How To Find An Investment Property Using Analytics

Today’s technology and data has made a property search so simple, to the point where hands-off investingis the new norm. And it should be that way, right? Why shouldn’t someone be able to buy a property without being present? More importantly, knowing a property’s data and potential as an investment property is crucial in today’s fast-moving market. Mashvisor aims to provide investors with nationwide comparative and predictive analytics data so they can find the best investment property. This is data that is based on past trends and algorithms to predict future trends and outcomes, so people can make quick, intelligent decisions. Let’s understand how.

1. Search a Location

If you have a location in mind, search it on Mashvisor by city or neighborhood. You’ll be able to see how many listings are in a neighborhood. If you’re not sure which neighborhood to start viewing, look at the Mashmeter score, which is based on quantitative and qualitative analysis and some Mashvisor science. Click on a neighborhood and begin exploring listings.

2. Pick a Neighborhood and View Listings

The listings that appear give you an immediate comparison between the traditional strategy and Airbnbstrategy by calculating the cash on cash (CoC) return and cap rate, so you can determine which strategy is better for that particular listing.

When looking at listings, there are several filters to fine-tune your search. You can play with the mortgage calculator by changing down payment, loan type, and interest rate. Specify the search by selecting aimed CoC return, cap rate, budget, neighborhood, property type details,

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3. Click Listing and View Rental Report

In order to understand the investment market in a neighborhood and the potential of existing investment properties, Mashvisor provides data about real existing properties. View traditional and Airbnb properties and their bookings, reviews, descriptions, features, prices, occupancy rates, and more. By looking at this comparative data, you’re understanding what kind of property perform the best and what to focus on when on a property search.

If you want to maximize your Airbnb property’s occupancy rates, you can identify the factors needed to do that. The occupancy insights provide the top factors that increase rates, based on number of bedrooms and reviews. Furthermore, it reveals the seasonality trend. If summer is peak-season while other seasons are almost non-existent, an investor might need to consider another location. You can filter average monthly occupancy by occupancy rate goal, property type, or number of bedrooms.

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4. The Interactive Investment Analysis

Each report has cost projections which you can make specific to you by entering your own assumptions into the investment property calculator . Play with different costs to get better ideas of cash flow. The analysis takes into account startup costs, monthly costs, and turnover costs to get revenue assumptions.

Once you have entered your cost assumptions, a month by month breakdown of your expenses will be generated automatically. This eliminates the need to create your own spreadsheet. This not only helps prepare for your monthly budget, but estimates the timeline of the return on the investment.

5. Your Optimal Property

Based on the analysis of the neighborhood and property performances, the optimal property type and rental strategy are reported. The property type, number of bedrooms, and rental strategy appear as a summary as your best advised investment strategy. Take a look at the example below. This means a 2-bedroom flat listed on Airbnb in the listed neighborhood will provide the highest returns.

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Additional Information Provided To Make You The Most Money

- Know what kind of tenants to expect from the tenant insights which indicate the average household income and household size.

- The nearby attractions help you pick a property with proximity to popular sites. If you are hosting on Airbnb, it’s important to keep up with these attractions to see when and why tourists are visiting them.

Mashvisor’s professional plan allows users to have full access to over 10,000 nationwide investment properties, 5 city reports per month with Airbnb and traditional data, and more. If you’re a new or experienced investor, Mashvisor helps save you time by presenting dynamic data at once on one platform so you can quickly find the best neighborhood and property based on the best analysis.

Request a demo today to get a walk-through of how to use these services to find your best investment property.

How do you normally search for investment properties? Do you create your own spreadsheets? What’s missing in your search that could help you out?