Financing Airbnb properties

Gene6
Level 1
Atlanta, GA

Financing Airbnb properties

Has anyone found a lender familiar with the Airbnb model (multi-unit) and are financing the purchase of such properties?

52 Replies 52
Melanie58
Level 10
Boise, ID

I can only give generic advice, since I'm many states away from you, but I am in real estate out here and my boss does a lot of flips and holds several traditional rentals.  It seems lenders lend on lots of different things but tend to screen the applicant more than the idea?  That's why you often see one person or company that is able to secure millions in loans from the same insitution, and yet if you approach them with a similar project they may say no.    In our area, local banks typically have better rates, and a bigger appetite for non-conventional loans.  So the best advice I have if you don't have a nice source of cash, is to identify a way to invest on a small scale to start, and then take the capital you earn off that and intest it into something bigger, etc etc - you might have to start smaller than your initial idea and scale up.  

Luis29
Level 2
New York, NY

Hey Gene,

 

Along with some freinds we founded a company called www.payfully.co . While we dont finance property purchases, we do purchase your Airbnb reservation receivables. 

 

For example, if you have a booking for December, we will advance you that money today and you pay us back once Airbnb disemburses the funds to your account. 

 

Check it out: www.payfully.co

 

 

https://clearbanc.com/ 

This company give loans to airbnb host up $40K.  Might help.

Luis

 

I have $10k in reservations in just the next approx 60 days. I tried your website and they said i had to wait until I had received 15 reviews and paidouts?!?

Hey Ronald,

 

Looks like your going to have to wait.  I was hosting for over a year before I reached out to that company.  They are a great company.  

 

Thanks

Hey Ronald.  Airbnb offer early payouts now.  Just enable that feature to get payouts now, instead of when the booking happens.  This can give you some cashflow, if needed for repairs, improvements, etc.

Only in the US though. Clearbanc offers a similar service in Canada I believe. 

Chad72
Level 1
Panama City Beach, FL

Hi Jacob, I haven't seen this option.  Can you tell me how to arrange the early payouts?  Thanks!

how does one do this? I don't see an option

 

thanks,

 

kaela 

Gene, I found your site but did not understand it completely - great idea!  

Can you contact me directly?   Rick@lighthousecollection.rentals

This company:  payfully.co no longer advances to the host crowd.

Jacquie9
Level 1
Thousand Oaks, CA

Hi Jacquie! Have you used RentalHomeFinancing for your Airbnb properties? How are they to work w/? 

 

Thanks!

 

- Zach

Luanne4
Level 1
Alpharetta, GA

Hi, I have an airbnb in Woodstock, GA.  I'm on my second summer.  The house is built around a pool, not a perfect pool, but beautiful, last year everyone loved the pool, this year I have lost 5 tiles and am now getting bad reviews.  So I looked into the company that loans airbnb folks home improvement loans to refurface the pool.  My average income is about $2500 a month, clear banc will only loan to people that average $4000 a month.   So FYI.  Luanne