Airbnb Rentals The Ultimate Guide to Buying an Airbnb Property with Ease by Nermeen Ghanayem December 29, 2017February 14, 2019 by Nermeen Ghanayem December 29, 2017February 14, 2019 Buying an Airbnb property is currently one of the most followed real estate investment strategies to make money in real estate. However, as a real estate investor, you need to be armed with the essential knowledge about investing in real estate in general and the hottest Airbnb markets in particular in order to gain success in the field. Owning an Airbnb property means that you won’t only be a real estate investor, but also am Airbnb host. Therefore, you will be more connected to the place you’re renting to tenants in order to keep them happy and keep your bank account thriving. In this article we will lead you towards the things you should focus on and research before buying an Airbnb property like: how to find Airbnb property for sale, how to own an Airbnb property, the hottest Airbnb markets, and what the average occupancy rate of Airbnb is. How to Find Airbnb Property for Sale? The first thing that comes to the real estate investor’s mind before buying an Airbnb property is: where to find one? Well, location is definitely one of the most crucial components in real estate investments. The most sought after areas by people looking for short-time rentals are ones that are close to business centers, shopping centers, and public transportation. Don’t forget that we’re talking about Airbnb properties here, therefore, it is important to focus on areas close to tourist attractions, because short-time rentals are more about finding the best place to spend a vacation or a weekend. When looking for a rental property, pay attention to the time of the year that is more attractive to tenants to visit that area, and how popular the area is . So, there is your first clue: look for desirable places by asking yourself if you’re the one looking for a place to rent, what are the main characteristics you would be looking for in that property? Buying an Airbnb property in such an area will guarantee you will have constant demand on that property, and that the tenants will stay for long. Secondly, there are specialized websites out there that will make your property search process much easier, like Mashvisor. Our website is one of the best when it comes to providing real estate analysis of different real estate markets and cities. On Mashvisor, you will have access to thousands of real estate listings in different neighborhoods and cities in all states. Mashvisor’s real estate analysis enables you to view data on the most advantageous investment strategy (Airbnb or traditional) in each neighborhood, cash on cash return values, cap rate, rental income estimations, and occupancy rate. All of that is accessed through its investment property calculator. Our updated website gets you one step closer to buying an Airbnb property. To get a better idea about Mashvisor’s most useful characteristics and tools, check out this video. Other ways for finding an Airbnb property for sale include foreclosures. Because one man’s meat is another man’s poison, it’s hard to say that foreclosures are the most celebratory way of scoring a real estate property deal! However, this is how the world of real estate business works. Foreclosures are the properties offered for sale by the banks after a homeowner fails to pay off the mortgage in the specified period of time agreed upon by the two parties. In this case, the bank reclaims the property and tries to sell it to another buyer by offering discounts on the property. Real estate agents in your area are surely the best people to go to when you’re looking for foreclosures, because they have connections with banks and know of the best and most recent foreclosure offers. We hope that these tips gave you an idea of how to search for an Airbnb property for sale. Keep reading to benefit from more tips regarding Airbnb markets and the average occupancy rate for Airbnb. Related: 5 Ways to Find an Investment Property How to Own an Airbnb Property? This question goes beyond the financial aspect of buying an Airbnb property; it is also about how to be an Airbnb host with good management skills. Before buying an Airbnb property, here are a number of things to take into consideration as a future Airbnb host: Time commitment: Making money in real estate is not achieved until you’ve invested your time in your properties. As an Airbnb host, you are expected to be available to your guests in case they had any property emergencies, questions, or demands. In addition, you need to make sure your property is clean and well equipped for new tenants. Don’t worry, the time you spend answering emails and being physically present for your guests will pay off as it results in good reviews by your guests, who will most likely consider another visit if they liked your treatment and service. This creates a good reputation for your Airbnb property as it will be recommended by pleased guests to other Airbnb viewers, friends, and family members. Keep your neighbors in mind: Before buying an Airbnb property and making preparations to rent it out to different guests, get to know your neighbors. It is respectful to put your neighbors in the picture by informing them that different people will be renting the place. By creating a good relationship with your neighbors, you at least guarantee that they will inform you of any unusual and unpleasant activities going on in your property. Additionally, getting to know the neighborhood and neighbors before buying an Airbnb property will save you from investing in a property in a bad neighborhood or close to bad neighbors. Make your listing look appealing: Before buying an Airbnb property, you need to know that you have to put an effort to make your property seem appealing to people all the time. Most people are visual, so make sure to include good pictures when listing your property for renting. Furthermore, you need to provide well written details and description of your Airbnb property. Answering emails and messages fast is also a necessity to maintain a good image as a host. Related: Four Things to Consider Before Purchasing an Airbnb Investment Property Hottest Airbnb Markets in 2017 and Their Average Occupancy Rate As a real estate investor in the Airbnb field, you need to pay attention to the numbers; focus on the markets with the best CoC return. Looking at the average Airbnb occupancy rates across the US can be very telling of the best short-rental markets this year. So, which are the best cities for Airbnb investment? And what is the average occupancy rate for Airbnb in those areas? Mashvisor has done its research for the best performing markets in the last three months of 2017, and here are the results in numbers: 1. Las Vegas, NV: As one of the most famous US destinations, Las Vegas is one of the best cities for Airbnb investment with low prices and high rents. Las Vegas Airbnb median price is $364,666 and its CoC return is 59%. Its Airbnb rental income is $1,609. The number of listed Las Vegas Airbnb rental properties is 483. The city’s average Airbnb occupancy rate is 47%. 2. Lancaster, PA: Lancaster is known for its tourists attraction, making it one of the hottest Airbnb markets and a great choice for real estate investors. Here are Lancaster’s CoC rate numbers, including its average Airbnb occupancy rates: Lancaster Airbnb median price is $265,291 and its CoC return is 61%. Its Airbnb rental income is $1,774. The number of listed Lancaster Airbnb rental properties is 46. The city’s average Airbnb occupancy rate is 35%. 3. Other cities with the best 2017 CoC return include Nashville, Colorado Springs, and Charleston. Head to Mashvisor for detailed data on these cities, or check out the link below for faster access to their average Airbnb occupancy rates and CoC return. Related: What Are the Best Performing Cash on Cash Return Markets in the US? Legal Issues with Airbnb Before buying an Airbnb property in any area in the US, make sure to check out the area’s laws regarding Airbnb investments. Legal issues with Airbnb have emerged due to protests of housing activists affected by the new rental investment style. This is definitely not a reason for you to reconsider investing in real estate as an Airbnb property owner, but a tip for you to make sure that everything is running in your advantage in the area you decide to buy an income property in. Bottom Line We hope that all the mentioned information will be beneficial for your real estate investment research. As a future Airbnb property investor, make sure you know the hottest Airbnb markets and the average Airbnb occupancy rates in these markets, in order to make the first right step that will lead you to success. Buying an Airbnb property must yield a positive cash flow for you to gain good revenue. Therefore, you have to carefully choose a property with a good location and price. Take these tips, and do more research on them online or face-to-face, and in no time you will be an expert yourself. Don’t forget that Mashvisor is here to answer your burning questions in anything related to investing in real estate, so don’t be a stranger. Start Your Investment Property Search! START FREE TRIAL Start Your Investment Property Search! START FREE TRIAL Airbnb HostGuidesLocationMarketingOccupancy RateReal Estate Websites 0 FacebookTwitterGoogle +PinterestLinkedin Nermeen Ghanayem Nermeen is an experienced writer who enjoys exploring various aspects of the real estate investing business. Previous Post How to Buy Foreclosed Homes from Banks and Why They Are So Great Next Post What Are the Most Important Types of Investment Management You Need in Real Estate? Related Posts Airbnb Properties: How Does Airbnb Work for Owners? Is Owning an Airbnb Profitable in 2020? Becoming a Vacation Rentals Owner: A Smart Move for 2019? What Do I Need to Know Before Starting an Airbnb? 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