3001 N Chuperosa Road Palm Springs, CA 92262
$875,000 | 3 Bedrooms | 2 Bathrooms | 6.1% Cap Rate
I'm Interested in this Property
Listing: Awning - Redfin - Zillow
Airbnb Estimator: Awning
Market Data: Airbnb Market Data
Are you looking for an amazing turnkey investment property in the heart of Palm Springs, California? Look no further than this fully renovated 3-bedroom, 2-bathroom property located in charming Desert Park Estates. With brand new vinyl flooring, tasteful mid-century style decor, and an open-concept kitchen featuring elegant white cabinets, stainless steel appliances, and dark marble countertops, this property exudes the luxurious Palm Springs lifestyle. Each room has a unique design style that combines a light and airy feel with bright accent colors and eye-popping wallpaper. The master bathroom boasts a sleek, luxury-style finish with cool grey backsplashes and in-mirror LED lighting.
But it's not just the interior that's impressive; outside, you'll find plenty of space to entertain guests with a shaded patio, BBQ grill, gas firepit, and a pristine pool and spa surrounded by clean-looking turf. And with solar panels installed, you'll enjoy low monthly energy bills while taking care of the environment.
Located just minutes away from Downtown Palm Springs, Tahquitz Canyon, Palm Springs Aerial Tramway, the airport, museums, parks, casinos, dining, and shopping, this property is sure to attract vacationers and renters all year round. Plus, with a B+ neighborhood grade and B school grade, this area is a desirable place to live, ensuring a steady stream of potential renters.
With an estimated monthly Airbnb revenue of $9,200, a 6.1% cap rate, and a 3.5% cash-on-cash return, this property is an investment opportunity that you won't want to miss. And with a furnishing budget of $28,910 and renovation costs estimated at just $5,000, this property is turnkey and ready for you to start earning returns on your investment right away.
I'm Interested in this Property
The Airbnb Investment Financials
How much does the home cost?
$875,000
How much will it earn on Airbnb?
$9,200 per month
How much will it cost to furnish it?
According to our analysis, the furnishing estimate for the property at 3001 N Chuperosa Road, Palm Springs, CA 92262 is $28,910. This budget includes the cost of designing the space, the cost of the furniture throughout the entire home, outdoor amenities that are shown to increase average daily rates (ADR), and the cost of shipping and assembly of furniture.
How much will it cost to renovate?
The estimated renovation cost for this property is $5,000, according to the provided information. This cost is for additional repairs to improve the appearance of the house and ensure that the property is rent-ready.
How much cash can you take home in the first year?
According to the Awning Analysis provided in the listing, the estimated monthly Airbnb revenue is $9,200, and the estimated monthly operating expenses, including mortgage payments, are $4,575. This means the estimated monthly cash flow is $4,625 ($9,200 - $4,575).
Multiplying the estimated monthly cash flow by 12, we get an estimated annual cash flow of $55,500 ($4,625 x 12). However, this does not take into account any tax benefits or deductions.
Therefore, in the first year, you could potentially take home $55,500 in cash flow from renting out the property on Airbnb.
What is the cap rate for this property?
The estimated cap rate is 6.1%.
All of the cap rates and returns for this property are estimates and are not intended as a guarantee of income or returns. Every investment has risks. It's important to discuss any investment, returns, regulations, laws and projections with a financial advisor, attorney or another fiduciary.
Houston Short-Term Rental Regulations
What are the short-term rental laws and regulations in Palm Springs, California?
As of the current date, Palm Springs, California has certain laws and regulations in place regarding short-term rentals. According to a government website, residents, visitors, and businesses who wish to report a problem with a short-term rental (STR) are encouraged to call the City's Code Compliance Division's Short-Term Rental Hotline any time of the day or night. In Palm Springs, the habitability, health, and safety of short-term rental units are regulated, and each rental property is required to undergo a safety inspection during the initial Vacation Rental Certificate application process and each time you renew.
Furthermore, the City Council of the City of Palm Springs has adopted Resolution No. 25007 modifying certain user fees and charges for Vacation Rentals and Homeshares. Effective July 11, 2022, the new registration fee for vacation rentals is $1,009.00 and the annual renewal fee is also $1,009.00.
Overall, anyone who owns or plans to rent out a short-term rental property in Palm Springs should be aware of these regulations and fees to ensure they are in compliance with the local laws.
Is there a moratorium in short-term rentals in Palm Springs, California?
As of October 2022, there was a temporary ban on new short-term vacation rental permits in Palm Springs, California. The Palm Springs City Council approved a temporary ban on new short-term rental permits, which will be effective until November 30, 2022. The moratorium will allow the city to review and update its short-term rental regulations.
As of October 6, 2022, there were 2,519 active short-term rental permits in Palm Springs and 255 open permit applications, including 79 submitted since September 22, 2022, the day the city first considered the moratorium. It is important to check with local authorities to ensure compliance with any regulations related to short-term vacation rentals in Palm Springs.
Why Airbnb Guests Stay In Palm Springs, California
Where is Palm Springs, California?
Palm Springs is a city located in the Sonoran Desert of Southern California, USA. It is situated in Riverside County, about 110 miles east of Los Angeles and 140 miles northeast of San Diego.
What is there to do in Palm Springs, California?
- Visit Joshua Tree National Park: This park is located just a short drive from Palm Springs and is known for its stunning desert landscapes and unique rock formations.
- Take a ride on the Palm Springs Aerial Tramway: This tramway takes visitors on a 10-minute ride up to the top of Mount San Jacinto, where they can enjoy breathtaking views of the Coachella Valley.
- Explore the Palm Springs Art Museum: This museum features a variety of art collections, including contemporary art, Native American art, and photography.
- Relax in a hot spring: There are several hot springs in the area that offer a relaxing and rejuvenating experience.
- Play golf: Palm Springs is home to over 100 golf courses, making it a popular destination for golf enthusiasts.
- Shop and dine in downtown Palm Springs: The downtown area offers a variety of shops, restaurants, and galleries, making it a great place to spend a day or evening.
- Visit the Living Desert Zoo and Gardens: This zoo features a variety of animals and plants native to the desert, making it a great place to learn about the local ecosystem.
What kinds of people travel to Palm Springs, California?
- Retirees: Palm Springs is known for its large retiree population and has a reputation as a retirement destination.
- Outdoor enthusiasts: Palm Springs is surrounded by natural beauty and offers a variety of outdoor activities, including hiking, golfing, and hot springs.
- Art and culture lovers: Palm Springs has a thriving art scene and is home to a variety of galleries and museums.
- Wellness seekers: Palm Springs is a popular destination for those seeking relaxation and rejuvenation, with many spas and wellness centers in the area.
- Music and festival-goers: Palm Springs hosts a variety of music festivals throughout the year, including the Coachella Valley Music and Arts Festival and Stagecoach Festival.
- LGBTQ+ travelers: Palm Springs has a large LGBTQ+ community and is known for its welcoming and inclusive atmosphere.
When are the busiest and slowest seasons for tourism in Palm Springs, California?
The busiest season for tourism in Palm Springs, California is typically during the winter months, from November to March. This is due to the warm and sunny weather, making it a popular destination for travelers looking to escape the cold weather in other parts of the country. Many events and festivals also take place during this time, such as the Palm Springs International Film Festival and Modernism Week, which attract large crowds of visitors.
The slowest season for tourism in Palm Springs is typically during the summer months, from June to August. This is due to the hot temperatures, which can often exceed 100 degrees Fahrenheit, making outdoor activities less appealing. However, some visitors still choose to travel during this time to take advantage of lower prices and smaller crowds.
How far is Palm Springs, California from the nearest airport?
Palm Springs, California is served by the Palm Springs International Airport, which is located just 2 miles east of downtown Palm Springs. The airport offers flights from a variety of airlines, including American Airlines, Delta Air Lines, United Airlines, and Alaska Airlines. Additionally, the nearby airports of Los Angeles International Airport (LAX) and Ontario International Airport (ONT) are about a 2-hour drive away from Palm Springs, depending on traffic.
Are there any major events in Palm Springs, California?
- Palm Springs International Film Festival: This film festival takes place every January and features a variety of international films and filmmakers.
- Modernism Week: This event celebrates mid-century modern architecture and design and takes place every February.
- Coachella Valley Music and Arts Festival: This music festival takes place over two weekends in April and features a variety of popular music artists.
- Palm Springs International ShortFest: This short film festival takes place every June and showcases short films from around the world.
- Greater Palm Springs Pride: This LGBTQ+ pride festival takes place every November and includes a parade, live music, and other events.
- Tour de Palm Springs: This cycling event takes place every February and includes a variety of route options for riders of all levels.
What Airbnb amenities do guests expect and pay a premium for in Palm Springs, California?
- Outdoor spaces: Palm Springs' sunny weather and scenic landscape make outdoor spaces such as private pools, patios, and gardens popular amenities among Airbnb guests. Guests often seek out properties that offer comfortable outdoor seating, grills, and outdoor dining areas.
- Luxury finishes and furnishings: Airbnb guests in Palm Springs often expect high-end finishes and furnishings, such as high-quality linens, modern appliances, and designer furniture. Many guests are willing to pay a premium for properties that feature these types of luxurious amenities.
- Location: Palm Springs' central location in the Coachella Valley makes it a popular destination for guests looking to attend events such as the Coachella Valley Music and Arts Festival. As such, properties located near these events, as well as near popular attractions and restaurants, are often in high demand.
- Unique features: Many Airbnb guests in Palm Springs seek out properties that offer unique features such as vintage décor, mid-century modern architecture, or themed rooms.
- Pet-friendly options: Many guests traveling to Palm Springs with their furry companions prefer to stay in pet-friendly Airbnb properties.
From Listing to Airbnb
- Place an offer on this property: If you have a local real estate agent forward them this email and let them know you are interested in the property. If you want help finding the best representation, simply reply to this email and request an agent. Awning will get in touch with it’s network of agents. It’s best to be qualified for a mortgage, here is a list of lenders that work with Airbnb investors.
- Close on the property: Closing on this property should be simple. An agent will help you review the contract and confirm that everything in the inspection report makes this a good deal.
- Renovate and furnish the property: This property is easy to renovate and furnish. Then you’ll need some items, which you can find in this Airbnb Host Checklist.
- Gather necessary documents and permission: You’ll want to consult Florida Short Term Rental Laws. In most cases, you won’t require an attorney as the paperwork process is straightforward.
- List the property on Airbnb: To list your property on Airbnb you’ll need a description, title and professional photography.
- Manage the Airbnb: If you choose to self-manage the Airbnb you should not have much trouble finding reliable cleaners in the area.
- Awning Management: If you choose to use Awning Property Management we can take care of gathering documents and list the property for you. You can learn more about Awning Property Management or reach our team by responding to this email.
