Real Estate Tips |6 min read

9 Expert Tips for Flipping Airbnb Rental Property in Baltimore & Beyond

If you want to fix and flip a property into an Airbnb property, there are some things you should know. First off, you need to use certain criteria to find the right location for your flip. Furthermore, your Airbnb rental property should have specific key qualities to appeal to buyers. Let’s get into it below.

Person reviewing architectural blueprints and samples of wood flooring while working on a laptop.Main Takeaways: Flipping Airbnb Properties in Baltimore and Elsewhere

  • When planning your fix and flip location, look for popular (but not oversaturated) locations near popular attractions and amenities. Also, you should get a feel for which property type your location’s tourists prefer and how much they’ll pay to rent them.
  • Your Airbnb rental property should be spacious, with a full set of kitchen and laundry appliances. In addition, you may boost the property value with a pool, hot tub, or patio.

Table of Contents

How to Find the Right Location for an Airbnb Rental Property

When choosing the right Airbnb rental property for a fix and flip, our Baltimore hard money lenders recommend you consider these factors:

Location Popularity

Needless to say, you’ll want to choose an area that receives high traffic, especially from visitors. The property location is a landlord’s (and thus your buyer’s) lifeblood. At the same time, you don’t want to fix and flip property that’s oversaturated with vacation rentals already. It’s all a balance.

Bright, unfinished living room with renovation tools, a ladder, and a work table set up near large windows and a fireplace.Oversaturation can dissuade buyers from choosing your property because they may face too much competition in your location. To get a feel for this, you can examine how much lower-ranked Airbnb rental property listings are occupied. If the lower-ranked ones don’t have much traction, it could mean that the area’s Airbnb rental property supply outdoes the demand.

Proximity to Attractions and Amenities

Make sure your rental property for Airbnb is conveniently situated. Your fix and flip should be near popular tourist attractions. Also, it should be close to sought-after amenities like restaurants, shopping centers, and other local businesses.

Your Target Area’s Preferred Property Type

Each location’s visitors have different preferences for this. For instance, people in some neighborhoods might prize single-family homes, while others want condos, etc.

Furthermore, the size of your property matters. After all, one reason most turn to vacation rentals, rather than simple hotels, is the ability to have bigger, broader spaces to spend time in. By the same token, each guest will want their own room for privacy. As such, the rental property for Airbnb you choose for a fix and flip should offer these qualities.

Comparable Properties’ Income

You should see what comparable properties in your eyed location charge for Airbnbs. By doing this, you can get an idea of how much your buyer could charge and earn in their business.

What Your Fix and Flip Should Have

Worker in a hard hat kneeling while repairing a wall in a modern building under construction.In general, your buyer’s renters will likely pick your Airbnb rental property over a hotel because it offers amenities even the average hotel can’t quite replicate. As such, some buyers may expect you to make the property like something out of a home renovation show. Your Airbnb rental property must meet these high expectations. Here’s how:

Make Sure Your Property Has Wide, Open Spaces

As we stated above, what makes an Airbnb rental property stand out is its spaciousness. So, you should lean into that. Your rental property for Airbnb should have room for an ample dining area, a few bedrooms, a living room, and other enclaves. This way, families, groups of friends, and other travelers will all have room to do whatever they want.

Room for Outdoor Activities

Also, for many, a good Airbnb rental property provides access to outdoor activities. To really cash out on this popularity, you can add high-demand outdoor amenities.

For instance, it may entice renters if you instated a pool or hot tub in the backyard. Or, adding a patio gives them a chance to grill food, dine, or entertain guests.

Features like these can make it easier for buyers to attract renters and offer higher rental rates. In turn, it could drive up your property value and appeal.

A Full-Functional Kitchen

A fully equipped kitchen allows guests to cook their own meals when they want, how they want. Think about it: the average hotel has, at most, maybe a microwave. However, with a full kitchen, guests can cook casseroles, baked goods, and virtually anything else under the sun. So, you should equip the kitchen with all necessary appliances, like an oven, stovetop, refrigerator, and other essentials.

Plus, when you offer buyers brand-new appliances from the outset, it takes care of the buyer’s burden of finding and installing all the right ones themselves. This can really bump your property to the top of a buyer’s list.

Washer & Dryer

Speaking of appliances, your buyer’s renters will expect access to a clothes washer and dryer. They won’t want to have to lug their clothes to the laundromat during their vacation.

Because of this, your buyer will likely be looking to make sure you have this basic amenity. After all, most homes have it, so your Airbnb rental property shouldn’t be any different.

Close-up of a person measuring wood with a ruler and pencil, with yellow safety headphones and a tape measure on the table.How To Finance Your Rental Property for Airbnb

Although there are numerous ways of financing a rental property for Airbnb, hard money loans are particularly popular with investors who fix and flip.

Investors often opt for hard money loans because these loans provide hyper-expedited funding. As you may know, many fix-and-flip projects operate on a high-pressure time crunch. They must secure deals, pay for renovations, and get the ball moving so that their flip finishes and brings in money quickly. To navigate these tight timeframes successfully, you may need funding within weeks. And few lenders can approve and send funding as fast as hard money lenders can.

Furthermore, the home flipper’s real estate backs their hard money loan, so they can secure it with assets they already have on hand. This makes borrowing more viable and easier for many investors.

Where to Get Hard Money Loans in Baltimore

If this type of financing appeals to you, we can help. Our local company, Maryland Hard Money Lenders, can offer you these loans. What’s more, we have years of experience navigating the Maryland real estate market and working with fix-and-flip pros. Because of that, we can help you make sure you use every penny of your loan to its biggest potential.

Get Funded Now!

Finally, we offer investors with significant experience, sufficient collateral, and a good credit history with up to 100% funding. So, if you want to get your fix-and-flip off the ground running, contact us today!

 

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