First Short Term Rental / House-Hack

[Jonathon Hunt]

Investment Info:

Single-family residence other investment.

Purchase price: $615,000
Cash invested: $25,000

Short term rental property in Midtown, Sacramento. Listed on various vacation rental sites.

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

I was looking for a way to get into the game. I wanted to find a way to balance my hectic travel schedule but also stop paying rent. I found this to be the fastest way to be able to get into the game since I didn't have the time to take on a big project myself.

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

An agent brought me this deal.

How did you finance this deal?

Conventional financing

How did you add value to the deal?

high quality furnishings and providing above average marketing to my listing sites.

What was the outcome?

So far, I'm running at a very high occupancy rate, but I will know how well I do after the first full year.

Lessons learned? Challenges?

I would have focused on a multi-family home if I were to do this strategy again. I could have stabilized a 4 unit building with 3 long term leases and rented out the owner-occupied unit with short term rentals half the year.

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

I used Kelly Bush as my agent from Exp Realty. She is awesome and would highly recommend. Ed Diaz at Kuno Advisors arranged my financing. Both were professional and quick to respond.