Luxury Event Venues & Vacation Rentals

We receive a lot of questions about all the advantages of renting out your house for a short term rental and I wanted to take a moment to review our top 5.

So the question we hear a lot is...

"What are some advantages for renting my home for short-term rentals and daily rentals such as weddings and events?"

Alright here are our Top 5 Advantages and reasons why you should start renting your home out for events today...

The Top 5 Advantages:

1.     Additional Source of Income

2.     Additional Tax Write-Offs

3.     Tax-Free Income

4.     Increase Property Value

5.     Corporate Rental Opportunities

Lets break these up and dive in a little deeper...

Event Venues Orange County

1. Additional Source of Income

The most appealing part of renting your home for events and short term rentals is the potential to make additional income.

For wedding and event rentals, homeowners can often make the same (if not more) amount they would make in one week in just one day of renting their home out for an event, creating a very lucrative opportunity.

Engaged couples and corporate planners spend anywhere from $2,500-30,000 a day on a unique event venue.

Often times, owners choose to only rent their homes by the day so they can still live in their home 365 days a year.

This is not an option for a vacation rental property.

2. Additional Tax Write-Offs

In addition to a supplemental source of income, renting your home for these types of rentals can provide additional tax write-offs like interior/exterior maintenance and other home improvements.

Most of the homes that rent for short term rentals have extremely high overhead like full-time ground keepers, high water bills, electric bills, property taxes, etc.

Being able to rent your home and consider it a business is a great opportunity for tax breaks.

-- Pros: You can write-off home expenses, bills and additional income.

-- Cons: You will need (very likely) a commercial permit and a business license so check with your city and see if any restrictions apply.

Luxury Vacation Rentals

3. Tax-Free Income

You can also choose to rent your home less than 14 days a year (2 weeks), which would classify as tax-free income.

When you rent your home less than 2 weeks a year you do not have to claim the additional income on your taxes.

This tax break can offer a huge benefit for homeowners in high tax brackets.

If a homeowner’s new profit per event is $5,000 a day, that is $70,000 in tax-free income annually (not all bad).

-- Pros: Tax-free income, no business license needed.

-- Cons: You are limited to 14 rental days per year.

4. Increase Property Value

You can increase your property value, especially for homes that have been in featured films and well known advertisements.

It’s a huge selling factor to add to your property's resume.

5. Corporate Rental Opportunities

Large Corporation interests: Large Corporations often rent homes for off-site meeting spaces, product launches or even housing for new hires.

Corporations are willing to pay a high price tag for the ideal setting.

Even if you are not interested in renting your home frequently, having your home in our location library may open up many opportunities.

Corporate Events Orange County

Your Turn...

Do you have any questions or thoughts/ideas to share?

Let us know in comments below...