Airbnb real estate investing is a great way for making money in real estate. There is no doubt that Airbnb investors all over the US real estate market are finding success with this real estate investing strategy.
But how are they doing it? We can sum it up for you in 3 steps.
Step #1: Find the Best Real Estate Markets
The best Airbnb investment opportunities are found in a real estate market that, not only has a strong economy but has tourism as a leading industry. Short term rentals naturally rely on tourism for successful real estate investing.
The real estate market of choice should be one that brings a good return on investment (ROI on Airbnb). How can Airbnb investors get a hold of this kind of real estate investing data? By using a rental property calculator! A rental property calculator will show all the relevant Airbnb data and metrics, such as cash on cash return, cap rate, and expected Airbnb rental income for a real estate market, right down to the neighborhood.
To start looking for and analyzing the best Airbnb investment properties in your city and neighborhood of choice, click here.
Step #2: Find the Best Airbnb Investment Property
Once Airbnb investors have landed on the best real estate market for an Airbnb investment property, it’s time to choose an actual real estate investment property. While a real estate market may seem ideal for Airbnb real estate investing, make sure the actual street the rental property is on will help the return on investment as well. It should be close to the very tourist attractions that lead you to choose the real estate market.
The investment property should also promise a good return on investment with Airbnb real estate investing. Again, a rental property calculator will show you the cash on cash return, cap rate, and Airbnb rental income for a specific Airbnb investment property.
To learn more about our rental property calculator, click here. Start with Mashvisor today by signing up to find the best deals in investment properties across the US.
Step #3: Have the Best Airbnb Property Management
The path to successful real estate investing doesn’t end once a real estate investor has the Airbnb investment property. Reaching sweet, sweet success will rely on good Airbnb property management. Here are a few tips for achieving the best Airbnb property management:
- Set a competitive rent price that will bring a good return on investment (use a rental property calculator to help you out!)
- Perfect your Airbnb listing for optimal marketing
- Take care of your guests to ensure they leave the best Airbnb reviews
- Don’t neglect repairs and cleanliness
- Use software for booking and even smart locks to try and automate as much of Airbnb property management as you can
Alternatively, consider hiring professional Airbnb property management. They can ensure the best Airbnb investment opportunities don’t go to waste!
These are the three basic steps for Airbnb real estate investing. Any real estate investor can follow them and find him/herself making money in real estate. It will take some time, but you can get there!