All Forum Posts by: Brandon Carlson

I am sharing how my first month went as an STR Host. Time after time, people on social media discuss the highlights and how much money you can make owning an STR but ignore the ugly/bad that comes with being a host/investor.

What went wrong in November:

- Guests decided to flush unwanted items down the toilets even though I have signs stating not to flush any unwanted items. Total damage $720

-The heater didn't work because my thermostat wasn't compatible with my HVAC unit. I do take responsibility for this. While my renovation was wrapping up, I did test the A/C, which worked well. I did the heater, but in reality, it was just the hot air from outside circulating throughout the house.

What I could have done differently:

- Before guest check in, I call to remind them that we are on a septic system and ask if they can be mindful of what they flush down the toilet. It also allows me to build rapport with my guest.

The good:

- Suppose I didn't have those issues. My property would have cash flowed by a few hundred dollars on only 30% occupancy.

December/January Projections:

December: 77% occupied. $2,800 cashflow est.
January: 77% occupied. $2,400 cashflow est.

5 Votes

Los Angeles County, California

Your partners should share the same risk/reward as you. In order to protect yourself, have an operations agreement in place. Highlight who the GP (General Partners) & LP (Limited Partners) create an LLC and business bank account.

0 Votes

Orange County, California

Quote from @Kevin Kim:

Hi,

Today, I saw there are many listings in Joshua tree, Twentynine palms, yucca valley, etc.

I know real-estate market is slow. However if they do good STR business, then there is no reason for them to sell their house.

Can someone let me know if there is an issue for property in those area?

I guess it became red ocean(too many airbnb), and demand might be decreased, or permit issue?

Thank you.

Kevin, I recently went live with my first short-term rental in 29 palms a month ago. If your curious to know the good, bad, and ugly feel free to message me. I can also share with you potential long term rents. I'm licensed RE agent in California.

0 Votes

Los Angeles County, California

Hi @Lorraine Patterson how did your call go with the Real Estate agent? Where in Mexico are you investing?

0 Votes

Hi Alex, I'm investing in 29 palms. Happy to connect.

0 Votes

Quote from @Michael Baum:

Hey @Brandon Carlson, using just AirBNB is like parking a car you want to sell at an abandoned lot on a dirt road. It could work OK, but you would get better results by parking it on a busy street corner where it gets much more traffic.

You should always use both platforms just like @John Underwood said. We are closer to 70/30 VRBO/AirBNB on our house. Some areas get way more AirBNB than VRBO bookings but why give away the major player in this space?

@Michael Baum Thank you for the analogy, that makes sense. I will give VRBO a shot, what's the worst that can happen.

1 Vote

Quote from @John Underwood:

Quote from @Brandon Carlson:

Quote from @Michael Baum:

Gratz! Welcome to the fray. Are you on VRBO as well?

I'm considering it but not at the moment. Do you recommend I do so?

I do. True vacation rentals are popular on Vrbo. I get 95% of my bookings from Vrbo and only a handful from Airbnb.

You should definitely be on both platforms.

Thank you for the suggestion John. Any word of advice or best practices when it comes to VRBO? The reason why I ask, some folks share bias thoughts with VRBO.

0 Votes

Quote from @John Underwood:

You are smarter than most I can already tell. You called your STR by proper name and didn't call it an Air....

So true! lol

0 Votes

Quote from @Jon Martin:

Congrats! BTW your link is to all of the listings in 29 Palms, not sure if you meant to link your own property?

Thanks Jonathan for the heads up!

1 Vote

Quote from @Brandon Carlson:

Hi BP,

I finally did it! After months of back and forth, I decided to pull the trigger and buy a home to become a STR. What an experience. Going into it, I thought it would be a breeze, and I couldn't be more wrong. It was difficult managing contractors, design, furnishing, and staying within budget, but all-in-all it was a humbling experience.https://www.airbnb.com/s/Twent...

Key takeaways

Come up with a different design and or style. Don't copy your competition. If you do, you will be competing strictly on price.
Add a 10% buffer to your construction budget.
Construction may need more time to finish. For you to better prepare, add one month to your timeline.
Know your numbers! I can't stress this enough. Before investing in 29 palms, I did a tremendous amount of research and spoke with a few locals in the area. I wanted to see the potential in the area and why a guest would visit.
Get to know someone that is currently operating a STR in your market.
Have fun and enjoy the ride.

https://www.airbnb.com/rooms/7...

1 Vote

All Forum Posts by: Brandon Carlson

Brandon Carlson has started 42 posts and replied 298 times.

Post: How I lost $982 my first month as a STR Host

Post: What does a proper partnership arrangment look like?

Post: is Joshua tree good place for both STR and LTR?

Post: Pros and Cons on investing in Mexico

Post: Connect With Joshua Tree Investors

Post: My First STR: 29 Palms CA

Post: My First STR: 29 Palms CA

Post: My First STR: 29 Palms CA

Post: My First STR: 29 Palms CA

Post: My First STR: 29 Palms CA