Are you just starting out as a real estate agent? Or maybe you’re a seasoned agent but you’re considering other niches in the real estate industry? Would you want to look into whether or not it is still a good time now to invest in real estate, specifically in rental properties when we are currently bound by restrictions? Well, you are in for a treat because today, our podcast guest, Avery Carl, is sharing the secret behind her success in closing just under $150 million in sales in the year 2020. They were able to scale up and own the vacation rental properties niche in Smoky Mountain, Destin in Florida, Gulf Shores, and Orange Beach areas.
Avery says that other than her success in real estate, she is a wife and a mother of two young kids. She went into real estate with the intention of having more time with her family. In the beginning, though, she was in the music industry business, going on tours when she was around 18 to 24 years old. She and her husband moved to Nashville to get her master’s degree, and there, she was introduced to real estate. After they got their first rental property, they went all in and dive in onto the business, devouring all the information they can get their hands on.
Fast forward to today, she is the owner of The Short Term Shop, which features the best real estate search for homes, condos, land, and foreclosure properties in the most profitable vacation rental markets. They help their clients win in short-term rental investments. In this podcast, she shares the secret to her success, how you can win in short-term rental markets as an investor and as an agent working with investors. She also shares her new brokerage, what sets it apart from others, and how you could prepare for the success that is coming your way. Get ready to be inspired as Avery takes us on her success journey.
Here’s What You Missed:
- The ins and outs of short-term rental markets
- Why you should look into working with short-term rental investors
- What tools you can use to leverage vacation rental properties
- Why you should set up a system ahead of time
- The difference between eXp Realty and others
- Should you fake it ‘til you make it?- Why or why not?
Podcast Flow of How To Win With Short Term Rentals?
[2:01] Avery talks about how her ultimate dream was to become a rock star and then how she transitioned into the real estate business
[9:20] Factors to consider when investing in short-term rentals.
[11:55] Where to get data points and metrics to understand how much you’ll make out of a rental property
[14:07] The three types of markets for short-term rentals and which of these markets have boomed during the pandemic
[17:16] How to manage short-term rentals
[21:54] Understanding the vacation home loan
[23:37] Understanding the arbitrage method
[25:12] How she became part of eXp Realty
[31:42] Avery sharing how big they’ve grown
[32:01] The difference between working with short-term rental investors and working with other niches
[37:50] The importance of setting up systems even before you get busy
Quotes/Advice:
[7:43] Enemy method: You get on the platform, look at your potential neighbors, your enemies, and see what they got and how much they are making.
[9:08} The best way to analyze a short-term rental is what you can expect to make off of what versus what you can get the property for.
[10:53] What I recommend doing when you’re trying to figure out how much a property will make is using as many data points as possible.
[12:36] A lot of what most people do in the short-term rental analysis is they’ll analyze based on cash on cash return. Another metric that people use a lot in short-term rentals is the gross rent multiplier, the rent expressed as a percentage of the purchase price.
[14:07] There are three types of markets for short-term rentals. There are the metro markets, big national fly-to-vacation markets, and the regional drivable markets that are within a five to eight-hour drive of big cities, and the regional drivable markets have actually boomed since coronavirus started up.
[17:32] You can mitigate a lot of bad review situations by asking guests the right questions up front and not taking every guest.
>>[19:08] So we really focus on automating a lot of stuff, and we really try to teach our clients to not micromanage their guests. We use the channel manager called YourPorter, and it sends automated templates.
[27:28] The eXp is already a member of every single MLS in every state, and that’s exactly what I needed. Then it also gave me the ability to sell across state lines so eXp just had better support and had what I needed to be able to achieve the goals that I had for myself and my company. So here I am. And it was really nice just having that network of other agents who are X amount of steps ahead of me, who will answer their phone when I have a question about growing.
[34:02] Working with short-term investors is a situation where if you build, if you give someone a successful product and you build a good relationship with them, that it’s going to 10X itself really, really quickly
[37:57] Figure out your systems and implement them before you’re so busy that you need them.
[39:57] Fake it ‘til you make it.
Podcast Guest Links:
Avery Carl Website: https://theshorttermshop.com/
Avery Carl Instagram: https://www.instagram.com/theshorttermshop/
Avery Carl Twitter: https://twitter.com/shorttermshop
Avery Carl Facebook: https://www.facebook.com/theshorttermshop/
https://www.facebook.com/AveryCarlTeam/
Recommended Books/People:
The Millionaire Real Estate Agent Book by Dave Jenks, Gary W. Keller, and Jay Papasan
Wisdom from Rich Dad, Poor Dad Book by Robert Kiyosaki and Sharon Lechter
Rich Dad’s Cashflow Quadrant: Guide to Financial Freedom
Book by Robert Kiyosaki
Traction: Get A Grip On Your Business
Book by Gino Wickman
Clockwork: Design Your Business to Run Itself
Book by Mike Michalowicz
The E Myth
Book by Michael E. Gerber