Short-term Rentals
Let your assets work for you.
Company purpose
- Trans-Pacific Realty focuses on utilizing its wealth of experience and advanced strategies to create higher rates of return in Hawaii's real estate market.
- My team has over 25 years of combined experience in real estate investing and 25 years in business and finance.
- We offer opportunities for a low entry point for investors to enter Hawaii's real estate market.
- We offer low-maintenance, lower-risk opportunities to invest in short-term rental units.
The value of a legal short term rental in Hawaiii
Bill 41 in Hawaii helped legal short-term rental owners add monetary value to their rental properties by creating a legal framework that allowed them to operate short-term rentals with less competition from illegal operations. Here are some ways Bill 41 added monetary value to legal short-term rental owners:
Increased Occupancy Rates: By regulating short-term rentals, Bill 41 created a safer and more reliable environment for visitors to Hawaii. This increase in confidence and security led to higher occupancy rates and increased demand for legal short-term rentals.
Higher Rental Prices: Legal short-term rental owners with proper permits and licenses can charge higher rental prices compared to illegal operators because they are perceived as more secure, safe and responsible. This increase in rental prices translates to higher revenue for legal short-term rental owners.
Reduced Competition from Illegal Operations: Bill 41 eliminated illegal short-term rental operations that undercut legal rentals, protecting the market and allowing legal rental owners to charge higher prices without being undercut by illegal competition.
Reliable Income Streams: With the ability to operate legally, short-term rental owners have a reliable income stream with consistent demand, providing the potential for significant profit in peak rental times.
Increased Property Value: The surge of tourism to Hawaii and the increased demand for short-term rentals has created an opportunity for legal rental owners to raise the property value of their rental units. This can lead to increased return on investment if the property is sold in the future.
Value Added: Overall, Bill 41 created a regulatory framework for short-term rentals that helped legal rental owners improve occupancy rates, increase rental prices, reduce competition from illegal operators, provide a reliable income stream, and potentially raise property value. This adds considerable monetary value to legal short-term rental owners who operate within the approved norm, while also creating a market with regulations and standards that attract high-quality tenants.
What are short-term rental investments?
A short-term rental (or STR) is a furnished living area offered for a few days to weeks. Short-term rentals, often known as holiday rentals, are a cheaper alternative to staying in a hotel. Companies like Airbnb and VRBO have helped mainstream the short-term rental industry, especially in Hawaii.
The industry is now poised for investors to benefit significantly from real estate ownership. Rather than being locked into long-term strategies focused purely on appreciation, property owners may now take advantage of local demand for short-term and vacation rentals.
Demand continues to rise as the short-term rental market expands and supply decreases. As a result, investing in short-term rental property is becoming more appealing. Purchasing a vacation home can generate considerable revenue.
Problem
Individual property owners suffer from opportunity costs. Learning through error, loss of time, and resources working to create a system to identify a suitable unit and then manage these individual units efficiently. Individuals wanting their money to work for them can find this process costly and time-consuming.
Solution
We will put your money to work and help manage your investment with our trusted partners. Whether you take an active or non-active interest, you still benefit from the same system and the returns generated by our team of experienced professionals. Let someone else manage your investments so you can enjoy your vacation instead of managing someone else's.
Real Estate Investments
A timely opportunity to invest in one of the most sought-after sectors within Hawaii's real estate market. Income-producing apartments and townhomes in Honolulu, Hawaii.
Monthly Distributions
Start generating passive income with monthly distributions.
Investment
Invest in hard assets that appreciate over time and generate cash flow. Invest within your comfort levels. $50k minimum.
Inflation Hedge
Real estate has a history of protecting against the corrosion of wealth caused by inflation.
Overview of investment flow
Step 1
Identify and purchase a condo with 70% LTV with a non-recourse loan.
Step 2
File appropriate licenses, launch a new listing on Airbnb. Start accepting bookings. The management team oversees quality control.
Step 3
All monthly expenses and management fees are paid with 30-40% of the income received.
Step 4
Enjoy the benefits of your investment and repeat the cycle.