An article in the Chicago Tribune a few months ago talked about how some hotels that once only appealed to business travelers are now offering amenities to attract vacationers, especially as business travel continues to declines in the U.S.
With business travel down in the U.S., many corporate housing landlords are wondering the same thing: Should they offer their properties for weekly rent and try to appeal to vacation renters instead of or also?
I think it’s always great to know your options… and to keep your options open. If you’re looking at offering your property for weekly rent, carefully consider these three important pieces of information.
First, be sure to check city and state laws (and your community’s HOA laws) to see if you can rent your private residence for less than 30 days. For example, in New York City, you cannot rent a residential property for only one week.
Second, check your city’s tax laws. Most cities require you to pay lodging taxes for stays under 30 days. This means you may need a tax license as you will need to charge lodging tax and pay it as required.
Third, think long and hard about your risk and reward. You know that so much can go wrong in 48 hours if you are only going to make $400 in rent. Is it really worth the risk and hassle? Remember, corporate travelers who stay one month or longer may treat your property different than a weekend vacationer with less on the line.
Forth, consider your location. Many furnished rental properties are best kept corporate housing, while others may be able to bounce between a weekly vacation rental and a monthly corporate rental. Access how others in the area are marketing their properties and take good notes!