Many people are making a lot of money with Airbnb. They are investing in a rental property and then listing it on the online platform. If you’re thinking about doing this, here are some things to consider.

The old way was to rent them out for the long term. Typically these leases last a year or longer. One significant benefit is that you don’t have to pay Airbnb’s fees. Regular renting can serve as a good fallback. If for whatever reason, Airbnb stops working, you can switch to traditional rentals.

Airbnb is for short-term leases. The platform allows investors to rent out their investment properties. Airbnb’s backend handles a lot of the nitty-gritty. Leases usually last for less than six months, although many renters often rent for only a few days. It’s usually less expensive and more flexible than a hotel. After all, many people do not make use of the amenities of a full-service hotel.


If you’re thinking about investing in a rental property to make it an Airbnb, location is crucial. Vacation homes can be great choices. Choose one in the mountains where people go skiing, camping, and hiking or in a beach town.

Alternatively, some big cities are significant tourist donations. If a city has plenty of tourist attractions and is a magnet for travelers, it could be a good choice. It’d be good to choose an area near a bus stop or subway station, as many tourists don’t rent cars on vacation.

Another important thing to consider is the expenses of the location. This includes things like utilities, insurance, property taxes, HOA fees, and such. Some areas are seemingly great for Airbnb but offer mediocre profits after expenses. Condos often have high monthly carry fees.

If you’re feeling somewhat overwhelmed, don’t worry. There are plenty of software tools available online to help you. Use a special Airbnb calculator to run the numbers.

Laws and Regulations

Airbnb has come under fire in recent years. Activists say that it’s taking away housing stock from residents. Meanwhile, those in the hospitality industry say that they’re competing with an undertaxed and under-regulated group. The government has responded with more regulations. It’s recommended that you examine your local laws as policies will differ from city to city.

Property Management

Managing a property takes a lot of work. This can include everything from screening tenants to maintaining it and welcoming guests. You can do it yourself or hire a firm.

Airbnb can be a gold mine, and investing in a rental to turn it into a vacation rental can be a great way to add additional income.