All Forum Posts by: Jon Martin

For the market as a whole or per unit? If the former, are there specific reasons for this?

@Sarah Kensinger 100% agreed on everything you wrote. When I look at other listings in markets where I actively or consider investing, everything managed by Vacasa, Evolve, etc is barely over a 4.5 with wide open calendars. Many of them homes themselves have decent potential and are near others that do pretty well. 

@Ryan Moyer also agreed. The market I'm in is up 68% YOY in term of searches but I still see the average listings struggle, and they should. It's better for the market for them to wash out and sell their property. 

People will always travel no matter how the economy is doing, it's how they travel that changes. Instead of 1-2 weeks international they opt for a week somewhere in the lower 48 or something they can drive to, which could even help some domestic markets. Just like when beef gets expensive people don't stop eating meat altogether, but they will opt for cheaper cuts and/or eat more chicken. Travel, while not essential for physical survival, has similar trends. 

Absolutely valid. My comments are specific towards the UI and payouts which I find noticeably clunkier. In terms of business practices they seem like the clear worse of 2 evils. 

From my limited experience, the AirBnb UI is far more intuitive and user friendly. For example, I was trying to find a guests phone number in VRBO because they were having trouble with the lock, so I clicked on the email where he made the inquiry and it wasn't there. After messing around all over the place I finally realized that if I clicked on the email where he messaged regarding the completed booking I could see it. Stuff like that is just dumb and not user friendly. 

VRBO also takes its sweet time to payout. I've been paid for 2 bookings with AirBnb (one who is still there) in the time since my VRBO booking that checked out over a week ago and I'm still waiting for it. Not that I need it that soon, but it's always nice to get paid out sooner given that we are constantly paying vendors who expect to get paid soon as well. 

As time goes on and I figure out the nuances on the business side I may grow to favor VRBO but for now they play a distant 2nd fiddle and their Host UI leaves a lot to be desired. 

Another vote for self management here. Way easier than many will lead you to believe with all of the modern tech, even from another time zone. 

Only situation where I would strongly consider it is if your STR is in a market with a tight labor pool and sparse amenities where it's difficult to get things done without boots on the ground. Given that you are in south bend, you should have easier access to support services and amenities than you would in a place like the smokies. For example, you can always have Costco or Target home delivery drop off a pack of toilet paper or whatever with relative ease and expedience compared to some place in the boonies.

I also see some local management companies being less competitive. When I look at some neighboring properties under management, a lot of them have emptier calendars and higher daily rates because the management companies have to price in their overhead. It’s great that they have their own in house cleaners, handyman, on call errand runners etc but all of that that comes at a price. Plus you have to get in line on turnover day with all of their other properties, whereas if you hire an independent cleaner maybe they will prioritize you if you take good care of them. My go to cleaner does mostly local homes, so it’s easier for her to knock those out in the morning and then be at my place right at check out time. 

End of the day it comes down to your situation. If you really don’t have the time and/or desire to deal with it then yes, it’s worth it. Or maybe you scale to the point where it becomes overwhelming and you don’t want the headaches, where at that point you probably need the revenue less. That should the goal!

If your place makes good numbers with a low rate then be sure that the grass is really greener before you sell. As mentioned above, a HELOC could be a good play.

Instead of 3 I'd buy 2 in areas with opposite high seasons so you have more even cash flow throughout the year. If your NH property does well in the summer, maybe keep it and put all your excess capital into 1 property in a strong winter market because those markets are generally pricier. 

Agreed. Or even a SFH with a detached garage or walk out basement that can be converted.

Understood on the time commitment and turnover needs. Have you tried to find cleaners? I manage remotely from very far away with a few cleaners. You could always ratchet it down 7 or even 2-4 minimum to weed out the constant turnovers. Or do a higher minimum night stay when they are staying on certain days of the week that you can't clean. Or block off dates on either end of the booking so you don't have to stress over cleaning during a short mid-day window. Lots of options to make it work around your schedule.

I charge a $50 flat pet fee. Easily adds up to a few hundred bucks a month in revenue with shorter stays. So far it has only been dogs and it is as if they were never there. I'm more nervous about cats but I haven't had to deal with that yet. I mention in the disclaimers that I will charge $100 if we have to clean up a pet mess on a bed or couch. I'm not sure how I'll collect haha but it seems to deter the issues. Plus, IIRC Air Cover includes pet damage and my STR home insurance policy is quite extensive (Proper).

I would 100% theme it out. You don't have to go crazy, but even simple things like a horseshoe or a spur goes a long way and can liven up a large swath of wall space. Would also recommend a rug in the living room at the very least, ideally in the bedrooms as well. 

And professional photos for sure. Have them come out on a sunnier day. 

BTW is there a specific reason why you are not allowing shorter stays? Local regs? Also agree with allowing pets, the extra fee is nice and really adds up. 

Do a search in the area you are considering for a 2-3 day non-holiday/peak stretch of weekdays well into the future. Note how many listings there are in a 1 mile radius from where you want to buy. Click on some listings that are similar in bed/baths, SF and decor to what you can realistically offer. See what they charge and how booked out their calendars are. 

Also look at how many listings there are for the next few upcoming weekends and note how those numbers and quality of listings compare to the total listings in that area. If there are lots of economical options of good quality and you are in shoulder or peak season, it's probably saturated.