Why Invest in a Property in San Francisco?

San Francisco is home to many iconic landmarks such as the Golden Gate, Pier 39, Alcatraz and Fisherman’s Wharf! On top of that, You will have the opportunity to experience the lively environment, delicious dishes and different leisure activities. But what else is there to know? Here are some of the major reasons why you should consider buying a property for Airbnb in San Francisco:

1. San Francisco’s economic growth

San Francisco is a big corporate city as well as one of the fastest-growing cities in the State. The city is home to many large corporate employers and startups that allow it to enjoy a strong economy with a booming job market, in fact, the city has an unemployment rate of 2.0% which is lower than the nation’s average (6.0%).

2. Iconic tourist destination

The tourism sector of San Francisco is an important contributor to the economy here and the good thing is that it’s steadily growing. Based on San Francisco Travel report, the city welcomed over 14.8M in 2021. This info surely will draw the attention of investors who want to cater to tourist accommodations. 

3. San Francisco and its diversity

Considered one of the 15 most diverse cities in the US, San Francisco welcomes everyone with an open mind warmly. The city has an ethnically diverse population as well as progressive values, making anyone feel at home as soon as they arrive here. Plus, they host the largest and oldest pride parades in June, which attracts many locals and visitors alike. 

Expectations When Buying A Property in San Francisco

Aside from the pros of investing in a property in San Francisco, let’s discuss some of the cons so you can know what to expect when living in this fascinating city. It’s always better to look at the two sides of each coin in order to properly set your expectations!

1. High cost of living & expensive real estate

While San Francisco has many positive aspects, sadly, not everything can be perfect. If we talk about the average cost of living and the real estate market, this city stands out, but not in a good way. The cost of living is 94% higher than the national average, quite shocking, right? Moreover, the median property price will also make you think twice before investing here because the current value is above $1.4M.

2. Traffic is a nightmare

We all may agree if I say that getting stuck in traffic is a headache and you can expect that in San Francisco, things like this can become quite overwhelming. Drivers lose around 97hrs in congestion per year here and currently, it ranks eighth among the top 10 cities in North America with the worst traffic.

Best Neighborhoods for Airbnb in San Francisco

Let’s take a closer look at the important Airbnb key metrics to discover which is the most profitable neighborhood in San Francisco. Filtered for a 1-bedroom apartment, here is a brief overview of some of the most recommended and profitable neighborhoods:

Pros of buying an Airbnb Property in Honolulu

The capital and most populous city in Hawaii, Honolulu, is located on the southeastern shores of the island and is widely known for its tropical weather, dreamy landscapes and cultural diversity. However, there’s more to learn about why we recommend purchasing a property in this city. Here are some of the major reasons why you should consider buying a property for Airbnb in Honolulu:

1. Enjoy the natural scenery of this touristy city

If you want to invest in tourist accommodations, then, allow me to tell you that Honolulu is a great place for you! Being a tourist destination by excellence, Honolulu receives a great number of visitors each month, especially during its peak season which goes from December to February. In tourist season, this city welcomes more than 850K visitors monthly!

2. The property tax rate is low!

Property taxes can give headaches to homeowners from time to time, but don’t worry too much about paying high rates in Honolulu! Overall, the county has one of the lowest taxes rates in the nation, being this 0.35% of assessed value.

3. Low crime rate

While one should always be aware of their surroundings when visiting a city, one will feel safe when exploring Honolulu! Of course, crime happens, but the crime rates here are lower than in many other cities as it’s not that common. With this being said, it’s always a good option to get a security system for your home!

What to Expect When Purchasing a Property in Honolulu?

Now that we know the pros of investing in Honolulu, let’s take a quick look at some of the cons. It’s always better to look at the two sides of each coin in order to properly set your expectations!

1. Finding affordable properties is difficult

Investors with a limited budget will have a difficult time finding affordable houses in Honolulu as they are quite expensive. The average housing price in Honolulu is $805K with a 1-year change value of 5.5% according to Zillow Index.

2. High cost of living

In addition to an expensive real estate market, the cost of living is also another downside in Honolulu. Sadly, the cost of living in this city is 95% higher than the national average.

Why Should You Consider Buying An Airbnb in Breckenridge?

Breckenridge is a popular ski resort town that is widely known for its breathtaking mountain sceneries and endless options for recreational activities to entertain yourself all year round.  Here are some of the major reasons why you should consider buying a property for Airbnb in Breckenridge:

1. America’s favorite ski resort

Breckenridge is best known as a luxurious ski resort with dreamy landscapes where you can enjoy high-quality amenities and get engaged in exciting outdoor activities! As a matter of fact, this town welcomes around 3M visitors annually.  This surely would attract investors who are interested in tourist accommodations!

2. The job market is great

With an economy based around tourism and accommodations, Breckenridge offers various jobs in these sectors. But still, there are areas like healthcare, retail and administrative services that also make an important contribution to this city’s economy. In fact, the town has an unemployment rate of 4.4% which is lower than the national average of 6.0%.

What are the cons of buying an Airbnb property in Breckenridge?

Now that we know the advantages of investing in Breckenridge, let’s move on and take a quick look at the cons. It’s always better to look at the two sides of each coin in order to properly set your expectations!

1. The real estate market will make you think twice

If you’re looking for affordable properties because of a tight budget, then maybe you should think twice about investing in Breckenridge because its average property value is quite higher than most cities in the country. Based on Zillow Index, the median housing value here is more than $1.2M and is trending up 12.1% year-over-year.

2. High cost of living

In addition to its housing market, the cost of living is also another downside in Breckenridge. A luxurious ski resort usually means a higher price when it comes to utilities, groceries, etc. According to AreaVibes, in Breckenridge, the cost of living is 31% higher than the national average and 19% more expensive than in other cities in Colorado.

Best Neighborhoods for Airbnb in Breckenridge

Let’s take a closer look at the important Airbnb key metrics to discover which is the most profitable neighborhood in Breckenridge. Filtered for a 1-bedroom apartment, here is a brief overview of some of the most recommended and profitable neighborhoods: