All Forum Posts by: Ryan Moyer
Ryan Moyer has started 11 posts and replied 899 times.
Post: West Eleventh Residences: An Airbnb Building, Your Thoughts?
- Property Manager
- Orlando Kissimmee, Davenport
- Posts 914
- Votes 1,329
Quote from @Andrew Steffens:
I would stay away from HOA's - little power to control the costs. Also do they force you to manage with them?
I looked into it a while back and if I'm remembering right yes you do have to manage with them, but the management fee is included in the HOA. It's essentially Airbnb managing it, which I would assume means they're partnering with someone for management. Although with them trying to expand into this niche (essentially Airbnb hotels) maybe they're planning to do it in-house so they can keep doing more.
If I recall that part of it was actually reasonably priced. Something like 10% covered full management and all HOA fees. But I could be mis-remembering.
The big downside to me was tying up all that money and not having a projected completion date until 2028, which as we know will likely be pushed back a few more times. That's a lot of time to lose out on the time value of that money, not to mention who knows what that market will look like that far in the future.
Another thing I was not impressed with was the sales people. Overseas call farm that would call back over and over and try not to let you off the phone. "Have you looked at the packet we sent yet?", "are you ready to put down a deposit?", "we can go ahead and get that deposit taken for you right now". Felt more like a shady telemarketing call for car insurance than a potential $1M real estate transaction.
Post: Arizona STR market article
- Property Manager
- Orlando Kissimmee, Davenport
- Posts 914
- Votes 1,329
Quote from @Bruce Woodruff:
Quote from @Noah Laker:
Phoenix / Scottsdale / Tempe / surrounding areas only recently implemented any sort of permit process, which essentially ended up being a $250 levy.
Barriers to entry are a huge factor. Many investors are scared to get into California -- and perhaps rightfully so, because I am now forced to attend a hearing this Wednesday at the Capitol to lobby against an ADDITIONAL 15% hospitality tax which is being proposed here in CA statewide.
It's never easy, is it?
Nothing is easy. Well nothing worth having or doing.....
Well there was a time for a while there in 2021 and early 2022 where it was both easy and worth having ;)
Post: Help with Analysis - 1 Bedroom Cabin near Pigeon Forge TN
- Property Manager
- Orlando Kissimmee, Davenport
- Posts 914
- Votes 1,329
Quote from @John Underwood:
Cleaning fees are a pass through. The guests pay these.
But something as small as cleaning fees could put you in the red then this isn't a money maker.
I'd look for a 2 or 3 bedroom cabin over a bedroom.
A 1 bedroom is only going to appeal to a couple who want a cheap place to stay.
If they're pulling the revenue data from AirDNA then it is including cleaning fees in the revenue, and hence cleaning will need to be subtracted back out as an expense.
I think this is something that trips a lot of people up when underwriting.
AirDNA total revenue DOES include cleaning fees.
AirDNA adr does NOT include cleaning fees.
This is why when you multiply ADR * Occupancy on AirDNA you get a number that is less than the total revenue.
So if using the total revenue number then cleaning does need to be subtracted as an expense. If using ADR then it does not.
Post: Short Term Rental, Long Term Wealth Book Feedback
- Property Manager
- Orlando Kissimmee, Davenport
- Posts 914
- Votes 1,329
Debt service is way up, revenue is generally down, down payments are way up, financing terms and costs are much worse.
The time of fast scaling has passed, unless you're very creative.
It was easy to scale fast when a down payment was 15-30k on a property that cash flowed several thousand dollars per month. Not so much when down payment plus closing costs are 150k+ for properties with modest if any cash flow.
Post: Including baby items in STRs
- Property Manager
- Orlando Kissimmee, Davenport
- Posts 914
- Votes 1,329
I have homes in this market and we get people asking about them fairly regularly. We supply them. If you get even one person that uses it as a tiebreaker to choose your property then it pays for itself and then some.
Post: Question on management companies for STR
- Property Manager
- Orlando Kissimmee, Davenport
- Posts 914
- Votes 1,329
In the Orlando area specifically, there are several of these that will do just the guest management/maintenance/cleaning while you control the listing.
Post: Best area for STR, Santa Rosa Beach, Nashville, Austin
- Property Manager
- Orlando Kissimmee, Davenport
- Posts 914
- Votes 1,329
Quote from @Luka Milicevic:
The only person that can really answer this accurately is someone that invests in ALL 3 markets lol!
I can say that anything CA should be avoided. Starting a business, investing, buying a house, etc.
I have helped many people from CA move to Nashville and can't understand how anyone can live under those crushing regulations and red tape
Nashville is a great market for both STR and MTRs. It has a mix of industries that draw in travelers from all parts of the country, not just tourism. There are several large employers in the area that have corporate staff coming in for extended stays as well.
I'm pretty sure she is talking about Santa Rosa Beach in Florida, not Santa Rosa the landlocked wine country in California.
Regardless, Nashville and Austin are just as oppressive from a regulatory standpoint as California anyways, so it's sixes there.
Post: ADR (Average Daily Rate) Drop and Last Minute Bookings
- Property Manager
- Orlando Kissimmee, Davenport
- Posts 914
- Votes 1,329
Huge supply increases alongside normalizing demand back to more sustainable levels. Gonna be a rough year until supply starts moving back off and supply/demand level back out again.
Post: Is DAVENPORT, FL a good market for my first STR???
- Property Manager
- Orlando Kissimmee, Davenport
- Posts 914
- Votes 1,329
Quote from @Shawn McCormick:
@Israel Mendiola You are getting some mixed signals here. I live here and work in this area and have sold dozens of STR in Davenport/Kissimmee. You do need to be in the right community if you are looking for strictly cash flow. If you plan to use it yourself, use it as a write-off or something else, you'll have more options.
There are resort communities like Championsgate, Windsor Island, Solara and several other top tier resort style communities that are literally built to be STR without fear of the HOA or city retaliating against you like is happening all over. You can go outside of these or pick a lessor amenitized or 'regular' community, but the numbers will likely not pan out.
Happy to dive a little deeper on this if you like, there are a lot of nuances to understand about this market compared to others. Just PM me.
Best of luck.
Correct, there are a lot of generic responses in this thread that don't really apply to this particular market. For instance no one is buying a 9 bedroom themed home in Champions Gate for $1M with dreams that they can cashflow with it as an LTR if STR goes bad. And as you mentioned, the "Beware of HOAs" thing doesn't really apply here (at least in the resort neighborhoods) as these HOAs were created specifically for STR.
Post: STR House Conditions in Disney Area
- Property Manager
- Orlando Kissimmee, Davenport
- Posts 914
- Votes 1,329
Some are run-down, some are still in great shape. All just a matter of how they were cared for.
If you want to save the time of finding out in person, if you can find the property's listing on Airbnb/VRBO you can likely get a clue. If it's managed by a large management company like Vacasa, then chances are good that it's run down. If it's a self manager, probably a higher chance that it is maintained well. Of course, you can check reviews as well.
Ours was managed by Vacasa before we bought it and was very run down, but we fixed it all up since we were going to be renovating in there anyway.