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Posted

Looking forward to the blowoff top on the first fed rate cut powered by the retail morons and Wail Street... I keep thinking that people cannot possibly be as stupid as they consistently prove to me that they are...

Better get your shit together... this will get real in the not-too-distant future...

Posted

Speaking of liquidity...

One group of "investors" who need to be very careful are the Airbnb geniuses.   The housing shortage in the U.S. will soon be a housing glut as millions of Airbnb and short-term rentals are liquidated at the "get me the f out of this thing" price, flooding the market with housing.

I am expecting a halving of prices as a minimum... Better have a ton of equity on those rentals, and another source of cash flow because even though nobody is renting the place, the mortgage payments don't stop... utilities, repairs, insurance, taxes... just keep coming...

Lots of paper millionaires about to get a reality check....

Posted
42 minutes ago, WTF said:

Speaking of liquidity...

One group of "investors" who need to be very careful are the Airbnb geniuses.   The housing shortage in the U.S. will soon be a housing glut as millions of Airbnb and short-term rentals are liquidated at the "get me the f out of this thing" price, flooding the market with housing.

I am expecting a halving of prices as a minimum... Better have a ton of equity on those rentals, and another source of cash flow because even though nobody is renting the place, the mortgage payments don't stop... utilities, repairs, insurance, taxes... just keep coming...

Lots of paper millionaires about to get a reality check....

AirBnb(s) are starting to get a lot of new laws passed here in the Metroplex.

Insurance and state/city ordinances could really change that game........

Posted

In the town near to where I live, a population of approximately 10k, there are 400+ short term rental properties.  While it does have a substantial tourism business in the summer, how does it make sense for around 10-15% (my best guess) of the total single housing properties in the town to be locked up as short-term rentals?

Posted

You gotta be smart about it. I have one Airbnb. I paid cash for it, and I live in it 9 months a year. In the summer, when I leave, it's my cash cow. Pays for my travels and I come back with more money in the bank than when I left. 

Investors who buy lots of properties with mortgages are gonna get killed. What happened to all the schmucks in New York and schmeggegies in Barcelona when the banned them. 

 

Posted
11 minutes ago, DrStool said:

You gotta be smart about it. I have one Airbnb. I paid cash for it, and I live in it 9 months a year. In the summer, when I leave, it's my cash cow. Pays for my travels and I come back with more money in the bank than when I left. 

Investors who buy lots of properties with mortgages are gonna get killed. What happened to all the schmucks in New York and schmeggegies in Barcelona when the banned them. 

 

That is smart... I consider that a home more than a rental.

I am making an assumption that the vast majority of Airbnb owners are not in the same position as you.

  • Upvote 1
Posted
1 hour ago, WTF said:

That is smart... I consider that a home more than a rental.

I am making an assumption that the vast majority of Airbnb owners are not in the same position as you.

I rented a penthouse in Warsaw for half what I'm getting for my place. The guy owns 70 units and is discounting the crap out of them. Yes, it should be less than mine, but not half. I think he's sucking gas. The number of units some of these small operators own is mind boggling. I don't know how they get the financing. They have to be leveraged out the ass. 

I agree with you. Won't end well. 

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