There has been much back and forth in the industry about reporting for short-term rentals — who should complete the report and what form should be used? Previously, the only way to create a robust report truly reflective of the potential of a short-term rental was to have a certified general appraiser complete a narrative report. The 1007, meant for long-term traditional rental reporting, is insufficient for reporting relevant data and misleading to use as a means for reporting short-term rental comparables.
Opteon’s Short-Term Rental Analysis is a report highlighting the potential income of a subject property. It provides a level of accuracy and detail in the reporting of comparables and market data that cannot be captured by a 1007 today, making it much more accurate and relevant for short-term rentals.
When lending on a short-term rental property and using projected subject property income to offset any portion of the client’s debts, it’s important to understand what the true income potential is, what the seasonality impacts of the market might be on rent and how regulatory policies may be impacting the short-term rental potential in that specific market. It’s also crucial that whatever data can be pulled to display such information is analyzed and deemed credible by an expert in the field: a Certified General Appraiser.
The Short-Term Rental Analysis is easy to read, provides true short-term rental comparables and key market insights, and is analyzed and signed by one of Opteon’s Commercial Staff Appraisers. Utilizing a Certified General Appraiser ensures that the professional making the analysis and providing relevant commentary has the credentials to be able to do so.
The Short-Term Rental Analysis uses a proprietary workflow inside of Opteon’s Appraisal Operations platform and relies on multiple integrations. The first is the integration with AirDNAN to bring in the Rentalizer data on the subject property. The second integration is Opteon’s property data API, which pulls in relevant information about the subject property from the last MLS listing, along with public records data and even satellite imagery for the subject and every comparable. This gives the appraiser a full picture of the properties’ locations and external influences.
The report provided by the Short-Term Rental Analysis tool is easy to read and understand, providing an understanding of the market from a properly credentialed expert. The information therein enables underwriters to make informed decisions quickly. The product is completed from the desk of Opteon’s commercial staff appraisers in just 2-3 business days without requiring an inspection.
Opteon is committed to bringing innovative solutions to the entire lending industry. The company will continue to work with its clients to understand their problems and collaborate on creative ways to solve them.
To learn more about Opteon’s innovative property solutions, visit: opteonusa.com.