the property?  What reports are you asking for?  Getting information from AirBnb is simple; the owner can download booking history and revenues in minutes.  The best predictor of future performance is past performance.  If it hasn't performed well in the past, you need to know why:  is it location, lack of service support, pricing.  

Is this a good deal isn't the right question until you have vetted the financials. Running an AirBnb is very much like running a hotel and as such requires that you focus on the business operation as much as the financials.  

Find out why you're not getting the reports.  That's telling in itself.