re: Short Term Rental Property Info

I have a beach property that returned well since 2010. Initial investment 720K cash, 200K upgrades, average pre-tax return was 40K/yr for the first eight years and for the last two years has been 70K/year.

If sold today it would bring 1.7M. The trick was building up enough cash to pay cash, and timing - pay it at the market low - Feb 2010, panic season.

Nice advantages - beachfront, spend time there when not rented, wash cost of stays through the business. And I never have to worry about renters, they pay in full before arriving, and leave at weeks end. Downside - hurricanes.

The model where you have a mortgage and use rental income to cover it - it doesn't work well for cashflow, you mainly get paid when you sell.