Data concerning Seattle’s real estate investments shows that they have been growing in the past few years and are expected to continue to do so post-pandemic. It’s never been a better time to jump on the bandwagon and start investing in real estate.
Yet, how do you ensure that you make suitable investments? Is there a specific type of property you’ll benefit from the most as an investor? We propose that you consider investing in Airbnb syndications.
A real estate syndication consists of a group of multiple investors who all participate in the ownership of a single property. While they all earn from renting it out, none of them need to be in charge of organizing the investment, overseeing the property, or communicating with the tenants.
These responsibilities fall on the real estate syndicator—the mediator between all the parties involved. Syndications are a safe and pain-free way of investing and earning as it requires very little effort.
While you could benefit from long-term renters, the wisest decision is to opt for Airbnb properties. There are many benefits, including the ability to charge more for the same amount of time and not getting stuck with tenants who pay rent late.
The usual downside is that a more hands-on approach is required, with the owner regularly visiting the property and constantly meeting with new renters. However, this can be avoided if you opt to investing with a syndication company who invests in Airbnb’s.
Here are some of the benefits of Investing in Airbnb Syndications.
Higher Nightly RatesWith Airbnb, you can charge more per night than you usually would with long-term tenants. This allows you to earn more money in the long run. If your investment property is in a popular location that tourists typically visit, plenty of renters will be waiting to spend the night (or weekend) there. Even as a passive investor you can expect to make a double digit cash on cash return in many Airbnb syndications.
With long-term renters, you’ll never know if they’ll pay their rent regularly, even if you do your due diligence and perform background checks. Sometimes you may end up stuck with a tenant who’s always late in paying. With Airbnb renting, guests are required to pay upfront, so you won’t have to worry about this.
No Need to Personally Oversee or Manage the Property
Finally, the biggest upside is the fact that as a member of a real estate syndicate, you won’t have to personally oversee the property, check for property damage, or even spend time communicating with renters. You’ll be able to carry on with your life while earning money from your investment.
If you’re looking to join a lucrative real estate syndication in Seattle, the Plus One Syndications team is here to welcome you! Check out our website to learn more about our unique and effective approach to real estate syndication. Our goal is to provide our clients with secure income property investments while reducing risks and maximizing returns. Contact us today at 206-278-4500 to get started.