Hello BP community,
I'm new to investing and also new to BP. My interest in STRs was sparked by reading several posts here and the book "Short Term Rental, Long Term Wealth." I've also listened to a few episodes of the BP podcast about STRs. The way Avery Carl (the author) and the podcast guests describe it, managing an STR seems quite straightforward, though I'm aware it requires significant effort to be successful.
My plan is to purchase a property for under $400k, make a 10% down payment, and self-manage it as an STR.
Living in San Diego, and given the real estate prices in Southern California, finding a profitable STR locally seems challenging. Therefore, I'm exploring the idea of investing in a long-distance STR.
I'm aiming for a Cash on Cash return of 25%, but after researching a few markets, I'm finding it difficult to achieve this target. Is a 25% CoC return realistic? If not, what would be a more realistic CoC return expectation? Any market ideas or recommendations? Additionally, are there any markets that are particularly friendly for new investors? Thanks!
