This Georgia Airbnb Will Put Creative Financing on Your Mind
I love the state of Georgia.
I’m not sure why – is it the beautiful landscapes? The food? The people?
No idea, I just know that I find the state to be very charming and it’s one of the reasons I’m glad I ended up purchasing this property in Decatur.
This four-bedroom home came to me from someone who wasn’t sure how to do a subject to deal; we ended up doing 3 subto loans on the house.
That’s the amazing power of creative financing, as I was able to take a hold of this deal without having to speak to the seller.
Check out the walkthrough I did:
Initially, I was a little trepidatious about getting this deal because the house is a bit smaller than what I would normally do for an Airbnb, but my dude Noah is good at what he does.
As you’ll see in the video, there are a number of things that I’d like to do on the outside – such as adding a back patio and doing some landscaping in the front.
But the inside is quite nice.
This isn’t the first Airbnb that I’ve had managed by my student Noah Hoffman, who also ended up changing my mind on dong Airbnbs in the first place.
While I don’t do a lot of Airbnbs, they are a great source for generating cash flow on a monthly basis.
This one here in Georgia could do very well, if I charged around $180-$200 a night, which is cheaper than the hotel prices of $400 nightly.
I talk in the video about a few things that I would change or what needs to be fixed up a bit, but that’s something that can be looked at after a year or so.
So how was I able to get this Airbnb using creative finance, specifically subject to?
When it comes to subject to deals, there are usually 3 reasons why a seller needs to sell:
1. They have no equity in the home
2. They need to get out of the home fast
3. They are behind on payments
These are the big reasons or parts of the reason sellers end up doing subto deals with us.
On my side of things, when considering a property for an Airbnb, I have to structure the entry fee which helps to divvy out how much money goes to who or which part of the project.
Once I start seeing how this Airbnb does and consider what we can build it up to be, I’ll make another video and post.
Guys, I’m really excited about where we can take this property, so if you want to be a part of other deals like this one, don’t wait.
Come join Subto, jump into the business, and let’s go!