All Forum Posts by: Beth Crosby

Quote from @Beth Crosby:

Ok im on it! Thanks again Michael! Im gonna try it :)

Well alrighty then! Keep us informed, ask more questions and we will help as much as we can!

Quote from @Beth Crosby:

I most definitely don't have an exact plan, nor am I for sure going forward. I'm honestly just trying to figure all of this out. And relying on my fellow investors for some wise advice. I very much appreciate your candid honesty! After hearing, everyone's thoughts, I believe I am going to do this on my own. So thank you! I will just pay his builder fee and continue with my own management. I saw your comment about evolve. I didn't think 10% was a lot for them to do all the scheduling and advertising? So far January and February I've been pretty much fully booked, with exception to my owner blocks.What is the "ERP" ? Please tell me if there is a better way? Self managing I think would be a lot for me with what I'm hoping to be three or four properties. But again, I'm open to hearing other suggestions please :-)

Ok! So Evolve takes 10% for what I think is the easiest part of STR management. They run the listing and take the bookings. They do some communication, but most is up to you as it is about maintenance etc. I love chatting with guests and making sure they have everything they need. The best part of self management!

You have to get the cleaners, do the scheduling, make sure the maintenance gets done etc.

Another big negative is that they own your booking, not you. All those reviews, photos etc, are theirs. If you decide to move to self management, you have to start over. The longer you use them, the harder it is to get away.

Oftentimes, they undercut the nightly rate in order to get bookings. They make money from bookings, not empty nights. You should really do a deeper dive on your listings nightly rates. Check what others are charging around you and see if you are competitive or undercutting. Lots of bookings don't always mean you are getting what you should.

So, you can see I am not a big fan of not owning my listings. Plus they tack on some fees that you get zero part of. Evolve is the most expensive way for guests to book.

If you keep up with maintenance of the hard systems, get a great cleaner and have a handyperson available, self management isn't that hard. Especially since you are living right there. We do it from 7+ hours away from our rental.

Plus you say you are 60, that is the new 40 IMHO. My wife and I are the same age and we are looking for more STRs. You have the 5 properties which is awesome. If I were you, I would just start with the first one and keep rolling. Get them all built out in 5 years or so and go from there.

Once you get rolling, things will go just fine IMHO. You can do it, I am certain of that. Being right next door makes it much easier. You can double check the cleaners, do walk throughs on off days to check for things they miss, manage the maintenance and see how they do, the positives are endless I think.

I have full faith that you can do it yourself and kick a ton of a$$!

I have done deals with contractors/builders before.  Typically they are bearing the entire cost of renovation if already built, and labor if it is a new build.  I would not be partnering under other circumstances as you could just hire someone and keep all the equity at that point.

@Beth Crosby

i don't invest in STRs but i do share the concerns of the other posters

just curious, why 'partner'?  why not just hire out the work?  you're saying 'i have a short runway but i plan to enter into a permanent agreement'

why not go out to the market and get 5 quotes and hire the best?

Don't take on a partner unless it's a no brainer or they can solve a problem that you cannot solve. The surprises of a partnership are usually not, "this was easier than I thought it was going to be." They all end and most don't end well. You're getting married to this builder. His problems now become your problems. Given the fact that construction companies are the 2nd most common (restaurants still #1) to go under, I think that you are adding risk that is not commensurate with the limited upside that comes from partnering. 

Own 100% of the property and outsource to full service management. We're a self management crowd here, but I totally understand not wanting to do it.