Every real estate investor strives for the best investments, whether they are long term rentals or Airbnb rentals. But, where to invest in real estate for the best investments?
That is the basic question of every house investor. Location is important either way, but when it comes to Airbnb investing it is crucial. That might be partially explained by the fact that Airbnb rentals compete with every other type of short term rental, such as hotels, motels, etc.
Additionally, when people go to a new pace for a holiday or a business trip, the convenience and connectivity of the place are essential. The real estate market for Airbnb investing is very dynamic. That is why the best cities for Airbnb investment are constantly changing.
House investors typically conduct real estate market analysis along with investment property analysis in order to find the best location for Airbnb investing. As a real estate investor wanting to finance and manage a short term rental, you might wonder where to invest in real estate for the best Airbnb rentals in 2018.
According to Forbes, Provo, Utah Airbnb is among the best cities for Airbnb investment this year. If you are interested in learning why Provo, Utah Airbnb is associated with great opportunities for success, you have come to the right place. Keep on reading.
#1 Provo, Utah Airbnb: About the Location
Provo is the third largest city in the state of Utah. According to Forbes, buying an investment property in this Utah region is one of the best decisions a real estate investor can make in 2018. There are many reasons why Provo is one of the most profitable Airbnb cities this year.
For example, Provo, Utah Airbnb attracts many tourists yearly with the events and festivals the city hosts. America’s Freedom Festival in July is one of the major events to attract guests to Airbnb Provo. There are also various events such as conferences and local festivals held in the city.
Further, Provo, Utah Airbnb is famous not only for its beautiful nature, but also for its cultural sights. The city is home to various museums such as the BYU Museum of Paleontology, the Provo Pioneer Village and so on and so forth. As you can imagine this is another reason for the growing numbers of Provo, Utah Airbnb.
Even though we are currently discussing the best cities for Airbnb investment, it is worth mentioning that Provo is a great place to invest in long term rentals as well. This is due to the fact that Provo is a university town. Another reason for the development of long term rentals is the city’s growing economy. But let’s move back to exploring Airbnb Provo.
#2 Provo, Utah Airbnb: Airbnb Legal Requirements
Provo is one of the cities in Utah which has Airbnb legal regulations for owning a short term rental. To be successful in one of the most profitable Airbnb cities, you need to be consistent with the Airbnb legal requirements. Keep in mind that Provo, Utah Airbnb is only legal when you rent out a property for a period of a month or less.
Additionally, in order to operate successfully in the real estate market in Provo, note that Airbnb rentals should not be placed in agricultural or residential zones. The municipality requires the Airbnb investor to obtain a business license. Last but not least, there are various taxes that might apply Airbnb Provo. So, make sure you explore the topic in-depth.
#3 Provo, Utah Airbnb: Why Is It One of the Most Profitable Airbnb Cities?
We have already mentioned that real estate market analysis and investment property analysis are vital for finding where to invest in real estate. Exploring the real estate market and real estate metrics, such as cap rate, cash on cash return, return on investment, Airbnb rental income and occupancy rate, is a must.
Luckily, Mashvisor’s rental property calculator can provide you with all the data you need to know about almost any city. Additionally, Mashvisor’s rental property calculator shows you the optimal rental strategy for the chosen investment. This way you can be sure Airbnb is the best investment strategy in your case.
Here is Mashvisor’s data regarding Provo, Utah Airbnb:
Median Property Price: $249,900
Airbnb Rental Income: $1,714
Airbnb Cash on Cash Return: 4.68%
Airbnb Cap Rate: 4.68%
Airbnb Occupancy Rate: 49.05%
#4 The Airbnb Profit Calculator
Mashvisor’s Airbnb profit calculator operates in a very similar way to Mashvisor’s rental property calculator. The big difference is, however, that the first one provides information specifically for the Airbnb market. Mashvisor’s Airbnb profit calculator can present you with information regarding the Airbnb rental income, occupancy rate, cap rate, cash on cash return, return on investment, etc.
Getting this information makes conducting real estate market analysis much easier. Additionally, it prevents the chance of making a mistake while computing the metrics by hand. To ensure success with Provo, Utah Airbnb, consider using this real estate investment tool.
#5 Our Airbnb Experience Advice
If you have selected Airbnb as the optimal rental strategy, you should definitely learn how to provide your guests with the best Airbnb experience possible. This is not only valid for Provo, Utah Airbnb, but for short term rentals all over the world.
As the Airbnb platform operates online, the ratings and reviews your guests leave on the website are important. They can either boost your business or bring it down. That is why you need to be hospitable to your guests. You need to maintain the property constantly and have it fresh and clean for the new occupants.
Do not forget to be present and respond quickly and precisely to every question your guests might have. If you want to provide the ultimate Airbnb experience, think of creative ways to make your guests’ stay unforgettable.
To learn more about all aspects of real estate investing, continue reading our blog.
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