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From Bankruptcy To Short Term Rental Millionaire w/ Alex Sabio
Description
Alex Sabio built five short-term rentals in the Smokies and Gulf Shores after filing bankruptcy in 2008. His first Smokies cabin - a four-bedroom with indoor pool purchased for $680,000 - generated $148,000 in its first year, a 50% cash-on-cash return. Using cost segregation studies to accelerate depreciation, he wrote off over $207,000 from one property to offset his W-2 income as a respiratory therapist, resulting in a $41,000 tax refund two years running. He and his wife Myka have paid zero federal income tax for two years while she retired from her healthcare job after their first three months.
The episode covers Alex's real estate journey from scams and foreclosure through 12 break-even long-term rentals, his pivot to vacation markets during COVID, and his 1031 exchanges that converted scattered single-family homes into high-performing short-terms. He breaks down the mechanics of cost segregation, explains why short-term rentals qualify for W-2 income offsets when average stays are under seven days, discusses self-managing remotely with virtual assistants and Asana workflows, and shares why he targets four-bedroom-plus new construction that can host multiple families at $1,000 per night in summer.
Work with us. Interested in professional management or consulting?
Myka — Sharebnb: www.sharebnb.com
Steve — Argest Rentals: www.ArgestRentals.com
Sign up for PadSplit with Steve's link and get a free 1-on-1 PadSplit strategy call with Stevie Stacks: padsplit.com/hosts
Myka's other podcast, Entrepremarriage — building wealth without losing the marriage: youtube.com/@Entrepremarriage
All our links: linktr.ee/liveletthrive
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