From September 2018-March 2019, I was an Airbnb Host. I rented out a room in my home that I lived in.
Did I like it? YES and NO
I didn’t like it because I was booked 3 out of 4 weeks every month and it was exhausting. It was exhausting because I failed to create a system that would allow me to take breaks in between guests. Doing laundry almost daily was no fun for me and having guests book who weren’t tech savvy was a struggle for real. I get it! Everyone isn’t up to date on smart locks, thermostats and Google Assistants.
On the positive side, I enjoyed it because I met people from all walks of life including a Doctor, a PGA Golf Director, an Insurance Adjusters and other nice people.
Would I do it again? YES!
If the opportunity should arrive again, I would do things differently. Here is what I would do.
I would want to have a small apartment or tiny home for the guests away from my personal domain.
I would create a dedicated schedule that worked for me.
I would hire a Co-host to assist with check-ins and cleaning.
Being an Airbnb host was just one of the many things, I plan to try on my real estate journey. Some things I’m sure I will be great at and others not so great and that’s okay with me.
With any tax lien auction, I’m always planning ahead of time. I try to give myself a few weeks so that I can research properties and perform my due diligence.
I refuse to repeat the same mistake I did last year so I stay on top of deadlines and check the website daily just to make sure there are no new updates. Most platforms will email you if there are changes or updates so no worries if you don’t have time to check the website daily before the auction starts.
There is a tropical storm headed towards the gulf coast area soon. I received an email from the company that is in charge of the auction stating to take advantage of the pre bidding feature because the auction is happening whether they are affected by the storm or not.
I was already planning to pre bid anyway, but it’s nice to have that reminder. With that being said, I’ve already completed my research and I’m ready to start placing my bids tomorrow.
Here are the things that I do before bidding in any tax lien auction.
Register with the county and mail in any documentation that is needed (Recommend mailing with a tracking number or signature)
Review my checklist of what type properties I’m going to be bidding on
Update that checklist if I need to
Attend the training held by the county auction company (They may have made a change to their app since the last time I used it)
Download the list of properties to Excel and sort out by my criteria
Research properties that I’m interested to make sure they match my criteria
I don’t always attend the auction while it’s live on the computer. I have, but I find that it’s boring unless you see your bid winning. I do recommend if you are bidding for the first time to watch at least the first day live.
Back in 2019, I decided to invest in a rental property in Detroit, MI with an investment club. I found the leader of the group via YouTube. I had been watching her videos for a year and I liked the information she was putting out regarding business and making your money work for you.
I know there are questions people want answers to like:
1. How do you know if you can trust that person?
2. How often will you receive your portion of the profits?
3. How long will you own the property?
Truth, I didn’t know if I could truly trust that person, but we have a contract signed with all owners that lays out everyone’s percentage and how often monies will be disbursed. There is also a clause about what happens to the property after so many years. When you think about, even if I had a personal relationship with this group of investors, I would still want a contract.
Fast Forward to Present Day!
I’d like to say that it’s been a learning experience for sure. Some things have gone well and some things have gone not so well. Let me just say, I’m so glad I didn’t pay a whole lot of money.
First, we didn’t really get payouts every quarter because the tenant stopped paying rent. Yes, before the pandemic happened the tenant stopped paying rent. It’s a sad situation because the group is being told that the tenant is not affected by Covid-19. She’s still working and not paying rent.
The owner of the investment club posted a video on YouTube about the experience. I’m linking it below