Welcome to short-term rental riches. Will discuss investing in real estate but with a specific focus on short-term rentals. Quick, Actionable items to Acquire, Manage and Scale your portfolio. I’m your host Tim Hubbard.

Welcome back to the short-term rental riches podcast. We’re talking about technology today, I really enjoyed technology. If you haven’t tuned in before well, we’ve got a whole bunch of episodes for you can head over to Strriches.com, we’re narrowing down on two hundred episodes now, I can’t believe it and quite a few of those, we talked about technology. So, this week we’re going to talk about one other. We’re not talking about smart locks. We’re not talking about cameras. Although if you’re interested in cameras, go back and check out episode 149. This week, we’re talking about smart, thermostats ones that are easy for our guests to use and ones that provide us a lot of control virtually. And I’ve used a lot of thermostats in my time as a professional real estate investor and with my portfolio and I’m still using quite a few but I just discovered a new one. I purchased about a dozen of them, we’ve installed them and working really well.

So, I want to share with you what I look for in a thermostat. Why? I think these ones are really good and just a few things about Heating and Cooling. So, first off Heating and Cooling is arguably. One of our biggest expenses, whether it’s electric, whether it’s propane or gas. It can really, really add up especially if we have cold Winters and especially if we have hot summers and it’s also something that we can’t get around, right? We can’t have a guest check into our property. That’s too hot or that’s too cold. They have to be comfortable if they’re not comfortable, you know what’s going to happen? They’re not going to leave a good review and it’s just not a good situation. So, we have to make sure that the temperature and our properties is really, really good. If we look back at some of the growth across the US and some of the cities that have really grown lately, a lot of those are in the Sunbelt. We’ve talked about these before, but these are places like Arizona and Texas and Florida places that are generally pretty. Pretty warm. Actually, they were too warm for the longest time to where people couldn’t live there. But then go to all the air conditioning came around and boom.

Now people could live and sleep there, comfortably. So that’s one of the big reasons we’ve seen a lot of growth. I think, when the AC became more popular more common around the 60s. That’s also, when we started seeing a lot of growth there, so it’s really, really important that we have a good heating and cooling system in place. I swear it feels like every other week every other day, almost, we’ve been changing air conditioning units at some of my properties across the US It can be a really big expense. Make sure if you’re buying a brand-new HVAC system, that you are depreciating that it’s a capital expense, you want to make sure you’re taking your appropriate tax deduction. So, if you missed our episode, with Tom Wheelwright or Keystone CPA Amanda Han, we’ve had them on before, a lot of good tips there, but it is a big expense and there’s not a way around that. We want to make sure that we’re running our heating and air equipment. Our HVAC systems is efficiently as possible, and to do that, we’re going to use is smart thermostat. So, without further Ado, I want to break down the features that I find most essential for a smart thermostat for vacation rental.

The first one is the ability to operate it virtually or from wherever you happen to be. As many of, you know, I’m thousands of miles away from most of my properties in South America, where I spend most of my time. And so, having the ability to log in virtually is really, really big plus, it allows us to make sure that the temperature is set appropriately for our guests before they show up and of course not all thermostats are like this, right? Any new smart thermostat that you’ve heard of. So, Nest or Ecobee, there’s a whole bunch of them and we’re going to talk about a couple of options and then the one that I use specifically but there’s a lot of smart thermostats out there now just like there’s a lot of Smart Lock. And they’re not all created equally. Some are a lot easier to use than others. So, I think the first thing that we want to look for is the ability to easily use the thermostat virtually to be able to log online and make changes, if we need to. So, another feature that I think is essential and it comes with most thermostats pretty much all thermostats these days. But again, you want the ability to be able to operate this function remotely, and that’s the auto feature. So, let’s say you have a guest checking out and you I’ll have another one checking in for two days. You don’t want to be heating your property, the max or cooling, your property of the max. Why? There’s no one there, but you also don’t want the temperature to drop too low or to go too high to where it takes too long to bring that temperature back to a comfortable temperature before your guests actually arrives. So, you want an auto feature to where you can set the thermostat to automatically turn on. If the temperature drops below, a certain temperature, may be 65 degrees, for example, or it goes above a certain temperature, maybe 78 degrees. Now all air-conditioned heating systems are going to cool and heat a little quicker than others. Depending on the size of the property, depending on how much space are actually Cooling and the actual equipment itself. If it’s a new system, it’s probably going to do a better job than one. That’s maybe, 15 years old. So, we want to keep that in mind. We don’t want that auto temperature to be too high or too low to where we can’t get the temperature back down to a comfortable level before our guests actually checks in.

Now the great thing with these smart thermostats is you can measure that really easily. So, let’s say there is no guest in your property and you want to change the temperature from 80 degrees. It’s in the, in the summer down to 75 degrees. Well, you could just turn the thermostat on, see how long it takes to go down to75 degrees? You know how high you can go and how low you can go and still leave yourself enough time to adjust the temperature. So that it’s perfect. When your guest checks in another feature that I think’s really of essential with thermostat since not available on. A lot of them, that’s ability to set a Max temperature, and a minimum temperature. So, what do I mean by this? Let’s say your guest checks and it’s the middle of the summer and you’re out in the desert in Arizona, and they’ve been traveling in the car and it’s 100 degrees outside, even though it might be, you know, nice and cool and your property, it’s 72 degrees, your guests might show up and turn your thermostat down as far as it can possibly go. And one of the things that’s going to happen is if they turn it down too far, well then, the coils on your actual equipment can freeze. And so, this is a common issue. We have guests check in, they want the temperature to be as cold as possible, so they adjust that, and then it ends up damaging our equipment. So, some thermostats, like the one that we’re using now, has ability to set a minimum temperature, so you can go below 66 degrees, for example, or I should say your guests won’t go below 66 degrees. Now, 66 is plenty cool for everyone, right? So, the ability to set these minimum and Max temperatures is a really nice function. It also allows you to control your expenses a little bit more right, 67 degrees, 70 degrees, that’s very comfortable temperature. No one really needs to be adjusted it below that or above, you know, a certain 75 degrees. Let’s say in the in the winter when it’s cold. So, by using the thermostat that It allows you to set a maximum, and a minimum, you can not only protect your equipment a little bit better, but can also save a few bucks on your utility bills all while your guests is still comfortable in the property, so, we want the ability to be able to operate our thermostat remotely. We want the ability to have an auto feature. We want to be able to set a minimum and Max temperature. The other thing we want is a thermostat that’s just easy to use. So, one that has a simple up arrow and one that has Simple down arrow. I own the nest, thermostats. I own, some of these Ecobee and modern looking thermostats, that I think look really cool.

And for me in my own home, this can work really well, but we have to remember that our guests aren’t familiar with our properties if they’re showing up. And they’re only there for a couple days and we have some sort of modern thermostat, that’s a little more difficult to use. Some people might have challenged with that. So, an easy way to eliminate that is just use a thermostat. It’s really simple. And so, a standard up-down Arrow that’s that’s about as easy as it gets.

The next feature that I really like is the ability to manage a whole bunch of thermostats at the same time using a dashboard. So, this one might not apply to everyone. If you’re just getting started you just have one or two properties. Then it’s probably not that much of a big deal, but if you’re planning on scaling all these little decisions become more and more important, the thermostat that we’re using has a great dashboard. You can log-in, you can create property groups, you can control everything really easily at your fingertips. And it also only costs about a dollar per unit, per thermostat per month or 10 dollars per year. So that’s much more affordable than some of the other ones I’ve seen out there, okay? So, let’s say you’re in the market for anew thermostat. I think these functions are essential, you want the ability to operate it remotely, if you’re planning on adding a lot of units, then you’re going to want some sort of man. Judgment dashboard. You’re going to want the ability to have to set an auto feature. You’re going to want the ability to have a minimum and maximum temperature that you can set for your guests that they can’t override. You’re going to want one that’s easy to use that. Not a lot of people are going to have challenges with a simple up down arrow. I think probably the best way to go so the last thing we’re going to want to look for if we’re in the market for anew thermostat, just to make sure that it’s compatible that it’s easy to install or that someone can easily install it for us. So, some of the older thermostats, they might not have what’s called a common wire. And if you’re in the market for a new thermostat, you just want to make sure that the new one you’re purchasing has at least the adapter to easily install the thermostat. If all is good usually these things shouldn’t take more than 30 minutes or so to swap out. So, if you’re in the market for a new thermostat, I would highly encourage you to make sure that whichever one you go with has all of those functions.

Now, I’ve got a few options for you. I know that they have most of these functions. One is the Ecobee you can get from Costco. I don’t think that they have a very easy dashboard to use at least with a lot of devices. I wouldn’t say it’s the easiest device to use. It’s a little more modern but we’ve had guests have issues with that one. It’s available at Costco. It’s a decent price looks cool and probably going to save you some money on your utility bill because it operates things a little more efficiently but I wouldn’t say It’s the best one on the market. The second one that a lot of you are probably using or definitely heard about is a nest thermostat and that’s ran by Google, right? So, you use a Google account for that one. And again, that has a lot of the great features that we’ve talked about. I wouldn’t say it has all of them. And again, we have some guests, that occasionally have a challenge with that one. It’s one where you have to spin, and they also don’t have an easy-to-use dashboard if you’re operating a Lot of properties.

Okay, so finally, thanks for sticking with me here. The one that we are now using in all my new properties and swapping out the old ones is in Emerson Sensi Wi-Fi smart thermostat, it’s available on Amazon and probably your local home stores as well. It can range from like 80 to 130 dollars. So, it’s also not very expensive, a lot of these Nest, thermostats and stuff for, you know, maybe around $200. So, this one’s actually more affordable. Including the low monthly subscription, a dollar per device or ten dollars per year. You can’t beat that. That’s pretty good. So, if you’re out in the market shopping for new smart thermostat, check out the Emerson Sensi Wi-Fi Smart thermostat is what we’ve been using. We’ve installed over a dozen of them and some of my properties were swapping out the old ones, and they’re really easy for our guests to use. It’s also helping us save a little bit on our utility bills and these are the same I’m thermostats that my virtual team is making sure are always set at the right temperature and we can do that for you as well as virtually manage pretty much all aspects of your properties the same way that we manage mine.

So, if you miss some of our episodes on Virtual management, go back and check those out. And if you’re interested in chatting with us, to see if your properties might make a good fit, I’d love to chat with it. You can head to Strriches.com. There’s a property management button there. Just a couple quick questions. And then we can set up the zoom call to chat more and until next time I hope you have a wonderful week.

Want to get on the fast track to Financial Freedom through short-term rentals what all starts with the properties you acquire. But you want to make sure that you acquired the right properties. I want to give you my e-book that will show you how to do just that. There is no charge, It’s my gift to you for being one of our subscribers. Just go to restmethods.com. That’s REST methods.com

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• Episode 174: Find out why Virtual management is the future of property management