Loan advice for building short term rental properties ?
I’m looking to start a short term rental business (ex. on AirBNB/ VRBO). Where I would buy a plot of land and build multiple tiny homes or cabins on the same property. This ambition is very new and I was wondering where to start? I was looking into different small business loans ( sba 504 vs. 7a) and just feel very lost. Does anyone have any advice on where to start ?
[{"id": "huve0oz", "text": "So you essentially want to run a motel made up of individual buildings?", "replies": [], "depth": 1}, {"id": "huveops", "text": "You need to find a location where the building code/governing body will allow it as that is the main issue for tiny homes. Usually this shows up as a \u201csummer village\u201d type property in a county that has loose rules.", "replies": [], "depth": 1}, {"id": "huvfp6y", "text": "Always start with zoning. Get copies of zoning regulations, this will show what is allowed in what areas. Go in and chat with your local (or wherever you are contemplating doing this) zoning board representative.  \n\n\nIf this type of development is allowed, THEN put together a business plan (with numbers) and start pitching it out to investors and lenders.", "replies": [], "depth": 1}, {"id": "huxnw8g", "text": "Yes:  Go to work for someone that has already done this.  Stay there for 3 years.\n\nThen come back and ask whatever questions aren't then obvious.", "replies": [], "depth": 1}, {"id": "huxtkqf", "text": "How many properties do you own and operate currently ?", "replies": [], "depth": 1}, {"id": "hx3n3jr", "text": "How soon do you want to make money? This sounds like it will take years. Why not buy something existing and start there.     \nYou're looking to start 2 high level businesses with no knowledge. New construction and STR. Not impossible, but very steep learning curve.", "replies": [], "depth": 1}]