Quote from @Yanaki Bitsin:
Hello everyone I'm new to real estate and trying to learn as much as I can. Right now, I'm working on getting pre-approved to buy a property and want to make the best decision in terms of optionality (exit strategies). Right now, I have come to the conclusion from everything that I have consumed so far on the internet that STR and MTR strategies are the best in terms of ROI and producing cashflow. So I do want to eventually get involved with it, but because my credit isn't great and my starting capital isn't much (less than 10k), I can probably qualify to buy something under $200k, so I'm thinking about buying something for myself as FTHB to live in and then having the option to rent it out, ideally as a mix of STR and MTR, but I would be happy if I could just do the MTR. My questions are:
1. how can I check with the HOA that I have the option to rent it out as MTR or STR?
2. and in terms of location, how can I research which areas have demand and the gap?
Hey!
1) Your real estate agent should be able to find out that information for you by contacting the HOA manager. However, note that most condos on the north side of Chicago ban airbnbs. In addition, many condos require 1 year leases when renting out. You may have more luck in the suburbs but you need to check with the village. There are some suburban cities that allow Airbnb, some that don’t, and some who have no regulations around it. All in all, do your due diligence by looking up bylaws and checking with the city.
2) Airdna works. But you can also just go on Airbnb’s website or app and perform various searches to see what STRs and MTRs are going for. This process takes longer, but I find that it gives you a better impression of the location and market.
