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Writer's picturePace Morby

Identifying Good Opportunities for Airbnbs Using Creative Finance

I’ve said before how incredibly grateful and in awe of my Subto students.


When I started Subto, I wanted to help others learn about real estate investing, but also give them lifetime access to continue to learn and be successful.


What I find, time and time again, is how much I’m learning from them.


I have a student named Noah Hoffman, who’s not only a great person, but someone who is just crushing it in this space, especially when it comes to Airbnbs.


In fact, it was Noah who actually changed my mind about a purchase I made in Vegas – by suggesting I turn it into an Airbnb.


We sat down and talked about here on Sunday Service:



Guys, Airbnbs are another fantastic way to cash flow thousands of dollars and it’s a great option.


But not every property can or should be an Airbnb.


What is an Airbnb?


When Noah got started, he had no idea what an Airbnb was, so let’s discuss that now.


An Airbnb stands for ‘air bed and breakfast’.


The company – Airbnb – makes this business model where people list their homes (like a vacation home or secondary residence) for others to rent.


So, if you’re planning a trip to Disneyland in California and you don’t want to spend the astronomical price for a hotel, you can find an Airbnb for a cheaper price.


You book the home/rental and pay the company, who reimburses the actual owner (after their own fees, of course).


A bedroom in an Airbnb

Now, while there is a company that does this, people have discovered they can do something similar, especially if they’ve got a property they aren’t using and want some extra income.


And this is how we’re using the Airbnb model.


How to Identify Airbnb Opportunities


As you’ll hear Noah explain, the way he approaches Airbnb properties is to look at the room size.


If a bedroom can fit a king-size bed, as that’s a popular size for most people, and any amenities within the home are great for using as an Airbnb.


As an example, one of the deals I did with Noah was one in Dallas. Half a million house, with a pool in the backyard and overlooking a golf course.


How nice is that?



In many of my Airbnb properties, I will usually use seller finance with the homeowner; that means that I give them the amount they’re looking for and pay them on terms.


There are so many great things about doing something like this:

  • The homeowner is able to get the price they want

  • They’re able to get rid of a property they no longer need

  • I’m able to cash flow on a monthly basis, even with other expenditures

  • I’m providing a place for people to stay/go to when they need somewhere to go

That’s amazing.


This particular Airbnb nets us $3,000 a month, after any expenses.


And this includes the 10% I give to Noah for managing this for me.


Like I said, Noah completely changed my mind on Airbnbs and he’s now the go-to person for managing all of my Airbnbs.


Guys, if you’re looking to cash flow your properties or you need help in finding deals that do, why are you waiting?


Come join the best real estate investing community EVA and let’s go make some mailbox money!


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