How Much $$$ My Luxury Cabin Made in its First Month

How Much $$$ My Luxury Cabin Made in its First Month

🚨 Get more out of your credit cards with Kudos →
Use code “SHIFU” and earn $20.00 after your first eligible purchase!
Click “show more” for ad disclosure

Credit Shifu Wallets:

“The content in this video is accurate as of the posting date. Some of the offers may no longer be available.”

Advertiser Disclosure: This site is part of an affiliate sales network and receives
compensation for sending traffic to partner sites, such as CreditCards.com. This
compensation may impact how and where links appear on this site. This site does not
include all financial companies or all available financial offers.


In 2020 I bought a piece of land in the Catskills Mountains in New York the Dream was to build a luxury mountain Cabin partly to use for me and my family But partly to rent out and make some Money but then the Canadian trucker Protest happened and the price of lumber The primary building material went Through the roof when the price of wood Did eventually come down the FED started Increasing interest rates and I had a Race against time to close on my Construction loan building took place Over 13 months and had its ups and downs But now as of spring 2024 the cabin is Finished and I've been renting it out For 2 months already in this video I'm Going to show you my first and second Months revenue and expenses from Airbnb And we will tell you whether we made a Profit or not but first let's give you a Tour oh wait wait wait and this video is Brought to you by Kudos but more on that Later Hey guys come on In so this is our finished and fully Furnished Catskills mountain cabin here In Upstate New York and we got these Terrific High ceilings I think that's About 19 ft or something they came out Really well better than I expected when You first come into the home uh the First thing you actually see is this Foosball table which is uh this is a lot

Of fun and uh I was able to get this on A sale I think it was a $600 table Reduced down to 400 so that's a little Tip for people if you're doing a rental Or short-term rental any sale like President's Day 4th of July any of those Sales you can get some terrific Bargains This was our Facebook Marketplace and It's actually uh it's it's in pretty Good condition I'll probably get a new One uh in the future but this was I was Running out of money for furniture so I Picked this up for about $400 as well so This is one of my favorite areas uh of The home I Absolutely love how this marble came out Okay is this like a is it marble or Granite I don't know it's like the Reverse of marble you know marble is Normally white with black veins in it This is black with white and I got these Stools these leather stools um for you Know for the breakfast bar uh which work Really well as [Music] Well this range hood over here this is The one thing my wife asked for and this Is like some super range hood from China Okay and it's an absolute Beast you turn It on [Music] And it is like Industrial Level okay Over here we have the uh coffee bar so We got the an espresso machine and we've

Even got the milk threr so if you bring Your own milk you can have a cappuccino Or a latte or something like that um Right over here we got the wood burning Stove this cost about $88,000 to install Oh well both for the stove itself and For the installation it's one of those Ultra high performance EPA ones so it Actually gets the EPA deduction for high Performance uh efficient wood burning Stoves then we got our 55 in TV which Actually kind of looks small now looks More like a 40in because it's just on Such a big wall but yeah that is a 55in TV we got a bare skin down here I think It's supposed to be a buffalo skin this Is actually a fake one okay it's a faux Uh buffalo skin and the reason for that Is just because I did actually have a Real elk skin in here at the beginning But it shed so much hair hair was just Getting everywhere and I was afraid that I was going to get bad reviews because Of it so I went online and I I found the Most realistic fake animal skin uh that I could find and uh yeah it works pretty Well I think it looks more like a bear Than a buffalo uh but yeah whatever I'll Say it's a bear skin all right let me Show you the Bathroom so the bathroom is one of the Rooms that came out really well one of My favorite rooms and I just love how This mirror came out so this mirror it

Lights your face but it also sort of Backlights has the sort of skirt of Light around the wall which I feel is Really really cool and it's actually Heated as well so when you're having a Shower um you can press that heated Thing and uh it won't steam up at all These tiles over here these are from Home Depot I also got these in a sale as Well so you know you can if you wait to Buy building materials you can buy them In a sale let's now look at the master Bedroom so this is our master bedroom we Have a king bed in here um which is Really cool so this is a little bit of a Mess up with the design basically when You're lying in your bed you have this View of these three doors I don't know Whether you can really see that on the Camera but basically it's these three Doors right in front of you and in the Morning you wake up and you see oh There's three doors it's kind of like That Meme where you have the doors and You have to choose one oh I'll just show You the second bedroom as well so this Came out really nice um this is a queen Bed when we were building this room I Was worried that it was going to be too Small but once it was actually built With all the sheetrock it was as small As it looked um I just want to show you A feature as well and we we've got this In the main bedroom um but these bedside

Tables every bed space in the whole Property has a wireless charging pad for Your device it also has USBS so if you Have an older phone that doesn't have Wireless charging you can bring your Cable and these lamps you just touch Them to turn them on and they have three Different brightness settings look at That Isn't that cool 1 2 3 and off this Is a thermostat that I can control from My phone which is very very useful and Uh that's basically the inside of the House let's show you the patio area and The hot tub all right guys so this is The outside area this is our 46t long Patio that runs the whole length of the House and follow me let's check this out Now this is one of my favorite features And a lot of the guests have been using This it is a gas fire pit you can roast Marshmallows here it's really cool to Sit here and you get a a really nice View of the forest you can't really see Any other houses from here or at least Not that clearly it's a lot of evergreen Trees and it's really nice just to sit Here and uh and chill I often sit here With a coffee uh and just chill out you Can come right out of the master bedroom In the morning and take this little path These Stepping Stones over to our hot Tub and there we go so this is the uh Sundance Edison 680 and uh this is a $10,000 hot tub so we get a tax

Deduction for this as well depreciation And uh it's actually a little bit of a Miracle how we got this because when the Woman quoted us the price she quoted 8 8,900 and something she actually got the 8 and the N9 mixed up it should have Been 9,800 you know we basically saved Almost $11,000 because she she honored The price check it Out and this hot tub looks really cool At night all lit up with all the string Lights that we put here all right let's Now show you how much money we actually Made in February and March let's go but First we are all about getting value out Of financial products on this channel Especially credit cards and navigating The world of credit card rewards can at Times be a nightmare wouldn't it be Great if someone could tell you which Card to use for what purchase and when Then let me introduce to you Kudos and You want to listen to this closely Because they're giving the first 100 People who download Kudos using my link 20 $ in rewards for free Kudos is a free Smart wallet that helps you get the most Out of your credit cards whenever you Shop online at checkout Kudos Automatically appears recommends the Best card to get you the most rewards And then on top of that doubles your Earnings on over 15,000 websites that Means if you usually earn say 3% on

The Credit Pros

Online shopping on a card such as the AMX blueash everyday on sites like Walmart and StubHub you'll now get a Total of six % in rewards with Kudos my Favorite Kudos feature is AutoFill with Just one click Kudos will automatically Fill in your card info making checkout Of Breeze and they store your data using The same encryption as NASA what may Also surprise you is that Kudos is Completely free they simply earn a small Commission when you shop at one of their Partner sites and they share some of That commission with you in the form of Extra rewards so what are you waiting For Kudos works with all major desktop Browsers and iPhone and card rates calls Them the number one app to multiply your Credit card rewards just click the link Below and use code shuu to get kudos for Free today and the first 100 people who Download Kudos will receive 2,000 points After your first eligible purchase That's the equivalent of getting $20 in Cash Back so after a year of building with Trial and tribulations along the way we Were finally able to get this luxury Mountain cabin up on Airbnb and see how Much money it can make now first I Talked to a couple of other hosts with Similar properties one lake house and One mounting cabin similar to mine in The case of the lakeh house it was

Actually closer to $20,000 in those Peak Summer months although that's quite a Different property to mine much bigger Way more impressive with Lake access so I'm going to go more with the smaller Mountain cabin in estimating what I Could make during the summer months Because that property is pretty much the Same as mine it's also two bedrooms has A hot tub and no special feature like a Lake or anything like that so I'm going To take $10,000 per month as my target For those Peak summer months but you can Never be sure of what the result is Going to be until you try something for Yourself now unfortunately because the Property wasn't finished we miss missed Summer 2023 which is kind of the peak Season due to the school holidays then There were further delays and we missed Launching in the fall season which is Kind of the secondary peak in New York State because people come up here to see The amazing autumn colors leaves on the Trees all golden and so in the end we Finished the house at the end of December 2023 and we got it all ready Throughout January and we ended up Launching in Mid Winter which was not Ideal So at the end of January I set up my Pricing we were charging about $160 a Night for week nights and $230 for Weekends which is way below the ideal

The Credit Pros

Pricing for my $110,000 a month Target I Took some photos and I listed the Property and I just waited it took about 3 days but eventually I got my first Booking and that lady actually liked the Property so much that she asked for a Deal on a second night and I gave her a Second night for 100 bucks hey it was my First booking and I really wanted that Five-star review and she gave us a great Review so in January for that one stay Towards the end of the month I made $342 128 which is obviously a loss for The month from a business point of view When you consider mortgage utilities Etc But it was a start we've now finished February and almost at the end of March And I have someone checking in today Staying until early April so in fact There can't be any more bookings in March anyway so I basically have two Full months worth of bookings to show You and I will show you a full breakdown Of the revenue and all the expenses and Tell you whether we made a profit or not Now first I want to explain a couple of Things one is that we did not have the Hot tub installed this meant our prices Had to be set a little lower and two I Did all my own cleaning for the first Couple of months I figured it would be Good to get the experience and know Exactly what gets dirty so I can keep Track of what the cleaners are doing in

The future when I actually employ Cleaners since I did the cleaning myself The first couple of months I'll be Factoring in the cleaning fees into the Profit uh for February and March all Right so let's now look at how much Revenue we actually made in February and That was $2,625 but we did have a lot of expenses Relative to the amount of Revenue we Made so I'm now going to go through all Of the expenses and show you whether we Made money or not so we have a mortgage Payment of $1,529 estimated property taxes of $500 Insurance of $288 this covers me for my personal use Any type of rental or leaving the house Empty gives me a million dollar in Liability coverage Plus cost for Rebuilding the home of its burnt down of $360,000 and $70,000 in Lost income then We we have propane which is $154 Electricity $73 internet $144 guesty for hosts which is the Software I use to run the property on Airbnb that's $49 and a ring doorbell at $3.99 we'll call that 4 bucks for a Total of $2,741 in expenses now obviously there's Also cleaning supplies but I bought a Load of cleaning supplies when I started In January and I actually still haven't Used all of them yet even at the end of

March so I just I won't Factor those in For now so you can see on the surface we Made a modest loss of $116 however within that mortgage Payment there is $390 in principle that is being paid off By the loan and that is being paid from The revenue basically being paid by the Guests they are paying off my mortgage So it's not cash flow but it is $390 in February that was basically Banked in the property that is still Profit in my opinion after all I'm still Having to pay taxes on it so if we Deduct our loss of $116 from that amount of equity that was Paid off in the property $ 390 we get a Profit of $274 for February but there's more let's Now look at depreciation and deductions And take this section with a pinch of Salt because it's going to have to be Looked over by an accountant but you'll Get the idea rental properties can be Depreciated over 27 1/2 years which Works out at a depreciation rate of 3.63 6% per year on the build price not Including the price of the land however In your first year even if you put the Property in service in January they use The lower rate of 3.48 5% so if we take 3.48 5% of $360,000 that is $1,546 which is the amount of

Depreciation I can claim on house in my First first year I.E that is the amount Of money that I do not need to pay tax On but there is more because remember we Also bought a $10,000 hot tub and that Can be depreciated over 5 years so 20% In the first year that adds $22,000 to My depreciation tax deduction so that Takes us up to a total of $1 14,545 if we divide that by 12 because There's 12 months that takes us to $1,212 That I do not need to pay taxes on from The depreciation deduction per month and I'm guessing my highest tax rate will be Either 22 or 24% depending on how we do In business this year so at 24% for Example I will pay $290 Less in federal Taxes every month so we have $274 in equity plus $290 Less in taxes paid which is a total Of $564 it's not cash flow but it is Technically profit but you will be Pleased to know that in March we made a Lot more we made $4,085 our costs were very similar Around that 27 what was it 41 let's just say $2,800 Cuz we did buy a few other bits and Pieces as well so 2,800 for easy math so That gives us $1,285 in profit now that was from Seven Stays in March but one stay actually

The Credit Pros

Overlapped into April so the property Had to be cleaned six times in March now The cleaning fee is $90 like I said I've Been doing it myself but let's just Factor that in as an expense because we Will be Outsourcing it soon so 90 * 6 is $540 we'll subtract that from our Revenue and that leaves us with $745 in actual cash flow but then in Addition we have $390 added in equity and a $290 Tax saving for depreciation so if we add Those in that's actually $1,425 in actual passive profit plus if You want to add back in the $540 for all The cleaning I did that brings me to a Total of $1,965 in profit now you guys can decide What you want to count as profit I'm Just giving you all of the different Income streams for fun maybe you don't Want to count the uh Equity being paid Off in the property or the depreciation You only want to look at actual cash Flow totally up to you I'm obviously Also getting a deduction on my mortgage Interest too and the mortgage interest Is about $1,100 a month or so so you Could even add that in too but mortgage Interest is a business expense since I Wouldn't be paying that if I didn't have This house but it's just fun to add up All this stuff and see how much you're Making and guys it's not even anywhere

Near Peak Travel season yet so I think Once we get to the end of April maybe May and certainly June we are going to Be able to jack up the prices to around 400 to to 500 a night and I'm really Excited to see how much we can make at Those levels I'm really hoping to hit That Target of $10,000 per month which Would leave us with $7,000 in cash flow After our expenses and guys if you are Interested to stay here especially now When the prices are a bit lower I'll put The link to the listing uh in the Description below or somewhere in a pin Comment or somewhere down below also you Can follow us on Instagram @ minaska Cabin that's the video for today a very Big thank you to the sponsor Kudos and If you want to double your credit card Rewards do sign up with the link below And actually the first 100 people to Sign up through my link get an extra $20 In bonus cash back after making their First eligible purchase basically free Money do check it out please subscribe To the channel if you're new we'll see You next time bye-bye

The Credit Pros

You May Also Like

About the Author: James

Leave a Reply

Your email address will not be published. Required fields are marked *