Bill Faeth’s Build STR Wealth is an online learning platform on short-term rentals. It offers various programs such as long and short courses, a resource library, and a private mastermind. Overall, the courses teach Bill’s STR strategy of geographical diversification, property transformation, and self-management and marketing.
Short-term rentals have been a lucrative business for vacation homeowners, although it’s not without its own challenges. For instance, it’s not uncommon for STRs to have friction with HOAs, or hosts having to deal with problematic guests.
It has also raised social concerns by apparently making housing scarcer and more expensive through “overtourism,” resulting in STR crackdowns through local rent control laws. Not to mention STR’s continuous oversaturation or the “Airbnbust.”
Bill Faeth tries to address all of these challenges through his courses. However, you won’t find reviews for Build STR Wealth or any of its courses on Trustpilot and other popular review sites. So, there's no way to accurately gauge the effectiveness of his course at the moment.
In this review, we will cover Bill Faeth’s STR strategy and what his learning platform has to offer. We will also share reviews from Bill’s students and shed light on the challenges of STR as a business model. In the end, we will reveal an alternative business model for earning passive income online.
Build STR Wealth Pros and Cons
Pros
Offers programs at multiple levels and pricing.
Wealth of resources in the library.
Has a no-questions-asked refund policy on some programs.
The coach is an experienced real estate investor.
Cons
No external reviews.
STR is a highly competitive industry.
Doesn’t a clearly indicated refund policy on some programs.
Price
The 3-Day Training for New Airbnb Hosts costs $379, the Facebook Ads Training costs $285, Airbnb Profit Maximizer costs $997, The Superhost Library costs $67 a month, and CoHosting Masterclass costs $797. Bill Faeth’s STR Mastermind costs $15,000 or $3,250 down and five $2,650 payments.
Refund Policy
Has a no-questions-asked 30-day money-back guarantee for Airbnb Profit Maximizer and The Superhost Library. The rest do not have a clear refund policy.
Origin
Build STR Wealth was launched in July 2020.
Reputation
Build STR Wealth or any of its programs has no external review from popular sites.
Bill Faeth's 3-Key Strategy for Investing in Short-Term Rentals
An STR investor is a real-estate entrepreneur who primarily invests in short-term rentals. STR is known to have a higher gross income potential compared to long-term rentals, though it also comes with higher maintenance and management costs. Bill Faeth’s 3-key STR strategies aim to reduce the risks and increase annual profit in every way possible.
1. Geographical Diversification
Bill Faeth generally favors properties with ocean views, lakes, or mountains. And he wants you to do the same. The primary aim of this strategy is to be unique. Thus, Bill also advises his students to stay away from condos and rental arbitrage where STR properties are mostly “the same” – nothing to post on Instagram about.
The downside here is properties beside the seas, lakes, or mountains are usually more expensive. You can find some cheaper ones but not without some clear disadvantages, like being prone to floods and water damage.
The price of real estate properties is also subject to the law of supply and demand. Unfortunately, everyone is thinking “the same.” Bill Faeth likes unique and picturesque properties because everyone likes them.2. Property Transformation
Capitalizing on the improvement of your newly bought property will produce the highest Average Daily Rate (ADR). And it’s not just about property renovation. A “superhost” should also be willing to invest in any small amenity that will add value to their STR and give the best guest experience possible.
In Bill Faeth’s Bella Vista Beach House Case Study, he didn’t shy away from spending around $9000 for the golf cart, paddle boards, bikes, and other beach equipment to increase his property’s ADR.
It’s just a hit-or-miss investment at times. You don’t really know if your guests like these extra things or not. So, it may not be a good idea to add them to the base rental cost. Instead, make them optional.
3. Self-Management and Marketing
Bill Faeth promotes self-management and marketing instead of relying on Property Management Companies (PMCs). Again, Bill aims for the highest ADR and yearly profit possible. And there are a number of reasons why doing business with PMCs won’t give you the highest return in STRs:
Of course, the obvious downside of self-management is it will take a lot of your time. And it may not be a simple case of exchanging time with money, especially for new STR investors. The learning curve is steep if you’re going to tackle everything.
What Does Build STR Wealth Offer?
3-Day Training for New Airbnb Hosts
The 3-Day Training for New Airbnb Hosts is Bill Faeths’ most basic STR course. It covers all the steps of diving into the STR business, as well as management and marketing, the actual hosting, and getting ready for direct bookings to ultimately bypass listing sites like Airbnb. The 3-Day Training for New Airbnb Hosts costs $379.
What Will Be Covered in the 3-Day Training?
Why are you investing in a short-term rental?
This lesson will help you set your personal goals in entering the STR industry.
Who do you want to serve?
This lesson will help you determine your ideal type of guests which will decide your market, sub-market, and property.
Establishing a complete budget
Defining all the costs of starting a short-term business, so you can accurately budget your capital and predicts your revenue and profit.
Preparing your financials
This covers all you need to know to get your loans funded traditionally or commercially.
Selecting where to invest
This lesson will market and sub-market evaluation, the driving factors of demand for maximum revenue, and the things to avoid.
Importance of vetting real estate agents
A detailed lesson on what to look for in a real estate agent and what to avoid.
Know the regulations before you purchase
This will teach you how to research current STR regulations and its history.
Purchasing the property
This will cover property evaluation, budgeting for upgrades, making an offer, negotiation, and contingency plans.
LCC or buy in your own name?
Learn when to set up an LLC.
Under contract. Now what?
An intro to the next steps after securing a property.
Inspections
Bill stresses the importance of visiting the property and having an intimate relationship with it and its surroundings.
Banking setup
Bill advises setting individual accounts for each property.
Furnishing
All about furnishings, such as where to buy, how much to spend, what goes in each room, how to take delivery if you’re far from the property, and the total costs.
Photos
How to capture nice professional photos of the property even if it means hiring a photographer.
Pricing research
Bill advises investing in an AirDNA subscription for a more fruitful pricing research.
Setting up your listing and when to launch
Preparing and optimizing your Airbnb listing and when should you launch – according to Bill Faeth, it should be ASAP. There’s no need to wait for Airbnb.
Creating a Welcome Guide & Gift
Guest surprises and other necessities such as a welcome guide using TouchStay, a welcome gift that includes local items, snacks, water, etc.
Creating guest messaging templates
All about messaging automation to save time while staying in touch with your guests.
Setting up automation
Other automation necessities such as door locks, guides, channel managers, and security cameras.
Finding and vetting cleaners
Where to find cleaners online, interview questions, their compensation, and setting up primary and secondary cleaners.
Preparing for your 1st guest
One of the most crucial parts – hosting your first guest.
Staging the property inside and out
Bill advises you to personally stage your property inside/out and record how you want it look like in every respect.
Getting immediate 5-star reviews
Earn your first 5-star reviews for a great start.
Listing Optimization
This explains the five listings optimization tactics to stay at the top of search results.
Pricing Optimization
Setting up a revenue management system.
Communication
How to communicate outside of your automated messages.
+1’s
Bill Faeth’s hospitality tips that a lot of hosts miss.
Getting ready for direct bookings
You can’t beat giant listing platforms like Airbnb, but you need to start marketing to eventually stop relying on them. Your goal is to finally accept direct bookings.
Facebook Ads Training
Build STR Wealth’s Facebook Ad Training teaches Bill Faeth’s primary method of direct-response marketing – by the name itself, through Facebook Ads. This 3-session course teaches the How and What of Facebook Ads:
Facebook Ad Training costs $285.
What Is Remarketing?
Remarketing refers to targeting audiences who already interacted with your brand, either through your previous ads or some other means. In Bill’s direct marketing strategy, this may also include remarketing to your previous guests.
Airbnb Profit Maximizer
Airbnb Profit Maximizer is a learning program on how to maximize profits through Airbnb listings and even outside of it. One can consider it as a next-level course from the 3-Day Training for New Airbnb Hosts, although new investors are still welcome. Airbnb Profit Maximizer costs $997.
What Will You Learn in Airbnb Profit Maximizer?
In Airbnb Profit Maximizer, you will learn Bill Faeth’s methods of increasing a property’s annual profit with every means available. This involves Airbnb listing optimization techniques, pricing optimization, free and paid marketing, hosting tips, and building a loyal client base independent of listing platforms. The course comes with 17 videos and access to Bill Faeth’s private community. It also comes with a rental agreement template that you’re free to use.
What Is the Build STR Wealth Facebook Group?
The Build STR Wealth Facebook Group is a free community for short-term rental hosts owned by Bill Faeth. It currently has 31K members. Everyone is free to join as long as they answer the entry questions which includes providing an email address.
What Is the Superhost Library?
The Superhost Library is Build STR Wealth’s knowledge bank for short-term rentals consisting of 45+ action plans. Library membership also comes with a sample rental contract, communication templates, and access to a member-only Facebook for regular live broadcasts and new trainings.
Membership to the Superhost Library costs $67 a month with a 30-day money-back guarantee, no questions asked.
What Is the CoHosting Masterclass?
The CoHosting Masterclass is a learning program under Build STR Wealth that teaches Bill Faeth’s cohosting strategies. The course covers various cohosting topics such as market research and penetration, client acquisition, cohosting software tools, pricing, and more. It also comes with free sales scripts, a cohosting contract template, and Facebook Ad training. Cohosting Masterclass costs $797.
Lesson 1: Intro
Lesson 2: Defining Your Ideal Client
Lesson 3: Where Do You Want To Host
Lesson 4: Defining Your Service Offerings
Lesson 5: Technology Stack
Lesson 6: Charging and Invoicing
Lesson 7: Contracts
Lesson 8: Branding and Marketing
Lesson 9: Client Acquisition
Lesson 10: How To Get Your First Client
Lesson 11: Bringing It All Together
What Is the STR Mastermind?
The STR Mastermind is Bill Faeth’s own mastermind program for short-term rental investors. This program features monthly virtual meetings, 3 annual in-person meetings, accountability groups, access to all mastermind recordings, and access to all of Build STR Wealth’s learning programs. STR Mastermind costs $15,000 or a $3,250 down and five $2,650 payments.
Bill clarifies that this exclusive group is not for cohosts or rental arbitrage investors. Members should also be open and honest about their business financials, especially in the benchmarking sessions, so that everyone can benefit everyone.
What Do Students of Build STR Wealth Say?
Students of Build STR Wealth across all of its programs are generally thankful for having taken the courses and subscriptions. However, these testimonials/reviews are only publicly available through the Build STR Wealth’s website. Popular review sites such as Trustpilot, or even Reddit, don’t have any entries about any of Build STR Wealth’s programs.
Here’s a testimonial for the 3-Day Training for New Airbnb Hosts.
Here’s another testimonial about a student taking advantage of Facebook Ads and managing to win a direct booking through their website.
And another testimonial on the Superhost Library, though not as insightful as the one before.
Who Is Bill Faeth?
Bill Faeth is a former professional golfer, a serial entrepreneur, a short-term rental investor, a co-producer of the STR Wealth Conference, and the owner of the Build STR Wealth learning platform.
He has built 21 multimillion-dollar companies, with 3 over $30 million businesses. As a business coach, Bill Faeth has helped over 20,000 students learn real estate, short-term rental, and marketing strategies. He studied marketing at UCLA.
He was born in Paso Robles, California, and grew up in Bakersfield, where he became a junior golfer. Bill turned professional in his first year in college but ultimately decided to do business instead. He later got his first acquisition, the Bell Aqua Bikini, which was also acquired by Venus Swimwear.
Bill Faeth has over 20 years of experience as a real estate investor with a turning point in 2015 when he switched most of his properties into short-term rentals. Now he manages multiple properties, some earning up to $90K in annual revenue, on top of his other businesses.
Bill Faeth is currently based in Nashville, Tennessee.
What Is Bill Faeth's Net Worth?
Bill Faeth has an estimated $10 million to 15 million of net worth.
How Bill Faeth Built Three $30 Million Businesses
Bill Faeth managed to build three $30 million businesses by offering something “unique” and placing great importance on marketing. These points also reflect Bill’s overall STR strategy.
Throughout his career as an entrepreneur, Bill has always strived to do something that nobody else does -- reflecting his choice of businesses, such as the Glow Golf, and his meticulousness in selecting a property.
He also believes that it is not always the best product that wins, but the best marketing. As previously mentioned, Bill Faeth favors direct marketing over other methods such as SEO, especially in doing STR. It is the same strategy he used in his ground transportation business where he targeted travel managers, business travelers, and travel nurses.
What Are Bill Faeth's Properties?
Bill Faeth’s real estate properties mostly consist of vacation houses on sea sides, lakesides, or mountains. One of these properties is the Bella Vista Beach House, and 8 or more others.
Bill Faeth's Stance on Airbnb Arbitrage
Bill Faeth advises against rental or Airbnb arbitrage because it's risky, and according to him, "it's not for the faint of heart." Being locked in 12-36 months of long-term lease could be problematic if travels were suddenly stopped (just like what happened in the Covid-19 pandemic) or an unforeseen economic downturn happened. And since you don't own the property, you're not investing in an appreciating asset.
Is STR or Airbnb Arbitrage Profitable?
Yes, Airbnb arbitrage is profitable, but is not more profitable than doing STR with an owned property. The money that you're paying for long-term lease significantly reduces your net profit and you're also covering all the expenses for hosting.
What Are the Challenges of Short-Term Real Estate Investment in 2024?
The challenges of short-term real estate investment in 2024 include oversaturation of markets, hosting difficulties, neighborhood frictions, and the restrictions imposed by rent control laws in some localities.
The oversaturation of short-term rentals led to the coinage of the word “Airbnbust.” It is a global phenomenon of rapidly increasing supply of STR properties, significantly outpacing the demand. AirDNA marked an 18.9% year-over-year increase in STR supply in April 2023, compared to the 12.6% growth in demand for the same period.
This oversaturation mostly affects the areas that Bill Faeth likes best – ocean views, lakes, and mountain areas. He recognizes oversaturation but believes that it is an opportunity to weed out the weak.
Responses from the r/upstate_new_york Subreddit outline some of the current challenges in short-term rentals. The following response describes the usual predicament of hosts, especially when dealing with overly entitled guests.
Neighbors aren’t as friendly with short-term rentals, and cities are cracking it down – said another Redditor from the r/upstate_new_york Subreddit.
Rent control laws may also reduce short-rental revenue in a given market – either “directly,” through rent price ceilings, or “indirectly” through an inconvenience. For example, New York City prohibited short-term rentals of less than 30 days if the host is not present. Guests must also have unobstructed access to the entire property. In San Francisco, STRs are only allowed in primary residences where the owners stay a minimum of 275 days a year.
Generate Free Leads or Create Passive Income with Local Lead Generation
In STR's highly competitive environment, Build STR Wealth can be a valuable learning platform for short-term rental investors, especially the ones who are just starting out. Bill Faeth’s courses not only teach students how to get into the STR industry but also how to compete -- and this is especially important today because of the continuous oversaturation of the STR market.
But if real estate still proves too much for you, how about entering the digital side? Digital real estate is an online space that you own, such as a website. There’s no need for us to go through the ways to make money through a website because there’s just a lot. One of the most stable and lucrative ones in our opinion is local lead generation.
This business model has a lower market saturation and provides more options, even for beginners. Spend around $500 on building a website, then use SEO ranking techniques to move it up the search engine results in your selected niche and local keyword (there’s no need to choose highly competitive ones). Your ranked site can generate leads for local businesses which creates value for your digital real estate.
You can then rent out your website for $500-$3000 a month. Based on how search engines work, it can stay at the top of search results for a long time. Your site can be a source of real and predictable passive income for longer periods. And as a business model, local lead generation can scale and grow with you.
