All Forum Posts by: Brendan Jones

Hi @Brendan Jones I moved to Nashville in late 2021 to begin my homeownership and investing career, buying a primary residence, house-hacking it, and transitioning to a long-term rental once I bought my next property (also in Nashville) so would be happy to share my experiences.

There is a lot of interest in STRs in the Nashville Metro area, but the zoning has become increasingly strict over the years. I would recommend familiarizing yourself with the two permit on Nashville Metro's website. Due to the popularity and scarcity of these properties in Nashville, it would be difficult to find a property meeting the STR requirements given a proposed purchase price of ~$300-350k.

Additionally, your situation is a bit unique as it sounds like you may be living away from your primary residence more often than not, and as such, I also recommend you confirm with a lender whether this situation would qualify for this type of (primary residence) loan. As a loose rule of thumb, I have heard a primary residence requires the owner lives there the majority of the time each year (i.e. more than6 months), but a lender should be able to confirm the specific criteria. If interested in an STR, this would also dictate whether you are pursuing an Owner-Occupied or Not Owner-Occupied permit, as described above, and the associated required zoning. Again, this is specific to Nashville metro area and likely entails different requirements (if any) in White House, etc. It is also worth noting that property management is often closer to 30% of gross rent for a short-term rental due to the much more intensive hands-on management compared to a typical 10% for long-term and as such, I agree with recommendations above that medium term rentals may provide the best of both worlds if you are able to tailor proximity to a local need, e.g. hospitals and travel nurses.

Again, happy to relay my personal experiences in the area if you're interested.

Best of luck,

Patrick

If you are only living there for a few months each year, why not look for a home with a suite?  You can live in the suite and rent out the rest of the home.  Short term rentals do get more money, but also cost more to run and require more time.  

Look for a place where you can secure items that you do not want tenants to have access to.  Also think about what can be damaged (tenants generally don't take care of the place as well as you would).  Medium term rentals may be a better option.

Hi Brendan! Congratulations on starting your real estate journey! Given your situation, a property closer to Nashville might be more advantageous for short-term rentals like Airbnb, as proximity to a popular city typically attracts more guests and higher rental income. Have you looked into Mid term rentals? A mid-term rental could be an great option during the 6-7 months you're away since it appeals to traveling professionals, remote workers, or individuals relocating and offers stable income without the constant turnover of short-term rentals. MTRs often have lower management demands compared to platforms like Airbnb while still generating higher returns than long-term rentals.