However if this is an appreciating market, although your monthly cash flow might be neutral or negative, you may over time actually have what we consider phantom cash flow, which is gained through appreciation and tax benefits. in most cases, if you need true “cash flow” use the simple one percent rule.

Take what you hear from @Mark Miles with a grain of salt, he has been reposting the same negative info on the Poconos for more than 3 years now.

This makes sense if the PM does not involve the owner in any aspect of the tenant search and leasing process, including final approval and signing the lease.  

A builder may not know all of the overlapping aspects that affect the build and design - setbacks and buffers for example.

They seem to be quite negative with not much intended value add.The questions that I asked were thoughtful and were more about the composition of service offerings from folks who offer those services to property owners than just about the percentage charged for management.The title of the thread is co-hosting and management of STR’s.I would have expected to get more feedback about the questions that I asked from people that property manage or co-host.There are many people who have experienced down years due to poor management (listings, channels, revenue management) which means there is plenty of room for improvement and an opportunity to earn more for these clients even with the management fee ranges mentioned.

-What references are going to give negative feedback?

using the bank to agree to a set amount of stock that they will accept as adequate and that negates the wide swings you talk of.

However, if the net negative cash flow is less that the rent you are paying, it's still a win.

And if you have a property and a loan out there, and you are cash flow negative because a recession hits and rents are dropping, AND values are ticking down month after month, how long are you going to fight through, especially as a newer operator, before you call it quits, take your lumps, and move on.At the end of the day, there is money out there.  

Now I was hooked on distressed properties but had decided I didn’t much like the selling aspect of it.