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All Forum Posts by: Benjamin Vail

Benjamin Vail has started 8 posts and replied 158 times.

Post: Short term rentals in Cincinnati

Benjamin VailPosted
  • Real Estate Broker
  • Columbus, OH
  • Posts 181
  • Votes 244

We are opening and managing our first STR unit in Cincinnati next week. We are currently focused in Columbus, but I think Cincinnatti is ripe. We are opening a unit in Hyde Park. We are looking to take on 2 - 4 more units to manage in Cincinnati area. I especially am looking to take on a few units on the OTR area!

My understanding about the legislation in Cincinnati is that action has been considered by the city, but no action taken yet. 

Post: Airbnb Data for Investors for all Zip Codes - ADR,OCC +

Benjamin VailPosted
  • Real Estate Broker
  • Columbus, OH
  • Posts 181
  • Votes 244

I agree with Tim Schroeder, it only looks at ABB, not the full market. I also agree that looking at top properties is the most valuable piece of AirDNA. It shocks me though how inaccurate a lot of their revenue numbers are. I manage 18 listings now. There are 2-3 of them that are deadly accurate as reported by AirDNA, then there are 10 or so that are off by 10% - 20%. Then there are 5 or so that are off by over 50% compared to what AirDNA reports them as. 

I have one property that has multiple listings at the same address. There is a glitch in the AirDNA system that double counts all those bookings, and it false reports my revenue as $55,000 when it is actually about $27,000. So just be weary of that glitch when evaluating properties with multiple listings at the same address. 

Post: Renting out House because of job opportunity thats out of town.

Benjamin VailPosted
  • Real Estate Broker
  • Columbus, OH
  • Posts 181
  • Votes 244

@Dustin Bergeron your concept it accurate, and I am sure you can find a local Airbnb host to help you run your house as an Airbnb while you are gone.  I do that for clients, and it was so successful that I started a company to do that for clients. We know manage 18 houses in the Midwest. If you would like, I could help find someone to do that for you in Houston.  Just think, you can leave your furniture in place and not have to move it. You can make money I’m not only your house, but also your furniture while you are gone.   If you ever want to come back for a day or a couple days, you can just block off your calendar and stay back at your own house. 

Post: Estimating STR growth over last few decades

Benjamin VailPosted
  • Real Estate Broker
  • Columbus, OH
  • Posts 181
  • Votes 244

airDNA.com will have some data like what you are looking for. (Though you may need to pay for it, and it will only track Airbnb listings, not VRBO or others). 

Post: Columbus is now officially STR friendly!

Benjamin VailPosted
  • Real Estate Broker
  • Columbus, OH
  • Posts 181
  • Votes 244

@Tim Bergstrom I spoke with the policy representatives from Airbnb about Nashville and TN regulations. It sound like the state made some favorable moves, but the city of Nashville has gone the other direction. How is it going for you there?

We do have a website, and we are now in a growth phase where we will be re-launching our website and branding very soon (now that what we do is a legit business!). Our current website is housepitality.biz . We have a good steady pace of traffic at our STR houses here, lots of conventions, weddings, family gatherings, and also a steady pace of business travelers during the week.

We have been very encouraged by what we see in the Indianapolis market. It is a market where the regulations were decided positively about a year ago. Now the STR market there has doubled in both supply and demand. There also seems a healthy market of investors and owners buying and selling these properties.

Post: Columbus is now officially STR friendly!

Benjamin VailPosted
  • Real Estate Broker
  • Columbus, OH
  • Posts 181
  • Votes 244

Michael Magbalon, we have a mix of SFR and Multifamily. Mostly SFR.

Post: Columbus is now officially STR friendly!

Benjamin VailPosted
  • Real Estate Broker
  • Columbus, OH
  • Posts 181
  • Votes 244

After a year of outreach, organizing, researching, and advocating, we have a great outcome in STR regulations in Columbus. On 07/30/18 Columbus City Council voted to pass regulations that work well for the majority of people who own a short term rental property.

In August 2017 city council made a proposal of city codes that limited non owner-occupied short term rentals to only rent out 104 nights per year. We gathered stake holders together, and spoke out for our rights as property owners to not be limited in how we choose to rent out our properties. City council listened to the public input, and then on 07/13/18 they changed their proposal to a new one that allows any property owner to rent out as a short term rental with no cap on the number of days. There is also not limit on the number of STR properties one can own. That means that short term rentals will now be licensed, and legitimate business in our city just as a hotel or traditional bed and breakfast.

In speaking with the representatives from Airbnb that were in town several times working on this legislation, they say that the regulations passed in Columbus are now being used by Airbnb as "model regulations" for all cities to use to get the best mix of protections, taxes, permitting, and rules for short term rentals to thrive as a lodging option for visitors. 

Our management company (Housepitality) is now in a growth phase again, and are on-boarding properties #18 - #21 this month. We are also listing and selling a few of our STR houses as turn-key investments for passive investors. If anyone has property in Columbus that you are considering the short term rental model, or Airbnb, we would be happy to help you figure out the best path.

We also are expanding our management services to Indianapolis, and Cincinnati. We just opened our first STR in Indianapolis, and now have boots on the ground to handle taking on more units.

Post: AirBnbs in a Recession

Benjamin VailPosted
  • Real Estate Broker
  • Columbus, OH
  • Posts 181
  • Votes 244

I did not own or manage my STR's back in 2008. I graduated with my degree in Aug 2008, and was working full time as a real estate agent. It was surreal, and an education by fire. I remember coming across lots of houses where owners were walking away from their over-valued mortgage in what was called Strategic Default. At one point my local MLS was 45% vacant REO /Short sale properties. Lots of households were combining because of this.

As I have built my STR business over the past 3 years, it has been quite the opposite, but I have always kept in the back of my mind what that world was like. The fact is that people will always need a roof over their head, and that is what we provide. I actually think that if the housing market ever takes as deep of a hit like 2008 again, and those households must combine, having decent affordable short term housing will increase in demand. Our luxury units that sleep 16 wont be getting booked at $1000/night as much anymore, but our 2 BR 1 BA bungalow will have people lined up to book it for a week or a month at $50/night.

Always have a plan B when investing in real estate. Every house I bought for STR will still make sense as a LTR. Also stay diversified. Do some houses/products on the high-end, and some on the low end.

The only risk we really have is the $75,000 in furniture we own. I always joke that is when we will have the largest garage sale in the world. 

Post: Short Term Rentals (like Airbnb) have been BANNED!

Benjamin VailPosted
  • Real Estate Broker
  • Columbus, OH
  • Posts 181
  • Votes 244

I’m a broker in Columbus, and Full disclosure, I run multiple short term rental units. My thoughts are that first and foremost are property owners rights should allow the property owner to decide what to do with the property, as long as it does not infringe on other’s rights. 

There are a lot of Airbnb opporators who do not host responsibily, but I believe that it can be done. We have had a few problem guests in the past, but with proper vetting, expectation setting, and effective communication with guests, you can have consistently great guests. We are also in constant communication with the neighbors of our STR houses, and we work with them. Believe it or not we have many neighbors who kinda like having an Airbnb next door. We hire people from the neighborhood to mow the grass, and clean the houses. They can book it for their friends and family to stay for a discount. One has booked our house for their kids graduation open house, so they don't have to host it at their house (let our cleaning crew do the cleanup!).

Being a host, and interacting with the guests that book these Airbnb houses, I am realizing something that most people weighing in on this question around the world are not considering. The employment market is changing to be more short-term, and temporary. Over 60% of our business come from guests that are in town for work for a week, or a month, or several months. It is just a fact that more companies are switching to contract workers instead of hire for 30 years with a pension. These guests are the reason I believe STR houses should exist. These are real human beings, that have families, pets, that want to stay with them in a house, not a hotel. They want to be a part of a community, and not living out of a hotel by a freeway overpass for their 2 months in (Columbus, or Cleveland, or insert the name of your city).

I had a guest who was put on a 2 month assignment in Columbus by DSW, he was told it may turn into a full time, but it may not. His only options other than Airbnb’s were a 6 month lease, a 12 month lease, or an extended stay hotel room (and we all know how glorious those places are!). I had another’s guest on a 4 month assignment with a wife and kids in school back in Michigan. He was able to bring them down for weekends and holiday season and spend time with them in our house. They celebrated his sons birthday, and Christmas at our house (without the hotel staff bugging them, nor the awesome bleach-y hotel smell). 

I understand that an Airbnb house can make for a bad neighbor if it is not run responsibly. I would agree that most hosts today don’t take the proper steps to ensure that their Airbnb is in line with what the community wants. But to ban them completely is the wrong move. They will then go underground, become even less compliant, and the city missis out on a lot of tax. Not to mention the drop in tourism, and a growing portion of the workforce that may end up deciding not to take that temporary assignment in your city because they would be limited to a hotel room as their only option. 

Our city is considering ledgislation that would effectively ban non-owner-occupied STRs. I understand that in some vacation areas "neighborhoods have been gutted by Airbnb's" and lots of houses have converted to STR and it changes the feel of a community. However I have done the research here in Columbus. The city of Columbus there are 151,000 rental housing units. There are currently only 119 of those that are being used as STR full time, and only 450 total houses listed as "whole house available" on Airbnb. There is propaganda being put out by Big Hotel that is trying to convince the public that Airbnb is driving up the cost of rents, but the facts are that 119 rentals could not really be affecting the cost of the other 150,800 rental units in Columbus all that much. In other cities like NYC, and SF there are thousands of Airbnb's, and they do seem to be affecting the rental market, but before you go believing the lies put out by your local hotel lobby, look into the facts in your city.

Post: Best cities to buy into for AirBNB?

Benjamin VailPosted
  • Real Estate Broker
  • Columbus, OH
  • Posts 181
  • Votes 244

@Tim Schroeder I host Airbnb properties in Columbus Ohio. I own my own brokerage, and have started my own new Short-Term (Airbnb) Managment company. We do end to end Managment of Airbnb’s, and are killing it with our numbers. I as a broker and investor myself, am also an expert in finding the right properties for Airbnb, so I can advise with that as well. If you are interested in seeing our numbers, or learning more, just let me know. Thanks! 

Benjamin Vail