Ekabo Home Financial Freedom Mastermind Podcast
A podcast for those who do not believe they were put on this earth to work 40 to 50 hours per week for 40 to 50 years, to hopefully retire at the age of 65.
Ekabo Home Financial Freedom Mastermind Podcast
145. Turning Cabins & Homes into Cash: Design & Strategy!
🌟 You don’t win STRs on spreadsheets—you win with smart comps, standout amenities, and intentional design that fits your market🌟
Welcome to the Ekabo Home Financial Freedom Mastermind Podcast! In this episode, host Niyi Adewole joins you from a lively coffee shop, sharing valuable insights and strategies for navigating the world of real estate investment.
🔥 Quote of the Day:
“The house itself is just the base; it’s about how you design it and create an experience.”
– Niyi Adewole
🎙️ Episode Highlights:
🚀 Shocking Secrets Revealed!
- Niyi kicks off the session with explosive insights that could change your real estate game forever! What are the hidden strategies successful investors don’t want you to know?
👥 Meet the Power Couple!
- Lex and Rotique share their jaw-dropping journey in finding the ultimate short-term rental property! You won’t believe the twists and turns they faced along the way!
🏡 Unlock the Desirability Factor!
- Discover the mind-blowing elements that make a property irresistible! Lex spills the beans on how to turn ordinary listings into must-book destinations!
✨ Design Hacks for Maximum Profit!
- Niyi reveals insider tips on how to create jaw-dropping spaces that attract guests like magnets! Learn the design secrets that can skyrocket your rental income!
📊 Data-Driven Domination!
- Are you using AirDNA to its full potential? The group uncovers game-changing market analysis techniques that could lead you to your next big investment win!
🌟 Transform Your Rental into a Guest Magnet!
- Find out how to create unforgettable experiences that keep guests coming back! Discover the surprising amenities that can set your property apart from the competition!
⚛️ Why This Matters:
In today’s competitive real estate market, knowing how to stand out is crucial. This episode is packed with actionable tips that could transform your approach to investing and hospitality!
📈 Join Us!
Whether you’re a seasoned investor or just starting out, this episode is packed with insights to help you thrive in the real estate landscape.
🗓️ Tune in every Wednesday at 7 PM Eastern! Don’t miss out on our journey toward financial freedom through smart investments.
👉 Hit that subscribe button and turn on notifications so you never miss an update! Let’s unlock your potential together!
Our Links
➣ Financial Freedom Mastermind Facebook Group - https://www.facebook.com/groups/53083...
➣ Peer Space Host Referral Link https://www.peerspace.com/referrals/g...
➣ AirBNB Host Referral Link https://www.airbnb.com/r/niyia41
➣ Ekabo Home Network (IG, Youtube, Email) https://linktr.ee/ekabohome
Niyi Adewole is a licensed realtor in Georgia, brokered by EXP Realty. Feel free to reach out at Niyi.Adewole@exprealty.com if you would like to work with an investor friendly real estate agent.
Welcome to the Financial Freedom Master Mind Group Podcast. Here we're all about breaking free from the 40 to 50 year work ride and accelerating our journey towards financial freedom. Join us every Wednesday at 7 p.m. Eastern as we explore different types of investments that can fast track your path to financial independence. We serve as a hub for connecting with fellow members during our sessions so you can share successes, ask questions, and keep the momentum going.
SPEAKER_01:Hello, this is Nimi Adwale, host of the Acaba Home Financial Freedom Master 9 Group. I'm excited to join you guys from a coffee shop where you can hear somebody crying over the speakers. I'm not joining from my computer right now because it's kind of acting up. But this is the amazing thing about having technology and being able to work anywhere because you can make it happen. And so this is going to be an open session today with the names. So I'm excited to jump in. So we'll see who joined and see where the conversation goes. Lex, how are you doing?
SPEAKER_04:Hey me, how are you doing?
SPEAKER_01:I'm super good. Who is this?
SPEAKER_04:This is Recy. You never may have heard of it.
SPEAKER_03:Hey, good to meet you, man. How are you doing? Good to meet you too. I'm doing amazing. What about you?
SPEAKER_01:I'm super good. Please excuse the background noise. My computer's not functioning. I'm sitting in a coffee shop that is uh getting a little loud, but it's good to see you guys.
SPEAKER_03:Hey, the noise cancellation is blocking out, so you're good. I I can tell. Hey, come on now. Hey, I appreciate it. Yeah, doing amazing. You say you're doing good too?
SPEAKER_01:I'm doing good. I'm doing good. And I love doing these cars because, again, we get to jump on and talk real estate and what you're trying to do. And I know that you guys are searching for this short-term rental. How's it coming?
SPEAKER_03:So that's a good question. That's the whole reason we have on the car right now. So my wife has been meeting and talking with you guys uh for the most most part, and uh kind of coming back to me and saying, hey, you know, this is the deal we're looking to grab. And then I'll look at the deal, but I'll have I'll look at the deal and I have my perspective or my thoughts. I'm not a real estate investor by any means necessary, but I'm asking questions that are good questions to her. And she like, well, we need to hop on the call, you know, with with with the man himself and kind of dive into these questions. Um so so the way it's coming along is to make a long story short, we're looking to make sure we find a property that's like desirable, right? That someone can look at and be like, yo, I, okay, I want to stay there. But we don't know what those factors are. So outside of the actual numbers, cap rate, uh, rental to purchase price, yeah.
SPEAKER_04:We got all the numbers down packed.
SPEAKER_03:We got the numbers downpacked. But what we're realizing is that when we do look at some of these properties, some of these properties are like going crazy, and some of them are like, ah, you know, and and we're I'm kind of looking at it like, okay, cool. Based on what she's bringing to me, I'm like, baby, I'm I'm thinking the property is the properties are desirable because of certain factors. What are those factors? I don't know. But it's outside of the numbers. It's looking like it's more so of a comestic thing, like maybe having a mountain view without trees blocking, or when you walk up to the home, the sex appeal or the appeal of the home. Not sex appeal. Sex appeal. You kind of, you kinda, you kinda get.
SPEAKER_04:The wood interior versus the drywalls.
SPEAKER_03:Exactly. I realize like the the wood interior of the cabin homes versus the drywalls seem to be asking for more demand when it comes to rent, right? When it comes to the the the uh not rent, but what is it called?
SPEAKER_04:The ADR.
SPEAKER_03:The yeah, the the daily rate. Um again, I'm no mortgage uh expert, but just more so sharing my thoughts and my opinions. What we're running to is not understanding what factors that we should be considering outside of the numbers. Yeah, so that's really where we are right now, from the vacation home and Helen and Blue Ridge and DeLonaga area to the properties potentially in Atlanta, Georgia. We're just trying to figure out from a like an appeal standpoint, because we are talking about selling the house, is what we're really selling, right?
SPEAKER_01:Absolutely. Yeah, you sell the house, but also the experience. And this is where, and I'm happy you brought this up. This is where a lot of people, especially those that are a little bit newer to it, make the mistake, right? So you're looking at the house, which is great, but you also have to look at how are you gonna design this thing and what are you gonna bring to it. A lot more than the case. Like the house itself is just the base. You need to be able to fit X amount of people in it, and you need to have certain spaces, and you don't want it to look crazy beat up, right? But it's really about that design piece that's gonna take it to another level. And so, what I want to do, because I think this will work now, but it's gonna be a little loud. I'm gonna switch over to my desktop. I'm gonna switch in five, four, three, two. It's gonna work. Okay, see this thing. It worked. Okay, and can you hear me outside the background, guys?
SPEAKER_03:It's it's actually better than it's actually better than what it was the first time.
SPEAKER_01:Really? Okay, this computer's better. Nice. So all right, what I want to do is I'm actually uh under contract with a different client on a short-term rental, and so I'll just show you what that house looks like and how we run the numbers to find out like, hey, this is the one that makes the most actually, we'll use one that closed, right? This is one that closed recently, right? This one that closed like last week. So when you look at homes, right? I'm gonna pull this up.
SPEAKER_03:And I'm I'm sorry, how do you pronounce your name? I don't want to it's uh knee, knee like kneecap. Knee. Okay, cool, cool. Knee nice to meet you. My name is Ratique, by the way. You said Ratis? Ratique, Ratique, Ratique, yeah, Ratique.
SPEAKER_01:Hey, good to meet you, man.
SPEAKER_03:Good to meet you too. Yes, sir. Knee. Okay, all right, gotcha.
SPEAKER_01:I love this uh the conversation because I know you're looking to do that COSEG, so we got to get moving on this. And so let me share my screen. I want to show you this property. This is one we just closed on for a client last week, and it's gonna be a short-term rental as well. So you can see my screen, right? Yes, sir. So we're gonna walk through a couple things here. So this is a luxury short-term rental,$17.25 for children's. And we just closed on it for$7.35 last week, right? And so when you look at this, the thing that set this one apart the most is it has a pool. What you want to look at when you're looking at comps is the amenities. What are the amenities that they have? Why are they pulling in X amount? And so when we looked at this one, it was a couple things. One, it's a larger house, and so you can fit about 16 people into here. Yes, there's only five bedrooms, but with 5,000 square feet, all you got to do is have a designer that's able to incorporate a design where you can put two beds and a couple of the rooms while still making it super nice, and you're gonna be able to get a lot of people in here, right? So this had a pool, which is what made it justify the price for being able to pull in the most amount, and you have backyard space. So one of the things we're gonna be able to do in the backyard is we're thinking about putting mini pot, which nobody has. We're thinking about putting, you know, the grill and things that nature back there, and we were able to negotiate in this deal, keeping they have some gym equipment and a pool table in here. So, some gym equipment, we're able to keep this piece and they had a pool table in here that's pretty nice. But when you look at the comps, right, you got to go to Air DNA, and I'm sure Eric's been doing this alongside you.
SPEAKER_03:Yeah, like Lex's been doing it as well. I haven't met Eric yet. Eric's been going to English.
SPEAKER_01:Yeah, he's really good. He was in uh data analytics for a large multifamily firm for like a decade before he moved over to uh investing himself and then joining our team. And so air DNA is where we pull all the data from. When it comes to long-term rentals, you're able to know using like rentometer and things of that nature, exactly what you can get for a long-term rental. And for air DNA, when you use soft when you for uh Airbnbs, when you use software like AirDNA, this is how you know exactly what you can pull in from a short-term rental standpoint. So I'm gonna plug in the zip code 30310, right? Or 30311, which is Cascade. And what we're looking for is the top short-term rentals, and we want to adjust this as well. So, what we're looking at is actually the bigger short-term rentals, right? So, this listing's a five-bedroom, so we want to look at maybe four bedrooms and bigger. The bathroom we can leave. We want to look at people that are renting the entire place and the whole house. And so when you pull this up, um, you can see kind of the comps across the board, right? Like, hey, what are these houses doing that are able to house 16 people? That's the key. Housing 16 people and then the amenities. Now, why is this one pulling in 391 and this one pulling in 215? Well, there's two reasons. One, we actually manage this one, it's a 10,000 square foot mansion, right? But it has a pool. This one does not. And so when you pull this up, first and foremost, you look at the reviews, that tells you how long they've been around. I don't know about you, but when I stay at places, I don't tend to leave reviews. And so if you have 300 reviews, you've been around for many, many. This is pretty consistent. That tells you it's been at least minimum four or five years that this listing has been up, right? And they have 215k in annual revenue, right? And so we're looking at this, and what's differentiating it is it's a bigger home, eight bedrooms, four bass, but they're allowing 16 guests. Now, in the house itself, there's not much special about it. Like, this is actually just okay, it's not really designed really well. Like, you can beat this, right? You can make way more than this. And even in the backyard, when you get back there, they got a pool table though. So it's like, okay, we need to have some games in there. They've got a couple of rooms with multiple beds in there so they can fit more guests.
SPEAKER_03:And I think, and and I think that's one question too. Like, who's the audience for such a large? Like, who who are the people that's actually because the audience is really what it's all about. So who is the individual that's actually looking to stay there? The individuals.
SPEAKER_01:So the cool thing about being in the metro of Atlanta, so the the mountains and the metro of Atlanta are two different markets, right? For the Metro of Atlanta, you have 30 of the Fortune 1000 companies based here, right? So people are coming for work and to do construction and build. You have the entertainment industry here, right? The Avengers, Stranger Things, all these things were filmed here and are filmed here because all the tax credits. And then you have people just coming to visit Atlanta and have fun with a large group. And so the people that are coming to stay in these types of properties are those that want to have their own privacy and also want to be able to bring a large group in to go and hang out there. We've done family reunions, we've had film crews want to do stuff like that inside some of our houses. Um, at the bigger houses, we've had people like Kai Sanat, uh Desi, who does a lot of like skits on Instagram, um, Usher, Monica come and book our places so that they can they can go and do films and whatever and photo shoots. And so for the larger homes, you're looking at more luxury. That's what you're pulling in, and you can house more people.
SPEAKER_03:So it will from a consistency standpoint. I know you have the movie, the films, the um you you mentioned that you mentioned film, you mention um you didn't mention families from a consistency of like the people who book the most, who would that for who would that audience be for? I mean, what we we we don't even plan on getting a home that big though, right? So that probably wouldn't matter, right? For those specific properties because every property I can go into the mountains too.
SPEAKER_01:We can talk about the mountains as well, right? Because the mountains is what's gonna allow you to be able to put down 10%. I know that's why you're looking more toward that way, as opposed to in the metro. But to answer that question, it's mostly gonna be just families and people that are are booking for random reasons. Like there's so many reasons that people come to the metro of Atlanta, it's hard to explain until you're in it. All I can tell you is that when you're looking at the actual comps, these are the ones that we're looking at that you need to beat to be able to pull in the amount that they're pulling in. And the reason that these are doing so well is how many eight-bedroom houses or 10,000 square foot mansions or six-bedroom houses do you know that you can actually just rent out, right? Or maybe come over and things of that nature. Most people are buying these houses to live in. And so when you look at that, that's a key differentiator in and of itself.
SPEAKER_03:That that's a niche. That's basically the niche of that property. Gotcha.
SPEAKER_01:That's a niche, and it's not even nice. The one that's nice is doing 390K. It does 30 to 40k a month. This one's okay. This one is a seven-bed, three bath, 113 reviews, right? 16 people. This is not really nice at all, but it's doing 121k because it's a larger house, right? Like, look at this. You could beat this design, right?
SPEAKER_03:Like, this isn't 100%, nothing special.
SPEAKER_01:Nothing special in here. It's just taking a house.
SPEAKER_03:But it's still pulling in money. And I think it's because of the size of the so with us, what would be our niche since we're looking to buy a property that's in the mountains. So in the mountains, mountains or or Atlanta, but I think it's a good idea.
SPEAKER_04:I think Atlanta something like something on a like a four or five error.
SPEAKER_03:A four or five.
SPEAKER_01:Give me a property, one that you're not one that could keep in mind, other people are gonna see this. So give me one that you're not necessarily targeting, but one that you've looked at in the past, like up in the mountains. You got a property?
SPEAKER_03:Um, we do got a property if you want to purchase in the mountains, but like you said, keep in mind people are gonna watch this. Um it's one that I really, really, really like.
SPEAKER_01:I'm happy to review it, but again, I can show you kind of directionally, like, hey, this is how you look at that, and what you're you're looking from the comps and how we gotta beat it.
SPEAKER_03:Yeah, yeah.
SPEAKER_04:I can give you one example that we're um cabin.
SPEAKER_03:Okay, and and and I do, I'm sorry, while while you're looking at it up, I do want to say one thing right quick. So, one thing that I did take away from you was the factors outside of the numbers, because I again I know what you just said was kind of for the bigger property, it's the size. And then in addition to that, I'm sorry, it was a size, and amenities, amenities, size and the amenities.
SPEAKER_01:That's the piece. So, so when you're in the mountains, and and I want to look at the property that you're looking at, and I can tell you, you don't want to fall into the mix, like, for example, in the Metro of Atlanta, you do not want to have a three, two, right? Or like uh, or a three, two and a half. That is there's a uh a max to what you can get there. You need to either need to go smaller and make it dope, or go large and make it dope, right?
SPEAKER_04:Uh so either like a couples or a family, exactly.
SPEAKER_01:If you fall in the middle, you're gonna make the least amount, even if you make it the most luxury property ever, right? Because there's just too many three twos to choose from.
SPEAKER_03:I was gonna say that it's just it's it's just the saturation of that of those, like that's the most common.
SPEAKER_01:Yes, that makes a whole lot. It's common to have these large houses. So in the Metro of Atlanta, that's necessarily that's what we're looking at. In the mountains, it's a little bit different. There's a bunch of different crowds you can appeal to. The smaller homes up in the mountains, right? Like the two bedrooms, three bedrooms, those can be the couple getaways. We've helped a couple people buy A-frames up there, and they have been killing it. Like it's booked 24-7 because people seem to like A-frames, right? And so we got a property I can look at. Yeah, she's looking for it right now.
SPEAKER_04:This one, we was actually, we actually was gonna put in an offer on it, and then we withdrew um because uh we felt like from an exit strategy, it would be really hard to sell. So I would like to know like your opinion on that.
SPEAKER_03:And and this will let you know too. The reason we felt that way is because this the bones of the property, like you never like the facial of the property, interior, how it was like it's just weirdly shaped.
SPEAKER_04:This was the studio for the couples.
SPEAKER_03:Oh, that was studio for the couples. Oh, I'm sorry. It was a I'm sorry, I'm talking about a name.
SPEAKER_04:No, it's 139 Maple Ridge. Yeah, Maple Ridge. Remember, we we put in the offering and we told Eric to withdraw it. Why? Because we felt like it couldn't, we wasn't gonna be able to sell it.
SPEAKER_01:You said 139 Maple Ridge?
SPEAKER_04:Yes, Maple Ridge and Brew Ridge.
SPEAKER_01:Maple. Maple Ridge, Blue Ridge. This one to you, remember? Blue Ridge or Cleveland?
SPEAKER_04:Oh, Cleveland, I think. Wait, is it the one? Yeah, it's that one. It's the one. Yeah.
SPEAKER_01:Okay, okay, fair enough. Fair enough. Okay, so it's a one-bed, one bath. Let me look at exactly where we're here.
SPEAKER_04:Yeah, and they already have it listed on Airbnb.
SPEAKER_01:What were they pulling in? Were you able to find it?
SPEAKER_04:Yeah, I gotta look back at my notes. It was like, I think it was like 50, 60.
SPEAKER_03:Yeah, this is the one, yeah. This is the one I was seeing, how the this is the same thing I was just saying to him, Bay. I felt like the like the appeal of the of the house itself exterior-wise wasn't appealing. Like, could in certain homes I've seen where it was like it was saying come inside, and this one was is not giving that. So that was well, like and that's just that's not really a decoration thing from my understanding. And I I don't know everything, but I was just looking at that. But the interior was up is beautiful. That's saying, come stay here, but the exterior wasn't, and that's why I said more modern because it's a new house. Yeah, exactly. So, so I was just thinking from like a desirability standpoint, thinking about who the specific audience is, which would probably be couples, and how the front part can just be very inviting because we've stayed in the mountains in Blue Ridge and Delang, Delang, uh, Delanaga, because we're a couple and we love doing it. So we wanted to kind of like be desirable to the person who's actually gonna stay there.
SPEAKER_01:Yep. Okay, so we're gonna take a look at this, we're gonna break it down live. And the thing you want to do is the opposite of what I was just doing before. So, from a listing standpoint, we're gonna take it on the smaller end. We're gonna go zero to two bedrooms because that's the market you'd be going for for couples, right? Oh, oops, hold up. One so we're gonna go studio up to two bedroom because we're gonna look at this. Is your real competition when you're looking at that? So entire place, house. We're gonna apply that and we're gonna see what the top properties are doing and what they look like.
SPEAKER_04:We need to get Air DNA.
SPEAKER_03:I thought you had Air DNA.
SPEAKER_04:No, Eric's just been sending me all the data by having like uh you need to get it, girl.
SPEAKER_01:So here goes a one-bed, one and a half bath, right? 10 minutes to Helen, same zip, right around the Cleveland area, and this is doing 98k annually, and you can feel semi-confident in that because it has 294 days available. But I want to look for a better comp than that because it only has four reviews. So I think this is one that's a newer listing, right? So you put that on the higher end of the spectrum of what you probably pull in. But when I look at this one, this has 206 reviews, two bed, two bath, it can hold six people, 71k. So let's pull this one in. Let's look what this looks like.
SPEAKER_04:What about the reviews?
SPEAKER_03:Because the reviews is something that he's considering as a part of the comparable concept. Like, I only want to compare properties that actually have some reviews.
SPEAKER_01:The re and not even that. So so the number of reviews, let's look back at this, right? The number of reviews tells you how long the property's been listed, right? And that tells you how tight the numbers are. And so you look at this one, this is available for 294, but there's only four reviews. That tells it listed for long. So let's look at this, right? I'm gonna scroll down to the review.
SPEAKER_03:So it's like considering that a comparable doesn't really make sense because it's not no you can't say their stability or like it's spin there for a long time. Exactly.
SPEAKER_01:Like, for example, this one one bed, one bath, this is a comparable. Why it says 365 days available, right? It with their actual revenue was 64.9, it's saying it's gonna be around 58 this year, but the actual revenue was 64.9 the past year, and they have 106 reviews. This is literally a comp because that home you're looking at is a one-one, but yours will be newer. And so, what you want to do is look at this and say, Hey, what amenities do they have, or what amenities are they lacking, and how can I get it higher from there? So, this is how you know. Go ahead.
SPEAKER_03:Got you. Well, what about the exterior? Would you without the the the factor I was saying as far as the desirability of the actual skeleton of the home? That's beautiful, by the way. That's hard.
SPEAKER_01:So this is on the water, that's hard to compete with. You do not want this is not a cop, it's on the water, right? This is not a cop, it's kind of cool. Yeah, the design inside, this is very basic. Like they literally just put whatever in here, and it's very dark. Because they got the lake. Because they got the lake, they're pulling their money anyway. But go ahead, you were gonna say, sorry.
SPEAKER_03:Yeah, so go going back to that property at Maple. Uh, so you're looking for comparable to that property right now, but but one of my questions was is because of how that property is shaped, like the to me, and I could be wrong, it doesn't look inviting. Does that make a difference in the in the desirability of the home, considering that's really one of our biggest focal points? I want to make the property as desirable as property as as pro as possible, that way it can it can, you know, desirability takes into account a lot of things.
SPEAKER_01:The exterior, sure, but you got to factor in that you're gonna design this place. It's not gonna just look how it looks, like you've got a deck that wraps around that has a decent view, it looks like. And so you're gonna want to have amenities on there. If you go put a hot tub on that deck, it looks completely different, right? If you put some like you know, uh fire pit when you pull up, it looks completely different. So you just got to think about how you're gonna alter it a bit. The thing I would say that I like about that property is that it's freshly built. I think it was said it was built this year, and so you're not gonna have any capex for a long time, right? Like your capex is gone. And I want to switch back to that other property here soon, too. Cap X is gone. We may be able to negotiate keeping the furniture in here, right? Because you don't just put a pool table in the stage, so you may be able to keep some of the stuff here. Um, but when I look at this, this is more of like uh what they're one second.
SPEAKER_03:Me, we uh we had a we had a call coming, we had to come back. Oh, it's a pick. Okay, we're good now. We're back on.
SPEAKER_01:Okay, so when I look at this, right? And they have a I think this is a hot tub. I want to say this is a hot tub. Yeah, it's a hot tub with water.
SPEAKER_04:They're keeping, they're leaving that stuff.
SPEAKER_01:Oh, nice. So you already have amenities that are built in. That's a huge key, right? To saving you money. And then let's look at the acreage, and it's on a 1.5 acre lot. So what I'd be focused on is putting amenities outside of there, right? So they already got a little fire pit. What else can you put outside of there to make it dope? And I'll show you an example of one that we helped a client purchase, A-frame, and show you what he did. But this home right here, Purple Air, this is a one-bed, one and a half bath, I want to say. 204 reviews, they're pulling in 65k. This is a really good comp for what you can expect to pull in, right? So you're looking at this, they got a nice little jacuzzi thing. That's nice. The bathrooms aren't as nice as the new one, right? And they got carpet going down. They do have a pool table, they have some nice views, they have a hot tub. So this is a comp, right? When you look at that property, you look at this comp. I'd say you can roughly expect to pull in about 65k if you keep it sort of similar. But what I want to do is stop sharing for a second, and I want to show you an example of uh Joel. Welcome, man. How you doing? Man, full and blessed, bro. Good to see you. Good to see you. Good to see you. We missed you at the pickleball tournament, man. Yeah, man, was has some other stuff on his schedule, man. But it's that is fair. That is fair. I I wouldn't want to get whipped either. I get it, I get it. No, I'm playing. Okay, let me pull this one up. Give me one second. So this one is excellent, and I hope my guy doesn't get mad, but it's it's just free marketing for him. He killed this house. This is a home that's gonna do about 150 to 160k this year up in the mountains. Okay, can you see my screen now? It's loading.
SPEAKER_03:Yep, it's loading. Okay, here we go.
SPEAKER_01:Okay, so we helped my guy. We helped you saw this one. Yeah, it's really nice. So we helped him buy this one. We helped my guy put this one, gave him designers and things that nature. The house itself is cool, it's an A-frame, but it's what he did on the outside, like this little snow globe over here, right? With the teated, the little screen, like you see how you can do small things to where it's like, wow, I really want to come and hang out here. Now, he's the whole concept, completely different. You don't got to go with that concept, but what I'm saying is the way outside is pretty dull.
SPEAKER_04:And I love the fact it's in the a-frame for sale right now.
SPEAKER_03:I love the fact it's in Blue Ridge, which is only one hour from Atlanta. Post, I mean, I like I like Helen, but Helen's like two hours away. One hour away is really that that sounds desirable for the Atlanta market.
SPEAKER_01:True, it comes with a different price point, but true. And the saunas out like when you start adding these type of things, that other house didn't have a sauna outside, the other house didn't have a snow globe where I can go and have some wine with my wife in this warm globe, right? Like you put those things there, now you're starting to beat that comp. So what you have on there meets the comp that we were looking at before, right? You've got the hot tub, you've got all those things, right? It's kind of cool. And what beats that comp is using that 1.5 acres to just put some stuff around it, right? Who's to say you can't put a sauna next door? Who's to say you can't put some workout equipment, maybe some turf, right? And kind of make it really dope. But that's what we look at.
SPEAKER_04:Now, N will the resale for like the A-frame be hard to exit because it's so like leading specific?
SPEAKER_01:It's funny. So we helped our first client buy an A-frame two and a half years ago, and at that time we were able to get it for about$550. Uh, this one was purchased in January of this year, and they got it for$650. So those A-frames go up. When you look at the mountains, just like we just helped somebody put a deal under contract where we were able to get it for$750 and the and it's on the river and it's a bigger house, and the home appraised for$906. Like it's nuts. So in the mountains, it's a little bit different logic. If you make it a dope short-term rental and you hang on to it, it tends to go up and to the right over time, just because there's a scarcity of how many you can build up there. It's not like new homes are popping up all over because you got to run electric, you got to run piping. It's not as easy to build up there as it is to build in the city.
SPEAKER_03:Got you, gotcha. Ah, you it's tough up there. Yeah, yeah. Great point. Great point.
SPEAKER_01:Did this help at all? I don't know if this helped it.
SPEAKER_03:It definitely did. One thing was the fact that we was not using air DNA. And that's how DN DNA, right? Yeah. We wasn't.
SPEAKER_01:What Eric's doing in the background for you, right? He's not. He's when he sends you a property, he's pulling all these numbers saying, hey, this is what it looks like.
SPEAKER_03:Yeah, we should get that done. Yeah, I just and then the other thing that you helped with was far so more so just mentioning, like I said, the factors outside of the numbers. Uh, even though the numbers matter 100%, but the factors outside of the numbers that makes the property desirable, the amenities, uh, and then like you said, not going from uh the the whole three-bedroom, four-bedroom thing, either going big or going small and unique in it uh in Atlanta. Yeah. So that that definitely helped a whole lot. So with us, I think we I definitely want to do cabin. Um, my wife, she's interested. I'm interested too, whatever you want to do. As far as like doing um Atlanta Market, making it an option if we have to. But I really want to go to the mountains. Blue Ridge will be hands down where we would love to go. Yeah, that's where we really want to do. So, but make a long story short, it's just now that we have this information, we should be able to make a lot more. You think so? Yes, make it, yeah, yeah. Cause I I just was like, Babe, I want to make sure we got something that's that's going to do well. I don't want to do all right, I want to do because I'm big on, I'm a marketing guy. I'm big on marketing. Marketing yourself is my thing. And we're thinking about, you know, more so creating an Instagram page for the property.
SPEAKER_01:And that's the piece. Yeah. If you're gonna do all this, you want to you want to be able to put the amenities in there where you get excited about like, hey, we're gonna do this video and you can take it to the next level. And it's not just Airbnb, it's VRBO, booking.com, your direct site, we'll help you with all that stuff. But it's about finding that property and getting going there. And and yeah, if you can find those amenities and add on a couple more that other people may not have that are in the comp range, you're gonna be off to the races and to the next level.
SPEAKER_04:Yeah, yeah. Okay. So one last thing, the I'm sorry, I'm gonna question too. When it comes to comparables, I guess the the biggest thing is just making sure we find comparables that is in line with the subject property as far as like amenities, because some amenities we can add and then some we don't, like, for example, like a mountain view versus a non-mountain view, that will make a big difference, right?
SPEAKER_01:Exactly. Like that lake one, we had to eliminate that, right? We we're not on the lake, so yeah, that lake property is gonna cost a bit more, but if it's an amenity that you can add, you keep it in there. For example, property with the pool in Atlanta, that's a huge differentiator. There's not many properties with pools. When you have a pool, immediate six figures, immediate, like you're immediately six figures and the mountains. If you're able to have some of these other pieces, right? Whether it be a view, whether it be hey, we're near a river, it's hard to replicate that. So, yeah, that that's that's an important piece.
SPEAKER_03:Gotcha. And any and the last question I got for you, and I appreciate you so much. Thank you for your time. The question I got for you is when it comes to uh factors outside of the amenities, is there any other factors you would say is largely need to be considered like things you need to be considering outside of the actual amenities?
SPEAKER_01:Outside of the actual amenities, just the design in general. And to that point, did we connect you with the designer, or did you say you had a designer?
SPEAKER_03:No, we don't have a designer, we need a designer.
SPEAKER_01:Okay, okay. We'll send you the contact for that individual that we utilize for a lot of our properties and for clients, but would highly recommend at least having a conversation because it it I've put a couple together myself, at least the first two or three that I did. One a lot longer than you think, and two, just when you're doing all that and in the weeds, it's hard to take a step back and say, hey, does this all kind of mesh together? And what are we going for here? It's better to be an expert that does this all the time so that you can stand out, and that's why that A-frame looks crazy, right? Because he had a designer come in and just, hey, this is what we're gonna do. And he's like, dude, yeah, I'm pulling in money.
SPEAKER_03:Okay, and would you recommend hire like speaking to that designer now or pull or like waiting when we're under contract? Under contract, wait until we're under contract.
SPEAKER_01:Probably when you're under contract, but we can connect you now just so that you can be ready for it. But when you're under contract, is when when you want to talk to them so they can actually look at that and give you some ideas, like, hey, this is what we should hear and go from there.
SPEAKER_03:Okay, cool. Anything else you want to add? No, man, this was this was good, man. This was really good. This is what I know. Thank you, bro. Thank you. This is what I know we needed, though. This is what I knew we needed, uh, to just gain more insight. Because me and my wife together, we make an amazing couple, but obvious, but I just wanted to just. Dive into the specifics of the factors outside of numbers because she was hitting the numbers on the head, but I'm like, Hey, that probably don't look too appealing to me, you know. And I want to make sure we we dial that in too. So this definitely helped with that. Is there anything else you want to you want to add?
SPEAKER_01:Okay, cool. Cool, cool, cool. Come on, I'm pumped for you guys. I think this is gonna be an awesome journey. And the key is right now, just getting it up and running before end of the year, so you can still get those tax credits because that is a huge savings. Believe me, I know you're looking at that. It's a lot going on.
SPEAKER_03:Yeah, yeah, 100%. Definitely. Okay, cool, cool, cool, cool, man. Well, we'll we'll be in contact, and I appreciate you a lot. And uh, thank you, man. I hope you're having a good day, man.
SPEAKER_01:A good day. Hey, come on now. Be safe, we'll catch you later.
SPEAKER_03:For sure. All right, bro. Peace, man.
SPEAKER_02:See ya. So well, how you doing, man? Man, I'm feeling good, bro. Having a blessed time over here. Come on now. What are you working on? Man, to these days, but I'm trying to get this. So I just I'm over here finalizing my funding for the Airbnb property I'm trying to get started up. Nice. Yep. And I just got on the the final call, so now I got the team. Um, I signed over the paperwork, signed the agreements, and now they get everything worked out on the back end for funding purposes. Nice. That's where I'm at now. Now I'm just looking for a good location uh to do my first Airbnb outside of the this home.
SPEAKER_01:Come on now. I'm excited for you. And are you targeting metro or are you targeting like mountains? What are you what are you targeting for?
SPEAKER_02:Right now, for the first one, I'm looking for just the metro Atlanta area, specifically, uh probably a location around the Brave Stadium. Uh just Marietta. Yeah, yeah. Marietta, Sandy Springs area, uh somewhere not too close to Atlanta where there's a lot of maybe more ordinances and restrictions around short-term rentals. Looking for Airbnb-friendly building to start just to kind of get my feet wet, get do with the process, find my cleaners and kind of get the systems up in place, have the business structure and everything else, information and going to be having the accounts and stuff. So just really trying to get started just to kind of get a system going so that way I can just replicate it after this one. Come on now.
SPEAKER_01:And and I know we talked about it before. Arbitrage is not necessarily my thing, only because I want to own the land. But if it's the first one to try to get started and see if you like this thing, I'm all for it. Um, and I gotta I gotta brag on Marietta, like on that whole area. So here, I'm gonna share my screen. This is one that I have. And can you see my screen? Yeah, this is one that I have up there we put together a couple years ago. We made it sports themed because you know you got the ATL battery, and we purposely chose Marietta because you're not paying the same prices as Smyrna and Vinnings, but you're still only 15 minutes away from the battery. I had one of my guys who's an artist, just he put all his art in here. We put QR codes so people can buy his art, and he did some cool murals on the wall. And uh it's been jumping, especially during the summers. There's a lot of people for bigger homes that come up for like baseball tournaments, like travel. You know how you growing up, you play like travel basketball or AAU or whatever. There's like AAU baseball. I'm not a baseball guy, so I even know this, but they they travel up like crazy during the summer and and they stay in homes like this near the the cob center, sports center, and and and they just play games. So like your calendar will be fully booked well in advance for this type of stuff.
SPEAKER_02:Yo, man, that is dope, man. Come on now. Yes, a nice, nice, nice sporty experience, it seems like.
SPEAKER_01:Yeah, which it's all about trying to you know create that experience for your guest. Um, either that or you got to compete on cost. If you can create an experience that's like, hey, I'll pay a bit more to go and stay there, that's ideal. Other than that, you got to compete on cost, and that's not where you want to be. You don't want to be uh fighting for the bottom. Yeah, what can you repeat that part? You were talking about fighting for the bottom. Yeah, you want to make sure that your spot, as far as when you look at the comparables, is just a step higher, right? You want to make it shoot for more of the luxury, like the top of the market, because if you fall into that bottom 80%, it's a rush to the bottom. Now people are trying to negotiate with you on price, and it's a lot going on as opposed to being able to call your shot, right? To an extent. Now you're talking about going after smaller units, right? Like a one bedroom, two bedroom. Yeah, just to get started, smaller, like one bedroom, two bedrooms, just to start out. Okay, it works. It works. There's only going to be there's gonna be a cap on how much you can charge, right? Because at a certain point, it's like, okay, I'll just go get a house, right? Or a three-bedroom, but it can definitely work. Uh, the only other piece I would I would watch out for, and I know you're probably already doing this, is some of these buildings try to double dip, right? Like you'll be paying rent, but then they'll also say, hey, we need 25% of what you're bringing in from an Airbnb perspective as well. Like, hey, we're Airbnb friendly, but we need 25% of that, and that would kill a business, right? Because that 25% is what you're using to pay the cleaners, it's a part of your profit and things of that nature. And so just be careful of that. Like, make sure you fully know, like, hey, what are we doing here? And are they actually going to play ball with you and not take you out of the business? Oh, yeah, 100%.
SPEAKER_02:Definitely. Definitely running the numbers, make sure everything, especially these agreements being signed. Because I noticed that with a lot of these buildings, they have change in management, and so they may not be um agreeing to the original terms. So definitely gonna make sure those legalities are in place too. Come on now. I'm pumped for you though. What's the goal of getting started? You talking about numerical, like month to month? Yep. Well, profits for the first one, profits anywhere from maybe 19 to 2200, if possible, just starting out consistently and then shoot from there. We'll see what. And then I was telling you, of course, about once I get this in place and then you know, work around to of course I'm gonna try to get some more properties in terms of ownership, but then also then once I get everything set in terms of the systems, taking it internationally as well.
SPEAKER_01:Come on now. Uh that that's that's the stage that we're at, trying to go international. And long, how you doing?
SPEAKER_06:Yes, yes. Um, I'm doing well. Thank you for asking.
SPEAKER_01:Come on now. How is the property search coming? And and and what's top of mind?
SPEAKER_06:It's it's going well. I'm actually um kind of still debating on like different cities that I want to invest in, and then like short term versus long term, and um, and with all of the changes in my life that I'm potentially gonna move soon somewhere to House Hack, which is also on the down the line. So yeah, there's just a lot of things going on to see what's my next step.
SPEAKER_01:Well, Mong, I know I've said this before, and I've pitched Atlanta to you before. Yeah, which we love to have you down in the south. And there's just a lot of good things going on here. And so when you're looking at different cities, other than work, what else are you considering from a from a city standpoint? Are you looking for a place where you can continue to invest over time? Or what's top of mind for you?
SPEAKER_06:Yeah, yeah, I think um I was going, for example, my first one was in Austin, which was like a very hot market back in early 2020, 2021.
SPEAKER_05:Yep.
SPEAKER_06:Yeah, and then now, you know, it was like overpriced a little bit at the time, and then um kind of um um, and then I started explore North Carolina, which is also um um hot state for population growth and um um all of the industries growing, like finance or the the um or like the riley area. Um and then I moved to Seattle because of um kind of work. Um, and then I also started explore Ohio because um it was really like part of my looking at my portfolio, right? Like I have different places I want to diversify it, but also in the portfolio you also want different types of properties, right? There are depreciation ones, there are the cash flow ones, um, and different cities also have its own strategy. Um, so yeah, I'm kind of just looking at what's my next step. I was considering it like per um to start for my next project. But honestly, it's kind of uh probably requires some like work, more energy. Um so I'm kind of hesitating maybe to start with the first one small in somewhere, you know, how many know, you know, just like a tape one before I get into like a bigger or um projects or like a multifamily kind of deal. So yeah, the Lemon is definitely on my list. I know it's an also pretty hot market. And then I had a couple friends actually owns property there and I saw them like getting one or two, and then I had a friend who actually has an um condo there for maybe four years now, and um it's been going pretty well. So it's um it's also always on the top of the list of the um attracting the most uh investors at the moment. So also still on the list on the running, but um I think as you mentioned before, um at some time is definitely probably more competitive and with a lot of investors with more opportunities and also higher risk as well. So I am looking, I am exploring, but at this point, I'm like, let me try something small and uh just to get my foot wet and then get some bigger things when I'm more confident with uh more like neither renovation or some like uh flips down the line.
SPEAKER_01:I would say two things, right? To that. One, when you look at Ohio, like people get attracted to Ohio for the same reason I was attracted to Louisville, Kentucky, which is the purchase price. Like, man, you can go get a what for how much? The first triplex I bought, which was a house hack, was$190,000 for a triplex, three units, and it wasn't like just you know, sticks, you know, it was legit triplex, and and it was amazing. That was back in 2016. You can't do that anymore. But that house came with a lot of weird quirks. And four years later, when I sold it, I was able to sell it for about a hundred K more, which is awesome in a lot of respects. Whereas in Atlanta, I bought a fourplex in 2023 and it's already worth a little over a hundred K more right now, right? We just got it uh reappraised because we're going for a refinance to lower our interest rate, and it's nuts. And so when you look at some of those markets and going smaller, absolutely there's a game plan and a play in there. But if you're not gonna stay in that market long term, I'd more be focusing on two things. One, if you're gonna be moving, a house hack is a way to limit your risk. You're only putting down three and a half to five percent on the property, so you're barely in it, and you can run all the numbers on it and get inspections and still pull out of the deal before you know anything happens. That that's one. And then two, I'd be looking to invest also in my backyard where you can go and drive by and see the property and know the neighborhood. So if you're planning to move somewhere, I'd be targeting that city for the investment as well, as opposed to moving somewhere and then still trying to invest further outside of state. If you can marry those two up, what are your thoughts on that?
SPEAKER_06:Yeah, actually, I was thinking that as well. I was like at this moment, because I couldn't really move until like potentially early next year. Um, so at this point of time, because then I still have like, I don't know, three, four months left. And that's where I was like, okay, maybe remote or like a long-term investment at this point for me to explore. And then for when I can move again, and I'll probably pick that momentum. And then I'll be moving there and then start my explore. And both of the hosts will be like different criteria, right? So like my budget probably for um like multi-pack will be higher because I'll be living there, you know, and I will have like multi-family versus if I'm doing anything in the home, that'll be like small, right? Something like 100, 150K, and then something just small for me to start versus like um something that's not that's probably gonna be a little bit higher because I can put a lower down payment and also like a living as well. So that's a fun for now because Leary just like right now, before I can move, I am kind of like looking at a deal as that's a lot of data cheap. Um after I move to the city, that'll be a completely different strategy than I'm focusing on like as you said, like healthcare. Um yeah, I'm kind of just like still exploring the cities, um, but it's definitely on my list. The only thing I'm hesitating is that I'm gonna hot right now. Um it's it's very popular, and a lot of the investors are in and then it's on the top of the list for all of the recommended city for investors, right? So it's it's like the the time when Austin was super hot. And um, you know, I said, okay, I'm getting it in, and is it gonna be like really high price point and then lock me up and then the price starts to draw up like I don't know, done a couple years? Um, that will be my kind of only concern at this moment, but yeah, I I was wondering your thought of like, is that like too hot right now if I fund time uh to for me to like start to consider, or is it still have like a lot of potential to grow?
SPEAKER_01:So the cool thing about investing is it's all about the numbers, right? If you're not looking to sell next year and do a flip, that piece and you're looking to hold on long term, that piece kind of takes care of itself. What I focus on are hey, are the fundamentals and do the numbers work on this deal? And then over the next decade, is this somewhere where I want to own? And so when I look at Atlanta versus a lot of other cities, the thing that always stands out is what I mentioned at the top. There's such a diversity in employment here, and so many more people moving their employment out this way for that reason, that it's not like one industry can take Atlanta down, right? It's not like the tech industry could just take Atlanta down or you know, and things that nature. Delta's not going anywhere, Home Depot's not going anywhere. As far as I know, Coca-Cola's not going anywhere, FedEx isn't going anywhere. Like all these places are based here and they're and they're making a lot happen. Even like uh all that happened with the the new administration, right? With like the CDC and things that nature. The CDC is based in Atlanta, and they laid off a lot of people with that piece, but it still hasn't affected um kind of the growth and trajectory of what we believe is going to happen in the city over the next five to 10 years. And that's why a lot of people are coming. Not to mention, when I look at next year uh and what happened to Atlanta 20 years ago when they held the really 30 years ago, when they held the uh Olympics here, the 96 Olympics, and what it did to the city by putting on the map. I look at the World Cup as doing the same thing from an international standpoint, being able to have the semifinal games here, depending on which teams are here. The city's gonna be flooded. People are gonna be seeing it for the first time. It's gonna be on TV and all those stuff to help it have another boom potentially. So I just uh uh live what I preach. And the reason that I moved from the Northeast down to the Southeast was to pick a location where I could invest over the next decade. And I chose Atlanta over the North Carolinas, over the Floridas of the world, because I believe this one is one protected a little bit from some of the natural disasters because you don't have a ocean right there, right? You have uh Florida kind of protect you on one side and Alabama on the other side. That's one, and two, the diversity of employment.
SPEAKER_06:Gotcha. Okay. That's uh that makes a lot of sense to me, actually. Thank you.
SPEAKER_02:Of course. Come on now, Joel. What else you got, man? Anything else? Um, no, not right now, right? In the meantime, I'm just kind of looking towards another thing is um the tax strategy, tax savings. So I was able to connect with someone uh who I'm having a little bit of trouble getting back with, but we'll see what's going on. I I ended up touching base inside my network for the standard and uh got in touch with uh a good financial uh financial planner, and he also connected me with the CPA who specializes in real estate. So we'll I'll see how that goes.
SPEAKER_01:That's the main piece, honestly. Um, and Monk, you asked this earlier the reason to go short-term or or long-term rental. When I was in the W 2, I was in medical device sales, and there was some years where we had blowout sales, like a lot of dollars. And then you look at the check, and like 14% of it's going to Uncle Sam. I'm like, what the heck? And so short-term rentals, especially if you have a lot of active W-2 income, can do two things for you. One, it can save you significantly on taxes. Like one of the deals we reviewed earlier with Lex and her husband were is because they want to save money on taxes. And I'll give you an example for that$400,000 house that I bought, which is that luxury sports art gallery I showed you earlier. I saved about$75,000 in taxes by doing a cost segregation and taking that bonus depreciation in the first year, and that was significant. I did the same on a fourplex that I bought uh um two years ago for last year's taxes. Because I had half of it as short-term rental, half of it is long-term rental, I was able to do a classic on that and save about$150,000,$160K in taxes. And so it's a way to shelter some of your income as you start to get to the short-term rental game. But Joel, the caveat to that is you got to own the property, right? For that for the short-term rental piece. Other than that, the long-term rental still give you tax benefits, but it's gonna be slower and over time, right? It's gonna be over 27 and a half years, and you're gonna get just a little nugget each year of tax savings. Does that make sense?
SPEAKER_06:Yeah, I guess like, well, sorry, I I was trying to understand that. The um for the tax part, um, like segregation, I will have to live in the property for the short-term rental to be able to uh deduct my tax.
SPEAKER_01:No, no, so that's the whole thing. You you you don't want to be living in the property, right? So with the short-term rental, you just go buy a short-term rental, you can put down 10% because it's a vacation home loan. And in the in that first tax year, right? So say you get a vacation rental right now, right? Before December, you put it into service this year. Like you have one person stay there this year. For tax season next year, you can do a cost segregation study on it. The cost segregation study is gonna run you about three grand, three to five grand, depending on you know how big the property is. And they're gonna be able to put together a whole engineering report where you essentially give it to your CPA and it saves you roughly 20% of the 20 to right? Yeah, roughly 20% of the purchase price is what it saves you in taxes, which is pretty significant.
SPEAKER_06:Oh wow. Okay. So I guess um my follow-up question is that I'm not really able to do it at this moment, but I'm probably gonna do it like next year. Um, I own my short term for uh four years now, four or five years. And then I've been running it for about two years, I'll say. And can I still do it for the like next year? And it will be the same thing uh if it's not the first year.
SPEAKER_01:Yeah. So is it a long-term rental right now or short-term rental right now? Right now, short-term rental. Perfect. Yes, you can. As long as you had short-term rental and you could you can show that to the CPA, like, hey, this is a short-term rental last year, here goes the bookings. You can do a cost sec, and you don't have to do a year one, it just makes the most sense the first year you put it into service, but you don't have to do a year one. You can do that cost, you can do that cost sec this year or or next year for this year's taxes if you want to save this year's taxes because it's already a short-term rental that's active.
SPEAKER_06:I see. Okay, that's good to know. Thank you.
SPEAKER_01:Of course. And if you need a CPA or help with that piece, let me know and I can send you uh the what person I use for that.
SPEAKER_06:Yeah. Um, so for the CPA-wise, like um, are they going to be like doing all of different states will be the same person or are they gonna focus on like a one state particular?
SPEAKER_01:Yeah, you ideally you want a CPA that is well versed in real estate across the 50 states, right? Because it's not much changes from that standpoint with that piece. So the CPA that I use works across all 50 states and they're focused on real estate investors. Um the cost segregation firm that I use is also able to do it across all states. Uh, for smaller properties, they do like a quote unquote drive-by, we'll call it. They're able to do it from afar with pictures, with videos, with the appraisal report. For larger properties, let's say 500k or more, they have to come in person and send somebody out to actually look at all the things to do a uh a cost set.
SPEAKER_06:Okay, got it. Um, yeah, that'll be that'll be great if you can send me the recommendations for uh CPN the the segregation.
SPEAKER_02:Sure, wrong, I got you. And Joel, you were gonna say? Oh no, yeah, yeah. So that's that's basically what I'm doing now is trying to build the support team. I have the information about uh trying to get cleaners. I get a good cleaner with you guys, and then uh definitely once I I'm just gonna I'm just kind of going full speed. I'm more so in a position now where I'm just trying to take action very quickly. I'm going to a couple pieces I'm going to need is definitely probably internal design. That's one thing. And then on the tech side of things, also I'm going to connect with the CPA that I haven't connected with them just yet, but I'm going to see how what they're working with, see what's going on. But um, yeah, if you have any recommendations for any good CPAs in the ALINA area, definitely open to options right now. So I'm shopping for a good team. Come on now.
SPEAKER_01:Done and done. So CPA and then interior designer, and then you said cleaner? Yeah, yeah, cleaner as well. Done and done. So I with the cleaner piece, this is one where as you grow and you continue building this crazy business, you're gonna want to have a couple options. And so I actually work with three cleaning teams uh because we got 30 properties that we manage, including the eight that that we own, right? And those cleaning teams, we have different metrics for them. And so, long story short, we have three that split all the properties. And if there's like an issue at one of the properties that a guest reports, we have a three-strike rule where if you have three strikes within three months across any of the properties that you're cleaning, we take that property away and we give it to somebody else. And that has helped keep all of our team in line. Now, with one property, you don't really got to worry about that as much. But as you grow, you're gonna want to get more cleaners because they're gonna get busy, and not every cleaning team is good at expanding. For example, we we when we first started doing all this, we tried to have the same cleaning team grow with us, and it got to a point where that one person was working seven days a week trying to clean like 10 properties, and that's not sustainable, right? It's just not. If you got four checkouts in the same day, that same team or same person, unless they're really good at operations, may not be able to do it. But that's something to think about down the road. Not not for the first one. The first one, you should be solid. Second one, probably saw when we start getting to three or four. You may want to start looking and saying, okay, can this person expand, or do I need to get another person to take the additional units? Understood, yeah.
SPEAKER_02:That's one thing. I like that the street, the three strikes are out uh strategy. That's nice.
SPEAKER_01:Yeah, it it definitely helps because you get busy doing a lot of other things, right? Like I know you're busy, I know Mong's busy, I'm busy, actually trying to help clients and things of that nature. And so you want to just as much as you can set boundaries and and be very upfront with those so that people know and they can almost hold themselves accountable. Now they know, like, oh man, if I mess another one up, I'm gonna lose property. And it's like, hey, we talked about it up front.
SPEAKER_02:So one thing I definitely want to know is like also for like your cleaners, do you uh more so specifically set them like on 1099 contracts or is it just based off the preference?
SPEAKER_01:1099. So uh as much as you can, 1099. We don't we don't really do anybody W-2 like that because you're getting paid per clean, and then we pay our cleaners through QuickBooks, so it just keeps track of everything. And initially, all your cleaners are gonna want to get paid immediately after cleaning, which is understandable. They don't know you, you're trying to build a relationship. We've gotten to the point now with the size and scale that it would drive me crazy trying to do payments every day, and so now we pay on the first and the 15th, it's a lot easier. So we just pull all the cleanings for the last 15 days, send that payment out, and kind of go from there through QuickBooks.
SPEAKER_02:Got you, got you. Okay, and then another thing. So I'm I'm kind of just running through. So funding funding wise, got the funding, got everything, got got a chance to locate the property, approval through the front office, wherever it's at. Um, got everybody moving the furniture in, getting everything designed. So the designers, you have any recommendations on any good designers? Um, because I I know there's a saying that sometimes a woman's touch is best. So yeah.
SPEAKER_01:This is true. This is true. So I don't have a design mind. I'll be the first to tell you. Like, my my design is like clean, right? Like, I'm looking, I'm like, okay, this looks clean. I like I can move around, but when it comes to putting colors and pops of color, and like, hey, we're gonna make this an accent wall, and this is all gonna blend together, and we should put a neon sign over here, and here goes the string lights. I'm not the one to put it together, and so I highly recommend if you want it to pop, to have that conversation. I will connect you uh after this, um, at least to see, like, hey, is this within my budget or not? Um, now you can do the research and the work and look at all the other BBs, see what they're pulling in, uh, see, okay, what do I need to put into this house and then buy this stuff and do it? I just know it looks a little different when somebody else does it. Just like when I iron my clothes, it looks a little different than when the dry cleaner delivers it to me iron. I'm like, man, why is theirs all like crisp and mine looks looks a little beat up?
SPEAKER_02:I hear, I hear for sure. Uh, let's see, what's uh what's another piece? So after the design and everything set up, systems are in place. Um, in terms of tax savings, I know you separate your business from your personal expenses.
SPEAKER_01:See, so the easiest way to do that too is just separate bank account. If you haven't already, just open a new bank account and put everything for the Airbnb in that bank account. Yeah, gotcha, gotcha.
SPEAKER_02:And then for the uh CPA piece, if you have any recommendations on that, I'm definitely still shopping. I haven't kind of dialed in. I'm I'm gonna what I'm gonna do is probably just compare, contrast, see what different people's price ranges are, see what services they've had, you know, kind of just do my due diligence on that.
SPEAKER_01:Come on now, nothing wrong with that. And I hate to cut this a little bit short. We got two minutes left. I'm gonna get kicked out of here because I'm in a coffee shop. But Joel Mong, I appreciate you joining us this evening. Again, we do this every Wednesday from four to five. We change the time from late at night because I'm an early sleeper now with a newborn. Uh, so we do from from four to five. And so I appreciate both of you guys joining. And I look forward to seeing you in the future. And I will hit you with the follow-ups. It just may not be right now, it may be early tomorrow morning with the connections. Sure. Awesome. Thank you. Of course. See you guys, be safe. See ya.
SPEAKER_00:Yeah, join us every Wednesday at 7 p.m. Eastern as we explore different types of investments that can fast track your path to financial independence.
