On The Market

Today, we’re sharing the five best vacation rental markets that’ll make you more money than anywhere else in the US. The best news? More than half of the markets on this list have vacation homes either under or around the median home price of the US, so you don’t need to splurge to buy your perfect beach-side short-term rental. What are the markets, and why have you probably never heard of them? Tune in; we’ll give you the top five markets AND where to find the full twenty-five market list!But before we take any credit, this list comes from our friends at Vacasa, and their own Daned Kirkham is on the show to walk us through it. Daned and his team go through tens of thousands of data points, from average nightly revenue to insurance costs, expenses, improvements, average home prices, and more, to come up with a definitive list of vacation rental markets that’ll give you the best bang for your buck.This list even has markets where you can find cap rates OVER ten percent (yes, in 2023), so if you’re starving for some short-term rental cash flow, THESE are the markets you can’t afford to overlook.In This Episode We Cover:2023’s five best short-term rental markets in the United StatesWhy young real estate investors are forgoing primary residences and buying vacation rentals insteadCap rates explained and the methodology behind ranking these top tourist citiesThe tiny beach town that has an explosive population of tourists The ten percent cap rate lake city with affordable vacation home pricesAnd So Much More!Links from the ShowFind an AgentFind a LenderBiggerPockets ForumsBiggerPockets AgentBiggerPockets BootcampsJoin BiggerPockets for FREEOn The MarketJoin the Future of Real Estate Investing with FundriseConnect with Other Investors in the “On The Market” ForumsSubscribe to The “On The Market” YouTube ChannelDave's BiggerPockets ProfileDave's InstagramFacing Strict Short-Term Rules, Airbnb Shifts to a New Type of “Host” w/Airbnb’s Jesse SteinHow to Buy a Vacation Rental PropertyCheck Out the Vacasa Lists:Top 25 Best Places to Buy a Vacation HomeBest places to buy a beach house 20238 best mountain biking townsConnect with Daned:VacasaDaned's LinkedIn Click here to listen to the full episode: https://www.biggerpockets.com/blog/on-the-market-158Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com. Learn more about your ad choices. Visit megaphone.fm/adchoices

The NAR lawsuit just ended in a way almost no one expected. The NAR (National Association of Realtors), America’s largest association of real estate brokers, agents, appraisers, and more, just got dealt a blow that there may be no recovering from. This lawsuit, which focused on agent commission splits, ended in a $1.8B blow to NAR, and this could be just the beginning of a slew of lawsuits like this.To explain all the messy details, we brought Business Insider reporter James Rodriguez back on the show to explain this massive lawsuit, the verdict, and what this means for the entire real estate industry. This major lawsuit alone could bring sweeping changes to how agents buy and sell real estate and how they’re paid. Even more ground-breaking, the future of buyer’s agents now seems murky at best and non-existent at worst, as these commission structures may make buyer’s agents’ jobs almost obsolete.If you’re an agent, investor, buyer, seller, or broker, the effects of this lawsuit CANNOT be ignored because if the dominos continue to fall, we could wake up to an entirely new real estate landscape. In This Episode We Cover:The NAR’s real estate agent commission lawsuit explained The $1.8B verdict and why this could swell up to over $5B in losses for the defendantsWhy NAR and Keller Williams, two massive companies, weren’t able to win this caseThe future for real estate agents and how this could crush their commissions“Enormous” ripple effects that could come as a result of this lawsuitWhy NAR’s CEO decided to jump ship after the verdict was announcedAnd So Much More!Links from the ShowFind an AgentFind a LenderBiggerPockets ForumsBiggerPockets AgentBiggerPockets BootcampsJoin BiggerPockets for FREEOn The MarketJoin the Future of Real Estate Investing with FundriseConnect with Other Investors in the “On The Market” ForumsSubscribe to The “On The Market” YouTube ChannelDave's BiggerPockets ProfileDave's InstagramHear Our Last Episode with James on This LawsuitThe multibillion-dollar lawsuits that could radically reshape how we buy and sell homes foreverConnect with James:James’ Profile – InsiderJames’ TwitterClick here to listen to the full episode: https://www.biggerpockets.com/blog/on-the-market-157Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com. Learn more about your ad choices. Visit megaphone.fm/adchoices

Airbnb is looking for a new type of host: renters. With housing costs rising nationwide, homeowners have almost always been able to rent out their properties to make an extra buck. But, until now, renters haven’t had the same opportunity. And, as mortgage rates rise and rents stay high, many renters are biding their time, hoping to save up enough so that when rates drop, they can snag the home they’ve been dreaming of. Airbnb is trying to make this easier.Jesse Stein, Global Head of Real Estate at Airbnb, is no stranger to the world of hospitality. His background with hotels made him the perfect candidate to join Airbnb. Jesse comes on the show to talk about the short-term rental industry, where it’s heading, whether or not it’s growing, and a new type of “host” that Airbnb is trying to help create. Jesse’s team at Airbnb has partnered with some of the largest apartment communities in the country to offer renters a deal that’s almost too good to pass up: the ability to rent their place while they’re away. Now, high-cash flow house hacking isn’t just reserved for homeowners, and a move like this could help with the wallet-crushing affordability issues we’ve talked about so many times on the show.In This Episode We Cover:Short-term rental market trends and why consumers are still spending so much on travelGrowing regulations and Airbnb’s response to cities cracking down on short-term sublettingThe new “Airbnb?friendly apartments” that allow renters to house hack like never beforeRenting vs. buying a home in 2023 and the savvier of the two choicesThe rise of medium-term stays and why more renters are using Airbnb for longer trips And So Much More!Links from the ShowFind an AgentFind a LenderBiggerPockets ForumsBiggerPockets AgentBiggerPockets BootcampsJoin BiggerPockets for FREEOn The MarketJoin the Future of Real Estate Investing with FundriseConnect with Other Investors in the “On The Market” ForumsSubscribe to The “On The Market” YouTube ChannelDave's BiggerPockets ProfileDave's InstagramJames' BiggerPockets ProfileJames' InstagramHow To Start An Airbnb In 6 Easy StepsHouse Hacking 101: What It Is and How to Get StartedStart Hosting on Airbnb TodayRead the Airbnb Q3 Earnings Call TranscriptClick here to listen to the full episode: https://www.biggerpockets.com/blog/on-the-market-156Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com. Learn more about your ad choices. Visit megaphone.fm/adchoices

Discover the eight best housing markets you've never heard of before. These underrated markets offer cash-flowing real estate, cheap home prices, and strong economies. From college football towns to beach cities and manufacturing centers, these cities have great investment potential. The podcast also highlights the significance of population growth in real estate investment and the advantages of investing in college towns. With affordable properties and growing populations, these markets are worth considering.

Real estate investing mistakes in 2023 cost hundreds of thousands; forgotten tax bills, landscaping debacles, and property manager failures. Expert guests share painful losses for entertainment. Learn what NOT to do in 2024, like waiting to pull permits and scaling too fast. Potential consequences of losing good reviews and bookings for short-term rentals. Importance of learning from past losses and dealing with tax implications. Personal experiences with financial losses and gratitude to the production team and sponsors.

Clayton Collins, HousingWire CEO, discusses the long-term housing market outlook, predicting an ongoing inventory shortage that could last decades. He examines the challenges of inventory shortages and high mortgage rates, explores real estate markets with potential price cuts, and highlights the potential for innovation in the industry.

Mortgage demand has fallen off a cliff, according to ICE’s recent Mortgage Monitor Report. With affordability hitting new lows and mortgage rates still rising, home buyers have simply given up on buying a house any time soon. Mortgage applications are now forty-five percent below pre-pandemic levels, and something BIG will have to change for buyers to jump back into the market—are lower home prices the answer?To explain the Mortgage Monitor Report’s most recent findings, we brought on ICE’s Andy Walden. Andy has the most recent home buyer, mortgage rate, foreclosure, and delinquency data to share. We’ll talk about the buying power that’s been wiped out of the market, why mortgage applications fell off a cliff, rising unaffordability and whether or not it’ll force foreclosures, and the real estate markets with the most potential for home price growth.Andy even gives his 2024 housing market forecast with some eerie warnings about what could happen to home prices as we reach an “inflection point” in the market and enter the traditionally slower winter season.  In This Episode We Cover:Why mortgage originations are falling faster than ever before (and what this means for home prices)Andy’s Q4 housing market forecast and how to tell where prices are headedForeclosures, delinquencies, and why “distressed sellers” aren’t flooding the marketWhy investors have “backed off” the housing market waiting for mortgage rates to dipRegional housing markets that could see the best (and worst) home price performance The rising popularity of assumable mortgages and the massive downside to doing one of these dealsAnd So Much More!Links from the ShowFind an AgentFind a LenderBiggerPockets ForumsBiggerPockets AgentBiggerPockets BootcampsJoin BiggerPockets for FREEOn The MarketJoin the Future of Real Estate Investing with FundriseConnect with Other Investors in the “On The Market” ForumsSubscribe to The “On The Market” YouTube ChannelDave's BiggerPockets ProfileDave's InstagramHear Our Last Episode with AndyRead the October 2023 Mortgage Monitor ReportArchive of Past Mortgage Monitor ReportsConnect with Andy:Work with Andy and His TeamClick here to listen to the full episode: https://www.biggerpockets.com/blog/on-the-market-152Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com. Learn more about your ad choices. Visit megaphone.fm/adchoices

The Fed’s new “neutral interest rate” could mean pricier mortgages, less cash flow, and higher home prices for longer. After the great financial crisis, interest rates were kept in check, slowly sliding down for over a decade. But, since the pandemic, things have gone the opposite way. Mortgage rates have hit multi-decade highs, bond yields have crossed new territory, and we could be far from things returning to “normal.”If you want to know the math behind the mortgage rates and understand what the Fed does (and doesn’t) control in a high-rate world, Redfin’s Chen Zhao can break it down for you. In this episode, Chen goes through the economic indicators tied to mortgage rates, how bond yields affect banks' lending power, why the ten-year treasury is at a historic high, and the Fed’s newest “neutral interest rate.”We’ll also get into the potential effect of next year’s presidential election on mortgage rates and the housing market and what to look for to gauge where we’re headed. If you want to know where interest rates will go, Chen details the roadmap in this episode.In This Episode We Cover:The math behind mortgage rates and what causes them to rise and fallThe Fed’s new “neutral interest rate” and why mortgage rates could stay where they are for a LONG timeBond spreads, how they affect mortgage rates, and why they’ve taken a massive leapReaching economic equilibrium and how the Fed plans to keep unemployment and inflation downThe 2024 presidential election and whether Democrats or Republicans could help/hurt the housing marketAnd So Much More!Links from the ShowFind an AgentFind a LenderBiggerPockets ForumsBiggerPockets AgentBiggerPockets BootcampsJoin BiggerPockets for FREEOn The MarketJoin the Future of Real Estate Investing with FundriseConnect with Other Investors in the “On The Market” ForumsSubscribe to The “On The Market” YouTube ChannelDave's BiggerPockets ProfileDave's InstagramHenry's BiggerPockets ProfileHenry's InstagramThe Federal Reserve is Suddenly Doubling Its Forecast For Growth—But Will They Keep Hiking Rates?Mortgage Rates Reach the Highest Point in 20 Years—How Much Higher Will They Go?Connect with Chen:Economists CornerChen's LinkedInResearchClick here to listen to the full episode: https://www.biggerpockets.com/blog/on-the-market-151Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com. Learn more about your ad choices. Visit megaphone.fm/adchoices

Everyone wants low mortgage rates again, but getting there might be one of the most economically treacherous roads many have ever faced. The sacrifice needed to get interest rates down would be substantial and lead to severe effects throughout the economy and all of our lives. After you hear today’s interview with Senior Economist at Zillow, Orphe Divounguy, you’ll know exactly what we mean.Orphe’s team tracks anything and everything to do with the housing market. From home prices to migration, mortgage rates, new construction, and more, their finger is closer to the housing market pulse than most. But, if you want an episode where we talk about home prices coming back down and rates finally falling, this isn’t it. Orphe brings on the housing market facts and forecasts a future many of us didn't think possible just a few months ago.We’ll go over home price predictions, what could cause rates to finally fall, underrated affordable markets, recession risk, and how to get started investing in real estate during such a tough market.In This Episode We Cover:The one thing that could cause mortgage rates to fall (and the danger behind it)Zillow’s recession forecast and why US economic growth might be impossible to stopHigher home prices and how the supply lag has kept prices near all-time-highs Rent growth and which types of real estate are already seeing a return to normalThe most affordable, underrated real estate investing market that won’t last longWhere Orphe is investing in real estate and his advice for getting startedAnd So Much More!Links from the ShowFind an AgentFind a LenderBiggerPockets ForumsBiggerPockets AgentBiggerPockets BootcampsJoin BiggerPockets for FREEOn The MarketJoin the Future of Real Estate Investing with FundriseConnect with Other Investors in the “On The Market” ForumsSubscribe to The “On The Market” YouTube ChannelDave's BiggerPockets ProfileDave's InstagramKathy's BiggerPockets ProfileKathy's InstagramFannie Mae Expects a Recession as Mortgage Rates Continue to ClimbRate-Locked Homeowners Nearly Twice as Likely to Not Consider SellingConnect with Orphe:Orphe's LinkedInOrphe's ResearchClick here to listen to the full episode: https://www.biggerpockets.com/blog/on-the-market-150Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com. Learn more about your ad choices. Visit megaphone.fm/adchoices

The real estate commission lawsuit that threatened buyer’s agents’ income is coming to an end. The conclusion? There could be even more murkiness ahead, and agent commissions are far from future-proofed. This settlement could either have been a cash grab from the get-go or a way to end the “unfair” buyer-seller agent commission split. So, how will this affect buyers and sellers today, and will these lawsuits make a difference on your next home sale or purchase?We’ve got the hard-hitting housing market headlines you need to hear about on this episode of On the Market. First, we’ll talk about RE/MAX’s settlement and the future for buyer’s agents. Then, we’ll uncover why exactly housing starts have started (no pun intended) to freeze and why apartment investors could be begging you to take land off their hands. And, if you’ve ever wanted your home to pay you money every month, the new “passive home” development has just what you’re looking for. But with a high initial purchase price, are the savings/profits worth the cost?Finally, if you thought you were smart for house hacking, prepare for an ego-blow because Dave Ramsey wants YOU to know that subsidizing your mortgage is a move for LOSERS. Sell that investment property, buy your house in cash, and prepare some beans and rice for dinner! All that and more on this episode!In This Episode We Cover:The RE/MAX agent lawsuit settlement and what this means for real estate agent commissions Too many agents, not enough housing, and why “change” is coming to the industry Home construction numbers and why housing starts dropped to their lowest level in yearsThe “passive home” with such massive energy savings that utility companies will pay you to liveDave Ramsey’s house hacking rant and why his investing advice doesn’t quite hit the markAnd So Much More!Links from the ShowFind an AgentFind a LenderBiggerPockets ForumsBiggerPockets AgentBiggerPockets BootcampsJoin BiggerPockets for FREEOn The MarketJoin the Future of Real Estate Investing with FundriseConnect with Other Investors in the “On The Market” ForumsSubscribe to The “On The Market” YouTube ChannelDave's BiggerPockets ProfileDave's InstagramHenry's BiggerPockets ProfileHenry's InstagramJames' BiggerPockets ProfileJames' InstagramKathy's BiggerPockets ProfileKathy's InstagramNew Agent Lawsuits Could Have Profound Effects for Buying and Selling HomesRE/MAX SettlementHousing StartsPassive HomesDave RamseyClick here to listen to the full episode: https://www.biggerpockets.com/blog/on-the-market-149Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com. Learn more about your ad choices. Visit megaphone.fm/adchoices