All Forum Posts by: Steve Miklashevskiy

@Steve Miklashevskiy

I don’t think it’s that they’re inflated it’s just that they’re a bit all over the place. In my market their occupancy rates seem to be way too low. It’s a good tool but it can’t be your end game.

Enemy Method is the best option. It’s no different than checking out what your neighbors rent for on Zillow or Facebook for a LTR.

https://www.biggerpockets.com/... link from the app

Hi Steve, we've been pretty booked up year round so far on both properties. Traditionally March and September are the slowest months, but this year both of my properties were fully booked for both of those months. We switched to 30 day minimums during the Covid lockdown and both properties were booked up all spring/summer. We're back to STR now and we're booked at both places through mid-November. Demand is at an all-time high and it remains to be seen if that continues in perpetuity. However, we were averaging 80%-90% occupancy prior to Covid, regardless of season, and the Poconos has been a 4 season destination for decades.

@Mark Miles I'm curious where you invest down south? We're currently building a portfolio in the Poconos but once we have 5-10 STR we'll be looking to diversify, so I'd love to hear about your experience. Thanks!

Outside of July and August, the Poconos are pretty much weekend only at best. Tough to cover your exorbitantly high property taxes and power bills and septic costs with only eight days of rental each month for 10 months of the year. I have some friends who invest in the Poconos because it is so close to where we live, They don't earn nearly the ROI that I do investing down south where I get year-round occupancy.

Also there's a bit of a gold rush going on in the Poconos since the pandemic started. Every house gets multiple offers, they go under contract within three days of being listed, and houses are selling for like double the amount they were selling for six months ago. If you find something you like, better make an offer the day it hits the market and you better offer asking price or higher. Seems a bit ridiculous to me, I will stick with my southern properties that have higher ROI, lower property taxes and lower power bills. And no headaches from wells and septic systems

I posted about this the other day in response to someone else’s question:

I've spoken to a few STR investors in the Poconos & here's some things they've warned me about:

1) Super low occupancy rates: you can rent for full weeks in summer but that's your only real guarantee. If you're super close to one of the ski resorts you can also rent for winter weekends (though the ski season has been getting shorter recently). Fall & spring are apparently super tough - very low demand - both weekends & weekdays. 75 annual rental days is considered good in the Poconos and 100 is considered excellent (so 20-25% annual occupancy). Compare that with Gatlinburg, TN & Florida spots that get 80+% occupancy year-round

2) Apparently there's a shortage of good cleaners in the Poconos. I've had numerous Poconos Airbnb owners tell me this shortage of quality labor is causing real problems.

3) Expenses can run high, which is a real problem with only 20-25% annual occupancy rates to produce income. Very high power bills, increasing property taxes, costly HOA fees, snow removal costs, hotel tax, septic & well maintenance costs, etc, etc

4) Perhaps most damning is this: I've talked to quite a few Poconos investors who are looking to sell after only 1 or 2 years of operating. To me this is a huge red flag. When I talk to STR investors in Pigeon Forge or across Florida, they're looking to BUY more STRs not to sell what they own! It worries me that so many Poconos STR owners sell so quickly after buying.