All Forum Posts by: Ed Neuhaus

I have a few smaller homes looking for other operators.  I was talking to a few people who said the under 4 tenants are the majority of the market.  I have several homes that fit that model.  Honestly, I do not know the model well enough to know how 4 tenants make money, but apparently, it does. 

I am looking to connect with any RAl operators in San Antonio. If you're in the group, reach out I would love to chat. 

@Andrew Chime I see you are asking a lot of questions about Austin. Have you looked at the local Austin STR ordinance? Have you done any reading about the state supreme court's reactions to ordinances like this? Austin is not a friendly market to STR's. But can be done.

Also, the Austin market has started to pull back significantly from the highs we saw last spring. It is to early to know if prices will continue to decrease this year or not.  But anyone telling you everything is great is just trying make a sale. 

Probably not.  A good knowledgeable Realtor should teach you most of this for you for free IMO.

Quote from @Michael Baum:

Nothing is recession proof as others have said.

Here are the rules around STRs in Austin - https://www.austintexas.gov/pa...

There are quite a few restrictions.

I totally agree with Michael; Nothing is really recession-proof. STR's need disposable income for travel. So I would expect the higher-end properties may see a pull back.  But lower-end or more-value STRs may do well.  For example, a 4 bedroom that sleeps 8 at the same price as a single hotel room, should do well as a value play to those people who still need to travel.  And unique properties will always do well. 

Austin is a hard market to make work because of the rules. Look just outside of the city.  There are plenty of profitable areas.

Thanks, @Michael Baum, I have done ok for sure. Maybe I should change my question to be, what would you ask someone selling a currently operating STR? There are a ton of these for sale now. And most of the people selling them don't have the basics of income/expense reports to produce. But then again that is probably why they are selling. But I want to find out more to figure out what they are hiding. Surely it would be faster to take over property than to start one from scratch. I have done both, just trying to not buy someone's lemons.

Prebuy.  What do you want to know before you buy?  I have my list, I'm just curious what is important to everyone else.

I am looking for a good checklist to use when purchasing an STR property. I own several, but I am always looking to learn from others. What would you want to know from the seller before making an offer on an STR property?

Never tried it.  I don't have enough of a portfolio to make it work. 

@Brandon Hall thanks that was my read as well, but I thought I should be asking others.