Don’t want expensive, high end furnishings or low quality either. 

Depending on your area, you get more bang for your buck if the side you're renting out is a furnished mid-term rental.

Here’s the situation:Key Project Details:•Property Size (pre-renovation): 250 sq. meters (2500 sq. feet)•Purchase Price: 250,000 EUR (1,000 EUR/sq. meter)•Renovation Costs: 750 EUR/sq. meter (includes kitchen, appliances, quality furnishings)• Loan costs (during renovation and renting): 350 sq. meters (due to attic expansion)•Property Size (post-renovation): 350 sq. meters (due to attic expansion)•Post-Renovation Layout: 2 separate apartments•Airbnb Income (24 months): 2,500 EUR/month/apartment (= 5,000 EUR/month)• Other running costs: 600 EUR/month•Projected Sale Price (after 2-3 years): 850,000 EUR (approx. 2,500 EUR/sq. meter)•Closing Costs: Negligible in Tbilisi•Real Estate Agent’s Fee: Typically 3%, but negotiable based on who hires themFinancing Setup:•Property Purchase Financing: 100% bank financing at 5.9% interest (bank has even financed 150% to cover some renovation costs in the past)•Renovation Financing: Our friend is offering to finance 250,000 EUR in cash for the renovationsProposed Partnership Structure:•Work Involved (on our side): Full renovation (10-12 months to complete), furnishing, and property management through Airbnb until the sale (2-3 years)•Profit Split Proposal: 60% (us) / 40% (friend providing renovation financing)Questions for the Community:1.Does the proposed profit split (60/40) seem fair, given the work we would handle (renovation, furnishing, property management)?

Appraisers give no value to the business aspect, so the property is sold at market value, even if furnished and even if there are future reservations on the books. 

.- We could furnish it and go for STR/MTR simultaneously, but we get occupancy near end of October, which isn't the best time for STR.

Additional fees may apply depending on the number of days the property is rented.Personal Property Tax: Starting in 2024, California requires some STR owners to report the value of personal property used in the rental (such as furnishings) for taxation purposes.Potential 15% Statewide STR Tax: A new bill (SB 584) may introduce an additional 15% state tax on STRs starting in 2025, on top of local TOT, aimed at addressing California’s housing affordability crisis​(

We just got an off-season MTR request on furnished finder for a medical company that places medical providers in rural areas (which is our listing). 

If you don't want to have roommates it's getting tough, for most of my investors who are looking for heavier cash flows I've been recommending doing furnished rentals (short or mid term), looking at higher cash flow commercial deals like NNN or other cash flow focused syndications/funds, or investing in a debt position if cash flow is the biggest goal. 

Accept furnishing and management costs.4) OtherWould greatly appreciate the community's wisdom on this.

After expenses and utilities you net $1,000 profit but it cost you $15,000 to furnish the house and you only have a 1 or 2 year lease.