All Forum Posts by: Dale Desmond

Plenty of investors here @Rob Cee ! Californians flocking here as well as retirees from SLC. The vacation rental market has been boosted during the pandemic because people opt not to travel traditionally (cruises, Mexico, Hawaii, etc) so the west coast discovered Southen Utah. LOTS of vacation rentals changed hands this summer.

The long term rental market had an unprecedented year as well. It will be interesting to see how it continues.

2 Votes

It's seasonal in Southern Utah. We've seen a very bullish market this year. Rents typically are down in January & February. Many owners that bring a property to rent will opt for a 6-month lease at this point of the year so that the lease period resets in the hotter (temperature & market-wise) time of the year. After President's Day, things start to pick up.

1 Vote

I know Paradise Village does. Maybe Coral Ridge...

0 Votes

Originally posted by @Brittney Peabody:

Originally posted by @Sean Nava:

Brittany. I am struggling to find Utah areas that are ok with Airbnb. Tips?

Resort areas are going to be great. Anywhere up a canyon where skiing is popular. I have a friend who is successful in the Ogden Canyon with his AirBNBs. My lender has one in Layton that is doing well this past year. Expect to pay resort fees though if you arn't managing it yourself. Lake areas and southern utah are about 40% AirBNB full service management fees.

The hardest areas for AirBNBs in my opinion are southern Utah. St.Goerge is really picky in where you can have them, but outside areas like Washington and Ivins are more relaxed. St.George will catch you really quick if you have an unlicensed one there.

AirBNBs do need a license from the city. One of the biggest hold ups for AirBNB is the requirements you need to get a license. For example hand rails, enough parking spaces, and the fire marshal has to approve how many people can stay there. Requirements are different for every city, but there are a lot of similar requirements throughout the state.

You definitely can't pick a random house and call it an AirBNB, but it is possible to find AirBNBs throughout the state.

Washington & Ivins are pretty watchful as well but LaVerkin is more relaxed. You can apply for a nightly permit in Hurricane (YAY!!) but there's a 6-year waiting list (BOOO!!). Most VR management companies won't manage it unless it's zoned correctly & has access to a private pool or community pool.

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Cleaning fees don't fluctuate throughout the year. Occupancy rates in the last year have been 45% - 50%. BASE rate for a 2-3 bdrm should between $100 - $130/night midweek. $200-$300 weekend. The bigger the unit, the more it will rent & will rent for more per night. People travel in family groups for the most part. It's tough to get 2 families into a 3 bedroom house. And the 3 bedroom vacation rental market in Washington County is pretty flooded.

2 Votes

I recommend doing it if the cost outweighs the benefit. And it usually does in real estate. It keeps liability to the individual property. Rarely do I see it though. Most owners either have no LLC or use one for all their properties.

2 Votes

All Forum Posts by: Dale Desmond

Dale Desmond has started 2 posts and replied 46 times.

Post: Any investors here operating in the St. George area?

Post: Are landlords really having to drop rents.

Post: Airbnb in Saint George, UT

Post: Best Starter Markets in Salt Lake County, Utah

Post: Airbnb in Saint George, UT

Post: Do I need multiple LLCs?