Should I Fix and Flip, Rent, or Airbnb This House?


In this video, I am showing you a house that I was initially thinking about fixing and flipping, but am now leaning towards turning it into a short term Airbnb rental. This is a rental property of mine where the tenant recently moved out.

Market rents are around $2,000 a month for this house. In its present condition, if I simply paint the interior and make it “rent ready” I would get around $1,900 a month for it.

If I fix it up really nice with new kitchen, new bathrooms, new flooring etc. and list it on the MLS I could probably get around $330,000. I paid $115,000 for this house in 2018 so that’s a pretty decent spread for just 4 years of owning it. If I spend 30k in rehab that’s 185k of gross profit. Considering that I purchased this house with zero money down (borrowed the entire $115,000 from a private lender) that’s a pretty easy way to make $185,000. Disclaimer: The market moving up certainly helped!

So I could keep this as a rental, I could fix it and flip it for a nice profit or I could turn it into a short term Airbnb Rental. Current Airbnb rental rates indicate that I could get at least $210 a night on Airbnb. So if I rent it out for just 20 nights a month and assume 10 nights a month are vacant, I should still be able to double the return that a rental gives me.

If I add a swimming pool and nice outside built in barbeque area (which will cost $50,000) I can turn that nightly rate into almost $330 which would turn 20 nights of rent into $6,600 which would be more than triple the regular rental rate.

The tool that I use to calculate the Airbnb short term rental rates is:

So what do you think? Should I fix and flip it this house? Should I keep it as a rental? Or should I turn it into an Airbnb? Fixing and flipping is easy. Keeping it as a rental is even easier. Turning it into an Airbnb requires a little more work but it’s hard to argue with the cash flow of the short term rental.

Learn More About Airbnb And Short Term Rentals at The Boot Camp CLICK HERE!

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