Family makes $177,000 renting their pool

Of course, it’s not all gravy. They spent $37,000 on pool chemicals and maintenance.

https://www.cnbc.com/2022/07/21/swimply-side-hustle-making-m…

Also noticed that some high-end hotels are now charging a $200 fee to use the pool. And you thought the $5,000/month for pre-school was bad.

https://www.wsj.com/articles/hotel-pool-reservation-fees-lou…

Hotels have long tacked pesky fees to guest bills. Mandatory nightly resort fees that can top $50 with tax. Valet and self-parking charges. Plus fees for early check-in, late checkout, rollaway beds and mini fridges.

Now they’re coming for the lounge chair.

The Bellagio resort in Las Vegas, where room rates run several hundred dollars a night, will save you a poolside seat on the Friday of Labor Day weekend—for $200 a person. That gets you a standard lounge chair, side table, umbrella and towels. Don’t confuse it with a cushier daybed or cabana, which will set you back $575 or $1,200.

Excalibur Hotel & Casino, the Bellagio’s budget cousin, is asking $125 for two chairs at its Spring pool, slightly less than the nightly room price. Perks include shade, a bucket of ice and cold water.

intercst

Spent a week in SF and the Bay Area, stayed in nice/decent hotel in the city, able to walk all over,
it was safe, convenient, and a pleasant place to stay. After all of the tack-on fees, it came to
about $275 per night for a big city hotel.

Some friends came up to see a concert in my small-town tourist city in northern Michigan.
Didn’t have room for everybody, so 2 of them stayed in a very average hotel just outside the
city limits. It was not even remotely close to being as nice as the hotel in SF.
The bill for that was $315 per night, lol. I could not believe that it cost more to
stay in northern Michigan than in downtown San Fransisco.

Of course, it’s not all gravy. They spent $37,000 on pool chemicals and maintenance.

https://www.cnbc.com/2022/07/21/swimply-side-hustle-making-m…

Unmentioned in the article is the matter of liability insurance. It says Swimply provides up to $100K of coverage for damage caused by the guests, but what about injuries to (or death of) a guest? A single claim could easily wipe out all the gains. I’m nearly certain that no home-owner’s policy would cover a claim when the property was used for income production.

Ira

4 Likes

“Some friends came up to see a concert in my small-town tourist city in northern Michigan.
Didn’t have room for everybody, so 2 of them stayed in a very average hotel just outside the
city limits. It was not even remotely close to being as nice as the hotel in SF.
The bill for that was $315 per night, lol. I could not believe that it cost more to
stay in northern Michigan than in downtown San Fransisco.”

We have an annual gathering at the West Bay Shore resort…it’s $110/night in April. In summer, it’s $275/night plus tax and fees. It’s right on Lake Michigan. . Of course, in April, it barely gets above 40F in the day and it’s been known to have a few snow flakes come down.

All the expensive hotels are in that price category if you want to be on the lake. Across the street you can stay at a Days Inn or similar for $60 in winter, $150 in summer.

It’s a summer resort where they make 80% of their money during 3-4 months of summer.

Same for Lake George NY.

In Colorado, winter resorts are high in winter and summer. Not so bad in spring/fall.

t

1 Like

Some friends came up to see a concert in my small-town tourist city in northern Michigan.
.
.
.
The bill for that was $315 per night, lol. I could not believe that it cost more to
stay in northern Michigan than in downtown San Fransisco.

Supply and demand. If they had come when there wasn’t a concert, and not during tourist season, a room at the same hotel would have been a lot less. I live in a tourist area, too. During tourist season here, especially on the weekends, there’s a lot of “No vacancy” signs. The rest of the year, there are very few “No vacancy” signs. Rates reflect that, and are much higher during the tourist season.

AJ

2 Likes

They spent $37,000 on pool chemicals and maintenance.

But how much of that would they be spending anyway, because they own the pool? It sounds like he’s checking chemicals a lot more because of the number of swimmers, and he may also be using some additional chemicals because of the heavy usage. But there was some base level of expense he was spending from 2012 - 2019, before he started renting it out.

AJ

They spent $37,000 on pool chemicals and maintenance.

But how much of that would they be spending anyway, because they own the pool?

That $ was estimate for past decade, so $3700/year. We have a 20x40 salt water pool and spend about that much per year. Theirs was chlorine so don’t know how much different the upkeep. What surprised me, keeps pool heated to 90F. Isn’t the point of a pool to cool off from the summer heat? Not sure how cold their area gets but we heat ours to 80F and only in the shoulder seasons of East TN.

JLC

irasmilo:

{{{https://www.cnbc.com/2022/07/21/swimply-side-hustle-making-m…

}}}

“Unmentioned in the article is the matter of liability insurance. It says Swimply provides up to $100K of coverage for damage caused by the guests, but what about injuries to (or death of) a guest? A single claim could easily wipe out all the gains. I’m nearly certain that no home-owner’s policy would cover a claim when the property was used for income production.”

In addition to ira’s reference to the missing liability insurance cost, the article barely mentions in passing zoning except to say that the OP lives in the country on acreage.

The OP is running a commercial pool in a residential area. Many zoning laws would prohibit that business in a residential area, and depending upon its affect as to traffic, parking, and noise, pissed-off neighbors will likely make a complaint and alert the authorities.

Not to mention that many areas are banning short-term rentals to avoid airbnb turning residential areas into transient commercial areas. Likening the pool rental as analagous to airbnb for housing makes the the counterargument easier.

Regards, JAFO

2 Likes

I wonder if their insurance knows about what they did? Hopefully they reported it on their taxes.

I couldn’t imagine letting strangers use a swimming pool. When I rented out a house in AZ that had a pool the first thing the PM had me do was to remove the diving board (liability issues).

I like to think I don’t mind taking calculated risks but this one has a worst case scenario too high for me.

1 Like

aj485 asks,

They spent $37,000 on pool chemicals and maintenance.

But how much of that would they be spending anyway, because they own the pool? It sounds like he’s checking chemicals a lot more because of the number of swimmers, and he may also be using some additional chemicals because of the heavy usage. But there was some base level of expense he was spending from 2012 - 2019, before he started renting it out.

The article says he ran more than 9,000 people through the pool. More people in the pool, more chemicals required to maintain a safe level of residual chlorine.

Pool chemicals for a typical family pool are $30-$40/month. The guy is in a Portland OR suburb, so I doubt the pool season is longer than 7 months. 7 months x $40/month x 7 years = $1,960.

The guy is definitely buying chemicals in bulk quantities if he’s spending $37,000.

intercst

1 Like

Pool chemicals for a typical family pool are $30-$40/month. The guy is in a Portland OR suburb, so I doubt the pool season is longer than 7 months. 7 months x $40/month x 7 years = $1,960.

The guy is definitely buying chemicals in bulk quantities if he’s spending $37,000.

He spent $37,000 on chemicals and maintenance over 10 years, and the pool cost $110,000. But he made $177,000 in two years. Assuming $3,700/year maintenance, they are netting roughly $85,000/year for 10-12 hours a week of work, neglecting the initial cost of the pool.

I hope he upped his liability coverage and umbrella coverage, and checked for exclusions on his homeowners policy. No way would I do this and risk having someone drown in my pool.

1 Like

“We have an annual gathering at the West Bay Shore resort…it’s $110/night in April. In summer, it’s $275/night plus tax and fees. It’s right on Lake Michigan. . Of course, in April, it barely gets above 40F in the day and it’s been known to have a few snow flakes come down.”

those are not 2022 prices,lol. My friends were not on the lakeshore, probably 2 city blocks away,
and they paid over $300/night. For residents of the area, this has been a tourist summer from hell.
Worst traffic in memory, coupled with road construction that has to take place in the warm season.
No bigee though, retirees can easily pick their times to be on the road. Still an awesome
place to live. Although nobody should move here, winters are horrible, fatality rate has to
be close to 90%, hardly anyone makes it thru winter alive :slight_smile:

“those are not 2022 prices,lol. My friends were not on the lakeshore, probably 2 city blocks away, and they paid over $300/night. For residents of the area, this has been a tourist summer from hell. Worst traffic in memory, coupled with road construction that has to take place in the warm season.”

Actually, it is. We had the annual April get together with 30-40 people at the West Bay Resort right on the lake. THis year they had a Tesla SuperCHarger out in the parking lot - new. Room Rates $99 plus tax. Didn’t have one last year due to COVID. If you are part of a group that guarantees so many ‘room nights’ you get a nice ‘convention rate’ there at the West Bay Resort before prime season. Of course, no one went near the water but the heated pool was open for use.

Got there a day early and stayed at the Days Inn - former Borders - former Super 8 - it’s 5 miles east of the West Bay next to the Bob Evans and just %69/night 'windham rewards member rate). Not on beach. It goes probably triple in mid summer.

p 63 of the May County Hunter News - page 63 if you want to check it out…

https://chnewsonline.com/County%20Hunter%20News%20May%202022…

Just checked…the Days Inn is $201/night now ! That ‘member rate’ . Even higher for others.

t

1 Like

That $ was estimate for past decade, so $3700/year. We have a 20x40 salt water pool and spend about that much per year. Theirs was chlorine so don’t know how much different the upkeep. What surprised me, keeps pool heated to 90F. Isn’t the point of a pool to cool off from the summer heat? Not sure how cold their area gets but we heat ours to 80F and only in the shoulder seasons of East TN.

I spent about $100 for my test kit and less than $100 in chemicals last year. I would find it difficult to spend $3700. I wonder why the maintenance on your pool is so much.

PSU

2 Likes

I spent about $100 for my test kit and less than $100 in chemicals last year. I would find it difficult to spend $3700. I wonder why the maintenance on your pool is so much.

Pulled up a Quicken report from last year, replaced the pool pump, so that was a chunk of change. Outside of that, closer to $2300 per year. And about 1/2 is paying a guy to do the work of cleaning and servicing the pool. I’d rather spend time in the woodworking shop than chasing around leaves/bugs/etc with a net.

JLC

There also can be a lot of evaporation. Usually that water isn’t free.

And if you’re someplace that has 4 seasons, you generally have to do a shut-down procedure for the winter. Or so I understand. That isn’t required in Phoenix, of course. I suspect that is a non-zero cost.

1poorguy (has no pool…one of the few, it seems)

Pulled up a Quicken report from last year, replaced the pool pump, so that was a chunk of change. Outside of that, closer to $2300 per year. And about 1/2 is paying a guy to do the work of cleaning and servicing the pool. I’d rather spend time in the woodworking shop than chasing around leaves/bugs/etc with a net.

I will not hire a pool company to service my pool. Many of them use guess strips (test strips) that are not very accurate. They maintain the water to old outdated 1-2 ppm free chlorine standards. If you see him adding solid acid (pH down) to your pool, you should have big concerns. Read your SWG manual. It’ll like say never use a solid acid. It takes me about 10-15 minutes per week to test my water using Taylor drop based tests. At the same time, it take a few minutes to toss my robot in the pool to clean up all the dirt, bugs and leaves. I took over all maintenance during Covid and won’t turn back now. My pool water has never looked better.

PSU

4 Likes

I will not hire a pool company to service my pool.

The company that services the pool is the same that built it so they have a vested interest on many levels. I’ve watched them several times and they are doing the things they are supposed to be doing. At a former house we had a large decorative fountain that we essentially treated like a pool so I have an idea of what to look out for.

As far as robots, don’t want to look at one and the accompanying tangle of tubes floating in the pool. Read an article in “Garden & Gun” awhile back about a landscape designer out of Nashville, IIRC. His comments about pools, make sure they fit the landscape and are a point of interest because you will be looking at it 98% of the time and swimming in it only 2%. Close to spot on even though I use it every day.

JLC

There also can be a lot of evaporation. Usually that water isn’t free.

There are plenty of online calculators for that. I plugged in the numbers on one and it is not insignificant.

And if you’re someplace that has 4 seasons, you generally have to do a shut-down procedure for the winter. Or so I understand. That isn’t required in Phoenix, of course. I suspect that is a non-zero cost.

We have the 4 seasons but keep our pool open all year. Winter isn’t cold enough to demand it. Not that we are swimming in it past November or before April but our pool is as much a landscape feature as a pool. We don’t care to look at a tarp or 1/2 drained pool all winter.

JLC