Buying and Selling BnBs

[Suzie Q]

Hi!
We have had 2 bnbs. We had a common house with few guests and sold it in favor of this unique house, currently with one guest bedroom, doing a good business in the summer, and probably as good as any one else in the off season. We will probably be selling soon.
Most of the houses we've looked at so far, have been on the market for AT LEAST 6 MONTHS! As one realtor put it yesterday when looking at this Victorian with 4 baths and 5 bedrooms, not all next to each other, "As I told the seller, the market for this house is either a large family or a bnb." Each of the two top contenders is at least 25 miles from "town."
I guess I never really thought about it, buying a large bnb type house limiting your buying market when you're ready to throw in the towel or move. I'd hate to buy a big house, and then not be able to sell it when I got ready to move.
Speaking of which, one Victorian has at least one eye catching bedroom at the front of the house, complete with sitting room next door, but the nearest bathroom is at the BACK of this 3500 sf home! One of the bedrooms on the second level has a washer and dryer in the modern style closet with sliding doors, potential bath as long as it has water and sewage? I could probably have private bathrooms, but not next to the guest room.
One room I particularly liked was an attic with one bed IN the window, bath and possibly kitchen upstairs, and enough room for probably at least 2-3 beds. "Hen Party."
The most expensive of the three is 5 minutes from work/town. One bedroom is a "shoo in." I've got to do creative thinking with one of the other two rooms, size wise. Private bath no problem. Innkeepers downstairs, guests upstairs, lake side. Currently a very nice modern duplex set up.
Thanks for your thoughts,
Carol

 

[Morticia]

A friend modeled her new home on an existing B&B. She has 2 kitchens and 7 ensuite bedrooms. Should she decide to sell it it could go multiple ways...as a B&B, as a single family home, as a duplex. The only thing required for the duplex would be blocking the two doorways that presently go between the 2 halves of the house.
For what you're looking at, the toughest part will be the bathrooms. How do you get them where they need to be.

 

[EmptyNest]

You are moving again???? Locally or where???? Are you going to be able to sell your current place???
I would not consider any place where there was no way to put in for an ensuite bathroom in EVERY ROOM. NO walking down the hall:-(
If you are going to do it you should do it right this time

 

[YellowSocks]

We looked at a Victorian here in town when we were shopping. Aside from needing lots of work, less space, and tough to add bathrooms, it was directly next door to another B&B... Zoning would have been easier, but we didn't want to feel like we were competitors so much as colleagues.
That house is still on the market three years later. Meanwhile, we've met the other innkeepers who said they'd considered buying it and are thankful that they didn't.
That one had been a duplex, and had a concrete parking lot that took up the entire back yard. We also looked at another one, also a duplex, somewhat less Victorian. Dh really liked it, but I could only see three guest rooms, and tough to add the bathrooms. It would have been nice as far as owner's quarters, as we could have taken one of the two apartments. Anyway, that one was bought buy a couple of guys who have completely renovated and lovingly restored it, complete with adding a tower that it used to have... it's gorgeous now!
For me, it was less about gorgeous and more about number of guest rooms (and location). This house was one of the few that could have four guest rooms, as well as being near our target market (university/seminar) and on a main enough street to get zoning approval. Ours is not Victorian in the least, but it's big and warm and we were able to do the four rooms with private baths. (I had to change which rooms would be ours, and our bathroom is two flights down, but it works.)
So... the questions I'd be asking myself in your situation: How many guest rooms do you want? How much can you afford as far as adding bathrooms? Can you have a bathroom for each bedroom? How close are you to your target market? (We're half a mile from the other B&B and in a significantly better location because we're easy walking distance to the university/seminary.) How much space do you need for yourself? What kind of parking does it have? How about zoning? Can you envision cooking and serving breakfast?
One reason I'm glad we didn't get a Victorian.... although both dh and I absolutely love high Victorian style, the reality is we didn't have that kind of budget for furnishings, and that stuff is a bear to dust and clean.
=)
Kk.

 

[Tony]

I agree. A bedroom that's not ensuite is unfinished IMO. Unless you're in a fantastic location, shared bathrooms is like asking for a ridiculously low occupancy rate.

 

[Morticia]

I agree. A bedroom that's not ensuite is unfinished IMO. Unless you're in a fantastic location, shared bathrooms is like asking for a ridiculously low occupancy rate..

I agree. A bedroom that's not ensuite is unfinished IMO. Unless you're in a fantastic location, shared bathrooms is like asking for a ridiculously low occupancy rate.

Fantastic location...Cape May, NJ...shared bathrooms...$300/night, 95% occ, in season. My BIL and his GF just stayed with us and were totally surprised they had their own ensuite bathroom. They've only stayed in Cape May.

 

[gillumhouse]

I'd hate to buy a big house, and then not be able to sell it when I got ready to move.
This is what I see as the problrm for B & Bs. Once you have worked out where to put all those bathrooms you needed for the B & B you may have killed it for being able to sell it. An armoire may do for B & B closet space, but a family will need more space than that for clothes (assuming the former closet is now a bathroom.
Although I work it full-time, I do not see my B & B as a supporting proposition. It falls into the category of part-time job income probably. More rooms, it could support but I do not have them and no way to get them short of buying out the house behind us that was originally part of rhis property.
I can sell it as a small B & B (obviously since I am one now) or it could go as a residence. Yes, I have a shared bath BUT I can make it a private detached any time I want to by just not renting the third guestroom. I am hedging my bets for the future. I hope someone will want to continue as a B & B for the sake of my small city.

 

[greyswan]

We were told that the average length to sell a B&B is 3 years.... so since our game plan is to be here 10 - we will put it on the market at 7 years and be prepared to leave earlier if it sells.

 

[EmptyNest]

I'd hate to buy a big house, and then not be able to sell it when I got ready to move.
This is what I see as the problrm for B & Bs. Once you have worked out where to put all those bathrooms you needed for the B & B you may have killed it for being able to sell it. An armoire may do for B & B closet space, but a family will need more space than that for clothes (assuming the former closet is now a bathroom.
Although I work it full-time, I do not see my B & B as a supporting proposition. It falls into the category of part-time job income probably. More rooms, it could support but I do not have them and no way to get them short of buying out the house behind us that was originally part of rhis property.
I can sell it as a small B & B (obviously since I am one now) or it could go as a residence. Yes, I have a shared bath BUT I can make it a private detached any time I want to by just not renting the third guestroom. I am hedging my bets for the future. I hope someone will want to continue as a B & B for the sake of my small city..

Sorry I disagree, you can NEVER have to many bathrooms! It would not detract from a regular family buying is a their home.

 

[hawley]

I know John doesn't do any of the work on remodeling so you would need to hire everything done. Need to really think things thru and see what is possible.

 

[EmptyNest]

We were told that the average length to sell a B&B is 3 years.... so since our game plan is to be here 10 - we will put it on the market at 7 years and be prepared to leave earlier if it sells..

And that quote was in a GOOD economy.