All Forum Posts by: Jason Nguyen

First of all, great job with the listing. A few questions for you:

1. Have you checked the comps around you and see how much people are charging?

2. Are you using dynamic pricing?

Try to lower your base price and see if there is any improvement. I'm happy to connect with you one-on-one to solve this. 

I appreciate everyone’s comments. I understand the risk and reward behind the arbitrage strategy but don’t you guys think up to a certain point our liquidity will run out and this will become a cash flow booster?

Regarding the risk of landlord taking the house back, on the lease agreement we can always spell out a term saying that if the rent is paid on time, landlord must renew lease by an additional 2 years or so just to be safe in case they take the house back. The lease is an agreement and both parties must come to a mutual agreement before executing it. Say if the arbitrage portfolio generate 10k a month in profit, in a few months you can literally use the money to put as a downpayment on an investment property until you have a huge portfolio that you don’t even need to rent from other people anymore. Y’all agree? 

Hey everyone,

Has anyone tried the airbnb arbitrage strategy in the NOVA market? What do you guys think of Arlington, Annandale, Alexandria and Tysons Corner Airbnb? 

To be honest, if after the management fee is deducted and you still making good cash flow, go ahead and hire a management company. Think of it like running a company, you can't do or oversee everything. If the deal is negative cash flow with management fee then it is not a good deal anyway.

You can use Airdna Rentalizer for free I believe. You just need to create an account to use it. It will projected the annual revenue and you kinda get the idea of how much you will make with the property. Once you get the property, use Hospitable to automate everything and pricelab to help with dynamic pricing.

I use Proper Insurance. They specialize in short-term rental policy.

I specialize in mid-term and short-term rental in the NOVA area. With mortgage being around $3200-$3500, if you find the right property 4 bed with 3.5 bath townhouse, meaning there is a bedroom and full bath in the basement with a walkout entrance you can cash flow very well. Renting out the entire home to a long term tenant is out of the game here. It doesn't cash flow anymore in the NOVA area. I own a few townhouses in the Centreville area and they are cash flowing very well ($800-$1100). Happy to share the strategy with you! 

I'm a realtor in the Northern Virginia area who specializes in mid-term rental. I know Annandale very well as I also have two mid-term rentals there. Would love to connect and share the numbers with you. With PITI at $3071, you can cash flow very well with mid-term rental in Annandale.

It depends on a lot of factor such as how much you are paying for mortgage, management, etc. But technically speaking, you will need to gross 15% of the property's value to make good cash flow. For example, a $500,000 home will need to bring in at least $75,000 in rental income per year. You can check all this stuff on AirDna and analyze how the competitors are doing nearby. 

You need cash flow to quit your job. You may make some money on 1-2 deals but if you accidentally pick up a bad apple, it can potentially wipes out all the profit that you have made on your first two deals. Build passive income not active income. Use active income on a down payment to purchase assets that generate passive income while appreciate over time.