All Forum Posts by: Jonathan Dempsey

Interesting idea.  Thanks for sharing. 

I'm skeptical that it will go far. I don't see much benefit in having an ownership stake.  I can rent a fantastic house through AirBNB for a lot less than the cost of owning it.  In this model, since I'm sharing ownership with others, its not like I'm going to be able to redecorate or leave a lot of my own things there.  So, it basically becomes an expensive AirBNB, with the downside that I'm stuck going to the same place every year and if I want to get out, I have to sell.  Some might argue for appreciation but that would be purely speculative.

I see it could have been a popular idea in a pandemic-stricken world of 2020, but I'd place bigger bets on traditional residential real estate.

Your analysis seems spot on from a theoretical perspective and is also the reality now.  One would think that the market would at some point rebalance to make it more attractive to choose this model as a reward for giving up flexibility and the potential comfort in being able to set up camp permanently.  Traditional real estate will forever capture market demand.  Curious how options like this will find their way into the fold.

Thanks for sharing. FYI, there's a small player with similar but different concept, with AirBnb type model, called CloudCastles.io. You invest shares in properties that are offered to the public as AirBnb rentals. With your ownership you can: get a fraction of the rental income each month (that there is income made), use the profits to earn more shares of the property over time, and/or get discounted rates to the property as/via AirBnb rental. As these are furnished AirBnb rentals, you won't be furnishing yourself, and is more like a timeshare if you were to use it, unless getting it just for the rental income. Currently limited market & properties, but interesting concept as they expand. Obviously, these properties however are not multimillion dollar mansions.

I've been investing in Boise/Meridian SFH's for a decade. Currently enjoying phenomenal appreciation. My RE agent says most buyers are out of state people paying up to $80k over asking price. Thankfully, rent prices are starting to increase which is good for RE investors. I just raised the rent on one house by $350/month, which would have been impossible a year ago.

$350/month increase on one place is awesome to hear!  What is your future outlook on Boise @Matthew McNeil?   Is it already too saturated or is there room to run?