ButchPlz
We do a little trollin'
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- Aug 27, 2014
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Where I live now people that I know that make those kinds of investments are happy with them if they are booked 20 days out of the month. The problem that they're facing now is that everything is going up in cost, making them come in in most cases around the price of a hotel- with none of the perks and service.just who rents all these AirBNBs? There are only so many town visitors
Are the investment firms just sitting on them expecting higher prices? that is scary.
I do get you can make more than a mortgage value with renting as long as they are occupied.
The ones in Southwest Virginia that keep getting eaten up are usually out of town (Richmond, NOVA, etc.) real estate investment firms that rent them all out, jacking up the prices. For example, the townhouse my wife lived in while we were dating was around $600/month for a 2 bedroom from 2014-2017. Rent in that same complex now is over $1,600- the majority have been bought by non-locals who can sit on certain percentages of vacancies because their money is spread out all over the state/region. The issue I really take is that they don't do any of the maintenance on them anymore that the old local owners used to do. EDIT: I forgot to note that asking prices for those to buy was right around $95K-$100K; those same real estate investment firms are usually making $185K cash offers on $150K asking prices for units in the complex.
To me, this is an example of somewhere where some market restrictions make sense. I'm not sure what. But we've essentially allowed these big companies to run rampant over the country, and we've basically got a concentration of investments and corporate ownership that flows up to two big investment firms. Even the companies that look local have loans and financial agreements that eventually- in a matter of less than three degrees- tie up into those firms. It's terrifying.
PS: the companies are heavily invested in politicians like Pelosi, Biden, Romney...the people you'd expect that enable this crap to happen.
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