Overcoming Bankruptcy to Build STR Success: Lessons in Resilience and Direct Bookings with Alex Sabio
In this episode of Direct Bookings Simplified, Alex opens up about his journey from facing early challenges in real estate to building a thriving STR business, complete with seven properties, a coaching program, and innovative direct booking strategies. Discover how he uses guest videos, monthly inspections, and smart email marketing to create standout guest experiences and win loyal repeat bookings—all while balancing life as a father of four. This is an episode packed with refreshing short-term rental perspectives, and heartfelt lessons you’d be interested to learn from Summary and Highlights Here are the top takeaways that every host can learn from. 1. Competition in STRs is Fierce—How to Stand Out Alex highlighted how the landscape for short-term rentals has shifted dramatically. Guests today expect more than just a clean space—they want unique experiences and thoughtful design. He emphasized the importance of market research, working with designers, and creating memorable, Instagram-worthy spaces. Key Tip: “It’s not about what looks nice to you—it’s about what stands out in the market.” 2. Building Systems for Quality and Guest Experience Alex shared his approach to operational excellence, including monthly property inspections. Unlike cleaners, who are focused on turnover tasks, inspectors evaluate the overall property condition and ensure readiness for guests. He also creates short instructional videos for common guest issues, like operating appliances or resetting a Wi-Fi router, embedding these into his digital guidebook. Why It Matters: Small steps like this help reduce last-minute guest inquiries and elevate the overall guest experience. 3. The Power of Keeping Guest Relationships Alive One of Alex’s early mistakes was failing to maintain contact with past guests. He’s since corrected this by implementing email marketing campaigns and tagging VIP guests for personalized follow-ups. Practical Advice: 4. Embracing Direct Bookings Alex’s focus on direct bookings includes using platforms like OwnerRez to automate processes, creating his own direct booking site, and leveraging OTAs strategically. He cleverly integrates his branding into listings to encourage savvy guests to book directly. Alex’s Favorite Tip: Add your property’s name to listings (e.g., “Stay at Hillside Bungalow”) to make it easy for guests to find you outside the OTA. 5. Giving Back to Your Team and Community From offering temporary housing to cleaners during natural disasters to paying for tasks just to keep his team employed during slow seasons, Alex shared how he fosters loyalty and supports his staff. Takeaway: “This is a people business. A simple gesture can build long-lasting relationships with your team.” Mindset and Advice Mindset Tip: “You will make mistakes in this business, but persistence pays off. It’s not about avoiding failure but learning from it and growing.” One Action to Take Today: Start collecting emails from your guests—every single one. Build a communication system that keeps you top-of-mind and encourages repeat bookings. Follow Alex here ⬇️ Transcription Gil: Hey folks, welcome back to direct booking simplified. We break down the strategies and tactics to win direct bookings on today’s show. I have Alex W Alex, welcome to the show. Alex: Hey Gil, thanks for having me on. Gil: Yeah, it’s uh, it’s good to have you on. It’s been, it’s been a long while since we caught up. I don’t know how many months it’s been, but it’s been, it’s been a little while. Alex: Yeah, it’s been a while. Uh, just been busy with life, so. Gil: Yeah, what’s, what’s, what’s going on nowadays with you? Alex: Um, yeah, so just running the business. Uh, we have our coaching business that we have. We have our short term rentals. Uh, we own seven, we have a fund where we have our hotel, uh, started co hosting. So, um, we have a few units there. Um, hurricane season came through and kind of threw a wrench in our plans, but that’s business. So yeah. Gil: Yeah. Talk, talk to me a little bit about actually maybe before we do that, do you mind like kind of, kind of giving me, giving folks an introduction to kind of who you are and kind of how you got started in, in, in rentals in the first place? Alex: Yeah. So, uh, I wish my story was a little bit better than everyone else’s. I think everyone has like a Cinderella story, but I think that wasn’t my case at all. Uh, Alex Sabio, married father of four, live here in Southern California, started investing in real estate probably like 20 years ago with longterm rentals and made almost every single mistake in the book. In fact, my first ever investment property, I think was a scam and got scammed out of 16 grand. A guy went to jail. It was like a Ponzi scheme pretty much But luckily I just kept going with investing in real estate and just slowly over time Kind of fell into short term rentals during the pandemic, uh 2020 it’s been over four years now, uh, and really grew to love the short term rental industry because Uh, number one just the cash flow the tax benefits appreciation. I made some good choices there And really enjoyed the whole experience. So, you know, um Hosting guests. So on and so forth. Gil: Yeah. So you’ve seen, you’ve been, you’ve been hosting in kind of like two areas of, of short term rentals now, like in the heart of the pandemic and afterwards now, like what, what do you see as being like the big differences as like what you observed? Alex: Competition. The competition’s definitely a lot more stiff. Uh, back in the day, and I say back in the day, I feel like an old dude, and that was four years ago, where anyone was making money, right? You could buy any home, but now everyone’s putting pickleball courts in, like having those crazy coffee makers in, and spending so much money on design. And that’s probably where we should be, right? Where we’re providing guests an amazing experience other than a hotel. And people going into, like, these mini resorts. Uh, and having this personalized