All Forum Posts by: Shannon Cook

I should add that I'm considering converting mine (one or both) into long term rental. I think the thing to consider with Airbnb is how active you have to be. The numbers don't really work when you get a full, full-service company to manage it - I'm not sure it's worth the added damage and hassle for STR at that rate. I think it's inhibiting my growth how active I have to be in the management.

I think the real market is with the movie people for short-term rental. If you can get in there, that's the ticket.

I have three Airbnb units (1 SFH and 1 duplex), working on another duplex, and have experienced good success in parts of town where homes are cheaper on the southside - still close in and relatively good areas so you can get a bigger home for the money. I avoid Vine City because I think the chances something bad will happen to a guest are too high - one shooting / car break in and your listing is trashed. I've found more beds and bedrooms = more money. Too much competition at the lower levels. I think the upper westside, Pittsburg neighborhood and Tech area are interesting areas for Airbnb, too. My cash flow has been pretty different than John's above - I make at least double the mortgages (15 yr, 3.5% conventional) every month in revenue and pay a little less than 10% in cleaning costs. Last year my first property made around $40K revenue on a $175K house. This year projecting closer to 60K on that property, with YoY growth around 100% in first 2 years (I'm in year 3).I self-manage the properties as of now so no other major expenses. Typical damage per month around $50-100.

Recommend to be sure to buy in an area where you can convert to LTR and cash flow well without issue, should legislation not go favorably. Also keep in mind guests don't know the areas of town in Atlanta either so they are blind when it comes to picking a "good" neighborhood. All signs point positive on the legislation, but you'd hate to be overleveraged and it go south. I also track the reasons why my guests come and stay with me, so I can better inform locations for future properties. That's led to the 2 duplexes.