All Forum Posts by: Sofia Sharkey

@Jennifer Pauyo representing Kansas City! Would love to connect with more women.

@Joseph Duckett I second smartbnb and pricelabs, they are great and worth the money. Guesty is the "Ferrari" of STR software, I personally think that it offers too much and it might be worth it for someone with 50+ properties, it's also very expensive. There are several posts in these forums which describe each in detail.

@Joseph Martinez I provide waste baggies to make sure guests are picking up after their pets. I also don’t allow cats as they tend to be more destructive (with claws) and territorial than dogs. Pet damage can be refundable through the claims process but you will need to provide evidence in a timely manner.

@Aigo Pyles we ended up increasing that amount recently. I’m curious why you thought I should increase it?

@Lisa Mauricio hi Lisa, we did not move forward with a place in Bryan Head. I heard that it did very well during the pandemic / snow season. When I was looking, the purchase price seemed to be at an all time high and the ROI wasn't really there in my calculations.

@Joseph Bafia you made an excellent point and the same thing happens on Airbnb. They want you to lower your prices based on the algorithm and many hosts use that as their pricing strategy. Not only you leave money on the table but you open your place to more wear and tear and potencial unwanted guests. There are PMs out there who truly understand this and how to maximize profits but that’s not the case for most.

@Dustin Allen / @Kevin Murphy great input! I actually have to account for snow removal in my market as well and lawn care. I'll get that added. 

@Joe S. not good ... A good strategy I've seen is to look for a superhost on airbnb in your area who is doing well (great reviews and around 10 listings or so). People like this tend to be more committed, take good care of the place, and know the ropes already. Something to watch out for is traditional property management companies offering "str management". I'm sure some are doing it right, but from what I've seen, most hire a young person to create the listing and answer to guests. There is zero knowledge on pricing strategies, screening, and all the nuances that go into STRs.  

Hi all, 

I see many people asking in these forums what costs to keep in mind when estimating a property that will be turned into a STR. I compiled the list below with the most relevant items in my experience. What costs are not listed here that you've found to be vital? Let me know in the comments.

1. Purchase of furniture and setup (really depends on the size of the property. The bigger, the more $$$)  
2. Short term rental insurance (Travelers is budget friendly and Proper offers more coverage)
3. STR property management, if applicable. (Typically between 15% to 30% depending on needs and area) 
4. Utilities (including WIFI)  
5. Maintenance and repairs
6. HOA fees (if applicable)
7. Furniture replacement.(There will be things that need replacement after year 1)  
8. Consumable supplies (coffee, toilet paper, soap, trash bags, etc.) (These depends on how much you want to provide) 
9. Linens (people generally underestimate linens big time, depending on your type of STR there can be high turn over of linens) 
10. Software (smart pricing, video monitoring, automatic messaging, PMS, noise monitoring). (Most software requires a monthly or annual subscription)  
11. Cleaning fee and laundry. (Most of the time the guest pays for this so it doesn't come out of pocket for the investor/host. However it's worth noting because depends on your model)
    

I hope you find this helpful and happy investing! 

Tags: STRs, short term rentals, Kansas City, vacation rentals, airbnb

@Zachary Beach you are so right and so many people don't understand that! Anyone can put a listing up, take some pictures, and get some bookings! However, the amount of people who underprice their place is overwhelming, then you hear about all these "house parties" and unwanted guests destroying the place. Last week in a nearby suburb there was a shooting at an airbnb. Why... you may ask? because of new hosts managing from abroad not doing proper guest screening and having incredibly low prices that attract all sorts of people to their place. Now that entire city is revisiting their regulations and making them stricter.