Updated: May 24, 2022
Expanding your income stream and monetizing your assets is a big part of the 'sharing economy'. Where once owning a hotel, motel, or BnB required massive capital startup costs; now, it's open to everyone. Your home or property can become a sought-after destination at the click of a button – meaning you can jet off around the world and earn money at the same time.
The explosion of Airbnb listings is extraordinary – 6M active worldwide listings and climbing. There are Airbnb listings in almost every city in the world – even Indianapolis real estate owners, for instance, are cashing in with Indianapolis Airbnb.
Such savvy property owners are generating sizable passive incomes – while exploring new options, like living or traveling abroad. Below, we're exploring the key benefits of becoming an Airbnb host – if you're skeptical, read on.
5 Pros of turning your real estate into an Airbnb rental
1. Passive Income Generation
The #1 reason homeowners turn to Airbnb is the income. Compared to traditional tenant rentals, the nightly rate of Airbnb is far more lucrative. Best of all, it's passive – even if your property remains empty some of the time, you're likely to make more than just letting it out. And with an Airbnb property manager, you can hire a professional to optimize your listing online. No stress, no hassle, just a check at the end of every month.
2. Decide Who Stays
Renting sounds like a dream… until you do it. Vetting tenants is a tricky business – aside from references, it's impossible to appraise past behavior. (Some tenants even create fake references.) Not so with Airbnb. Whether you're vetting guests yourself or hiring an Airbnb property manager, you can weed out the havoc-creating short-term guests and the perpetual bad review givers. Even if you do get a few undesirable guests – they'll soon be a distant memory compared to a long-term nightmare tenant.
3. You're Protected
Opening your real estate to guests is a daunting prospect. "What if they damage my property," you ask. Airbnb has got you covered. Airbnb Host Insurance covers all Airbnb members from liabilities related to injuries to guests or damage to guest property – including Indianapolis Airbnb properties. In fact, Airbnb guarantees to pay up-to $1,000,000 in damages to a host's property and belongings.
4. Enjoy Life Flexibility
Fancy a weekend away? Always wanted to study abroad? You can rent out your Indianapolis real estate with just a few clicks. Indeed, if you hire an Indianapolis Airbnb management service, you'll live your life without ever thinking about your property. You can 100% adjust your rental to your lifestyle – and, if you want to head home, block off the property for however long you want. It's that simple.
5. Huge Tax Benefits
No one ever talks about the huge tax benefits and deductions of a short-term rental. First off: all your short-term rental earnings are tax-free! In addition, you may be able to write-off: mortgage interest, insurance, repairs and maintenance, travel expenditures, property taxes, and more. It's a no-brainer!