How one investor uses AirDNA to find high-return properties

Erwan Le Roy is a property investor and short-term rental host with properties in multiple markets. He focuses on high-yield returns and teaches his methods to help others find opportune investments.

Erwan got into short-term rentals around ten years ago after speaking with a friend who had already invested while working in Silicon Valley. He took the plunge by buying a property in his native France, in Paris. However, it proved to be a challenging market to operate in due to regulation and zoning restrictions.

 “It was the first one but also my biggest mistake and my biggest lesson because I was too optimistic,”

Erwan reflects. This initial experience taught him the importance of understanding local regulations, which shaped his future investment strategies.

Determined to continue in the short-term rental market but avoid the pitfalls he encountered in Paris, Erwan pivoted his approach. He decided to focus on areas closer to his home in California, targeting listings that promised strong returns. Exploring Napa Valley, he developed what he called his gold standard, a set of criteria that a property must meet to be considered a worthwhile investment. At the top of this list was a 30% yield. 

“I know when I say 30% ROI, it sounds a lot, but these properties do exist. It’s just a case of understanding the market, trends, and what people are looking for in a rental,” 

To establish a baseline of market performance and identify patterns or trends, Erwan uses AirDNA. This tool helps him pinpoint top-performing properties and analyze their success factors. 

“AirDNA gives you the confidence. When I go into new markets, like right now, I'm in six different markets, and I can correlate it and see the delta for each market,” 

This method of careful data analysis enabled Erwan to scale and optimize his business, eventually allowing him to leave his job in technology.

Managing properties remotely posed its challenges, but Erwan emphasizes the importance of outsourcing and building a reliable team to handle operations efficiently. 

“The first one is always a bit scary... it's key to outsource it for peace of mind, but also to scale the business,” he advises.

As he scaled his business, Erwan realized the importance of diversifying investments to mitigate risks. “When you're too comfortable with an asset... I realized, well, I got to diversify it... it's not just from an investment standpoint, but also the risk,” he notes.

In addition to his investment activities, Erwan runs a mastermind group where he educates others on making smart investments and optimizing their short-term rental operations. “I can really help people to not make the mistakes... I give them the listings on MLS... I'm giving them the fish,” he says.

Through his systematic approach, use of data-driven decisions, and emphasis on optimization, Erwan Le Roy continues to find high-return opportunities in the short-term rental market and shares his expertise to help others succeed.

If you would like to share your AirDNA success story, get in touch.

The power of leveraging data in your short-term rental decisions