That is exactly what Avi said to me at the first meeting.
Not “hello,” not “nice to meet you.” Straight to the point: “Renting out apartments on Airbnb is like playing Russian roulette with your money.”
Avi is not just any guy. He was formerly the CFO of a public company. He analyzes every decision twice. A person who, when he buys chocolate milk at the supermarket, checks the expiry date.
And here he sits across from me with a printed A4 page (yes, he printed it), a list of fears like a board presentation memo:
Low winter occupancy, “What, wait 6 months without income?” Damage, “It's not a home, it's a bachelor party you weren't invited to” Remote management, “You're in Tel Aviv, the apartment is in Budapest, what are you, a prophet?” Regulation, “In a year they'll ban it. You're stuck with an empty apartment”
Lack of control, “As if they'd really tell you that someone threw up on the sofa”
I listened to him patiently. Then I said something that stopped him mid-breath:
“Avi, you are absolutely right. If you do it that way, you'll lose everything.”
He looked at me the way you look at someone who is about to say “but...”
“But there is an entirely different way. A way in which all the weaknesses you listed turn into strengths.”
How I went from a coward like him to an investor who sleeps well at night
Three years ago, I too thought exactly like Avi.
I heard all the stories: someone bought an apartment in Berlin and now it stands empty because short-term rentals were banned, someone invested in Bucharest and a guest wrecked the apartment in a jungle party, someone paid a management company that stole from his profits
So what did I do? Instead of running away, I went to research on the ground.
15 cities in Europe. 57 apartments I visited personally. Meetings with hotel managers, local lawyers, accountants, and of course, investors who had already done it right.
And I discovered something surprising:
98% of the people who failed at short-term rentals - made the same 3 mistakes.
The 3 deadly mistakes (that everyone makes)
Mistake #1: Buying a cheap apartment in a “good neighborhood”
The reality: Tourists aren't looking for a “good neighborhood.” They want a 10-minute walk to the city center.
If the apartment is 3 km from the attractions - it will be empty 60% of the time. A small apartment in the center is better than a huge one on the outskirts.
Mistake #2: Furnishing it like an ordinary rental apartment
The reality: Airbnb guests aren't renting an apartment. They are buying an experience.
IKEA design + a smell of damp = bad reviews = zero bookings. You have to design like a boutique hotel, not like a rental apartment.
Mistake #3: Relying on a random management company
The reality: Most management companies don't really work for you. They work for themselves.
Got a report that the apartment is 70% occupied? Check again. Sometimes they rent your apartment out long-term, and keep the difference in their pocket.
So what works? (The model we built)
When I presented this to Avi, he suddenly started taking notes himself.
Our formula:
1. Only prime neighborhoods
Don't buy in the suburbs. Don't buy in “developing neighborhoods.” Areas where 80% of tourists sleep, or nothing.
2. Boutique-hotel-level renovation
Every apartment goes through a transformation: - Modern design with local touches - Quality mattresses (guests rate this first) - Fully equipped kitchen (because no one likes eating out every meal)
- Fast WiFi (obviously) - Full automation: digital check-in, smart locks
3. Close management + absolute transparency
The investor sees everything in real time: - Occupancy, income, reviews, costs - Photos of the cleaning after every guest - Direct communication with the management team
Zero surprises. Zero headaches.
“Okay, but does it really work?”
Avi asked exactly that.
I showed him Yael.
Yael bought a small apartment in Bucharest for €180,000 one bedroom, 45 sq m, city center.
Renovation: €25,000 Furnishing and design: €8,000 Total investment: €213,000
The results after a year:
- Annual net yield 12.3%
- Average occupancy 89% (including winter)
- Average rating 9.7/10
- Phone calls Yael had to answer zero
What happened next?
Two weeks after the meeting, Avi called.
“Let's start. I want Budapest.”
Today he has an apartment in the city center. A 9.8 rating on Booking, 91% occupancy in the last quarter.
And the funniest thing? Avi now explains to his friends why investing in Airbnb is the safest thing he has ever done.
The conclusion (that you didn't expect)
The real risk is not investing in Airbnb
The real risk is investing wrongly, and then telling everyone that “it doesn't work.”
When I hear someone say “risky investment,” I know he doesn't understand something.
Because every good investment looks risky, until someone shows you how to do it right.
Stories are based on real situations, with identifying details changed. Not legal advice.
Translated from the Hebrew original. עברית