by ~ Diane Vespucci, Re/Max 100 Realty
Are you thinking of doing short term rentals?
Saint Augustine is famous for selling dreams. Many of us come here on vacation and move here sometime later. I did, and its been home for decades, but for years before I made the leap, I dreamed about moving here, into a sweet cottage by the sea.
That particular dream faded for me, but there are a lot of dreamers coming to town all the time looking for some place for a few days or weeks, a place to call home.
Fortunately a lot of people ín our city have answered the call, turning a room, or even their homes into rentals. I have one customer who made over $50K last year sharing her home.
If short term rentals are something you’re interested in, it’s important to consider several things before taking the leap into the short term rental market.
The first thing is the law. Every county, every city is different. Make sure you know where the borders are and what the rules are. They do seem to be far more lenient these days, but things do change.
If you already own a home you’ll need to know, and if you want to buy a place for this purpose, don’t buy an issue when it can be avoided.
If you don’t own a property you want to rent, perhaps you’re looking to buy one. Before you do, decide whether or not you want to live in it or just use it for rental. It will make a difference in what you choose.
Naturally, before starting any new business venture – and that is certainly what this is, please speak to your accountant about possible tax advantages or obligations that go along with your purchase.
They can help you or hurt you depending on your personal situation.
Before you buy, if you are buying, remember – location, location, location!
Realtors say it often enough, but when you’re considering a venture into vacation rental property, it’s even more important.
Many people don’t mind not having an oceanfront view if they can save a few bucks and walk to the beach, but if they’re coming for sun and sand, they probably won’t want to drive for 10 minutes to get there.
Like my friend, you can make a lot, or at least some income from doing vacation rentals but find out what the costs are, what the additional costs may be, like insurance, know the area, know how it will influence your tax situation before you do it and make sure you know the laws.
If you have more questions about vacation rentals, call me, or call your Realtor. Working with a professional who knows the community is your best bet.