All Forum Posts by: Eric A.

@Dave Van Horn It's funny as show business explodes with different mediums like Amazon and Netflix I have been wondering how the studios would keep up with demand for filming locations This niche is one that can be unbelievably lucrative in the right market. Definitely not for everyone because of their locale but with the correct damage protection verbiage and insurance it's very interesting.

Also, pretty cool if you require a picture of the shooting in progress. People love that stuff. 

Thanks,

Eric Anderson

@Jon D. Great question! I agree with a lot of what was said in other posts, but also want to clarify in how you can do short term rentals with minimal hands interactions by you. 

First, everything we do is automated. Never, never, never do we drop off towels, or drop by to see how they are. If they wanted that kind of service they would have rented a hotel for 3 times as much. Screening potential vacationers is key and we have identified certain indicators over the years that mean trouble!

Anything you can automate with a VA is key. You hand write all the responses that you want the VA to give for certain questions. Example: Hi, we need additional towels today!!! Answer: I am so sorry you are running short on towels. We provide a certain number to every party according to their party size. If you need additional towels, and can't do a load of them in the washer please let us know. Thanks!

Ok, that comes up often but redirects the vacationer. If they then come back with a no way or we are not going to do that. We equip a closet with multiple items for a just in case scenario. It has a code on it that we provide as a very last resort. Well, we don't the VA does. We also train the cleaning service on each item provided, soap, towels, plates, etc. The fully stocked supply closet is the key.

In the end, this business is more labor intensive in the beginning but can be automated to dramatically decrease hands on labor. Take care!

Best Regards,

Eric 

P.S. We keep all our properties stocked around the country by using Amazon. I get a monthly request or needs analysis by the cleaning company and we Amazon everything to the property. Well, we don't the VA does.

Hi Julie,

You will never know someone's motivation at any particular time. I have spoken to landlords who tell me they wish they would have done this years ago. Others want nothing to do with it. Some landlords perceive a total mess on their hands as a tenant that just departed and the walls need to be painted. You never know what people will agree to unless you ask. 

I am a "glass half full individual" so I don't let anything deter me. If a landlord says no I simply move on and they may say yes the next time I ask them. To get yourself more comfortable you may ask friends or relatives if you can use your model on one of their properties. Work out the particulars and practice. Then you have a testimonial to use for he next one. Good luck and I'm happy to answer more of your questions. 

Best Regards,

Eric 

Beverly Hills is an area that is mostly retirees and little to no economic engine for people to move there. There are deals there but focus on cash flow and not future appreciation. You will also notice quite a few 2 bedroom retirement homes with a garage. Some opportunity there but that area has never recovered from the collapse in 2008. Take care. 

Robert Nason I spend my summers in mid coast Maine and have Air BnB's there that are doing extremely well. How did your summer turn out in your property in Kennebunkport? Thanks!

Diane G. Please don't let your distorted political views about the new tax plan gauge your investment activities. Real Estate is not a market by definition because different properties that are of like parameters can sell at the same time for different prices on the same street. Why, do you ask? It's all about timing and motivation. No offense, but your soliloquy about the proposed tax plan is so off base I am supposing you never read it. I guess you are taking direction from your Starkist queen.

I have been in the STR business for a long time - 10 years! Wow, now I feel old! Andy, here are some pointers to get you going and approach other landlords. One on one landlord talks / presentations will be much better then a property manager. Remember, the property manager gets paid through long term rentals and may perceive you as a threat. 1. Contact your friends or colleagues and ask them if you can Air BnB a room or start your business with their help. Once you have a couple stays create a professional web site and business cards. Quality pictures, quality pictures, quality pictures. Go Daddy and a hungry college kid can develop a very professional web site for $100. Business cards are very inexpensive. 2. Contact landlords through any list company like listsource.com. You will mail them directly or call them and you will have more appointments that you can shake a stick at. An original letter that is hard hitting is key. 3. Out of state owners in your target neighborhoods are your customers. 4. Ask for a 3 - 6 month lease with the first months rent due in 60 days. You have to get the property ready and this will only benefit the owner. Can you imagine offering a landlord a free rehab! Yes, it's only paint touch up, new light plate and electrical plates, possible new light fixtures and cleaning, but this only helps the owner and costs you less then $1000! The delay in 60 days to pay rent will allow you 30 days of revenue that will cover prep and repairs. 5. If it's not furnished you can easily furnish a 2 - 3 bedroom apartment very inexpensively. PM me and I will give you places to find everything. I can't give away all my secrets. 6. Advertise the property on Air BnB with high quality pictures and a guidebook is key. Did I mention high quality pictures. Show the owner all you have done and tell him his landlord friends are completely missing out. If your research is correct you should be easily earning 35% clear per month for less then a $2000 investment. Yes, that's highway robbery. It's a great model and always listen to people who are actually doing Air BnB and landlords. Best Regards, Eric

I would encourage those investing in an Air BnB to look at data collection firms like airdna.co. I have absolutely nothing to do with them but you can pay for info that you need. Also, if your occupancy is extremely high you are not charging enough. Each market has its correct equilibrium but if you are not charging enough it's not the correct revenue to cover possible wear and tear.

Shane Mcc Shane, check out airdna.co and they can provide you with an unbelievable amount of data. I am in no way affiliated with them but I love the info. Good luck!

Braden Smith I totally agree with your statement on Yellow Letters. People are getting them like they are going out of style. It seems like there are a ton of gurus hawking them and then getting a cut through an "affiliate" fee. What is working best for you?