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Renting out a room on AirBNB?
#1

Renting out a room on AirBNB?

Hi there,

Has anyone any thoughts on this?

I have two free bedrooms in a popular area of Chicago. With summer on, they would fill pretty often I think.

Thanks.
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#2

Renting out a room on AirBNB?

Check your local laws. Many cities are banning it.

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#3

Renting out a room on AirBNB?

Here's how you have to go about doing it in Chicago

https://www.airbnb.com/help/article/1495...-questions
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#4

Renting out a room on AirBNB?

Make sure you take steps to limit your own liability if it becomes a place where a party is hosted. That's a huge issue in the US. Also, look into eviction/squatting laws, serious stuff in many states if they won't leave.
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#5

Renting out a room on AirBNB?

I do it in Vegas. I've heard they're cracking down so I've cut off all bookings after June.

It's been great though, only 1 bad experience out of many. Brings in an extra $600-800 per month.

The local laws here basically make it impossible for me to do it legally, but I also don't see how they can actually cite me if they never see me. It's not like they can get a search warrant. There's no photo identifying my house on my profile.

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#6

Renting out a room on AirBNB?

Quote: (05-07-2018 10:20 PM)Veloce Wrote:  

I do it in Vegas. I've heard they're cracking down so I've cut off all bookings after June.

It's been great though, only 1 bad experience out of many. Brings in an extra $600-800 per month.

The local laws here basically make it impossible for me to do it legally, but I also don't see how they can actually cite me if they never see me. It's not like they can get a search warrant. There's no photo identifying my house on my profile.

IRS will receive a copy of the income tax document they send, for example
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#7

Renting out a room on AirBNB?

Can't a tourism/tax inspector simply book your listing and after checking in ask for your license and fine you? I've seen this happen with all sorts of new self-employent industries, from accommodation to Uber to intellectual services.

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#8

Renting out a room on AirBNB?

I've seen ex-cop Private investigators used to catch people who lease properties for less than X months without a permit. Biggest give away they use to get you is out of state licence plates on the cars.
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#9

Renting out a room on AirBNB?

Quote: (05-08-2018 11:24 AM)churros Wrote:  

Quote: (05-07-2018 10:20 PM)Veloce Wrote:  

I do it in Vegas. I've heard they're cracking down so I've cut off all bookings after June.

It's been great though, only 1 bad experience out of many. Brings in an extra $600-800 per month.

The local laws here basically make it impossible for me to do it legally, but I also don't see how they can actually cite me if they never see me. It's not like they can get a search warrant. There's no photo identifying my house on my profile.

IRS will receive a copy of the income tax document they send, for example

Even drug dealers and pimps have to pay taxes, it's not as if the IRS is going to be calling his association or the city letting them know he's doing AirBNB
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#10

Renting out a room on AirBNB?

Quote: (05-09-2018 08:29 AM)Handsome Creepy Eel Wrote:  

Can't a tourism/tax inspector simply book your listing and after checking in ask for your license and fine you? I've seen this happen with all sorts of new self-employent industries, from accommodation to Uber to intellectual services.

If the city doesn't have a procedure for getting licensed they will usually not be proactive about finding vacation rentals. This doesn't meant they won't fine you/shut you down, but it's usually after someone (a neighbor) calls and complains about you doing illegal vacation rentals.

If they do have a procedure (such as in this case) it's likely they have staff specifically hired to deal with compliance and root out non-compliant listings.

Beyond that the OP didn't mention whether he is renting a place or if he owns. Those are important factors as well.

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#11

Renting out a room on AirBNB?

It’s perfectly legal in chicago. You just need a permit and to pay taxes.

I own the place.
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#12

Renting out a room on AirBNB?

You may also be able to post on Craigslist sublets. I've seen people "subletting rooms" for X per month which is an inflated price. The demand in the summer is crazy high so you may do well with it.
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