VRBO and airbnb people have one interest: Making money from renting properties. They need something to sell, so they recruit owners by making this sound like a lark. It's not. YOU are responsible for EVERYTHING. They do nothing but collect fees.

A real B&B or a rooming house can be profitable, but only with a lot of 'free labor' on your part. Renters are transients, not 'guests'. You are not a 'host', despite the cute terminology. It's not FUN. It's a business. Your RE taxes may go up because your home is now a *business*. You may need to collect and pay various taxes.

We have owned a (legal, licensed) vacation condo in Hawaii for 17 years. Financially, it's only viable because we don't have to rent something else in winter.

Location, location, location. Are you in a tourist area or an area close to a downtown business district? Why would people need a place to stay in your area? Have you searched AirB&B for what is renting near your house?

That said, I have a relative who has purchased 2 duplexes in the last 3 years. He keeps all 4 units rented most of the time. His duplexes are in a area, close to a busy downtown. Walkable to trendy restaurants and shops. Professional sports and concert venues within a 15 minute drive.

He does pay someone to throughly clean after each guest leaves. He’s loving the income. Is making a profit after paying his mortgage, utilities taxes, insurance and routine maintenance.

You also need to keep current with your areas laws as to B&B's. Some areas here used to allow them but not any more. As others have stated they are a lot of hands on work.

Yep appreciate the reality check. Hopefully the extra work and worry would translate into higher income... thats what I would have to determine before proceeding.

You could also rent it out by room as long term rental. You’d need more bathrooms for that......

IMO, most people seeking a short term stay in a property do not want to be hosted. They want a place that is convenient to a popular place, and for it to be less expensive than a hotel room.

I have never used an AirBnB property but I have rented many condominiums and cabins through VRBO/HomeAway. I agree with ncrealestateguy in that I just want a place to stay- not to be hosted. The only interaction I want with the owner/management company is to check in and out (unless there is a problem, of course). I just want to rent a place to stay so that I can get on with whatever it is that brought me to that particular destination.

Be sure you check on insurance, however. Your homeowner's insurance policy might not cover you if you're running a short-term rental business.

Good Luck!

We've used AirBnb a few times. First, it's always in a very popular destination city, or perhaps a college town with regular sporting events, etc. We've never had a host let us in. They've all been set up to provide access and keys via a security system or other means. We never rent a room in an owner occupied place--only the entire condo or whatever. We do expect it to be cheaper than a hotel or similar in price but closer to things we want to do.

Look into state and local requirements, including taxes. Some AirBnb'ers in my area found they owed back taxes to the state and to the county. Plan on the cleaning costs after each guest.

When we moved to our current city we lived in vacation rentals 1 month at a time. Different areas of the city, and it helped us discover what area fit us best. I've also become and owner/operator of a short-term rental in a city packed with big events year round.

1. Like others say, not everybody is interested in hosts living next door, being part of the experience. As a renter, I specifically avoided VRs that had that "touchy-feely" element. Too many of those owners seemed too "tightly woven", meaning too paranoid about what could happen to their property. It was off-putting. Ditto, for me, for anybody renting their personal home. . As an owner, I like hands-off, as I have no interest in being a tour guide. As a renter, we preferred to do our own thing. Different strokes, though

2. If you're going to do it, do it right. List with the most reputable, highly marketed site(s) working your area and follow all local ordinances. Many in our area try to escape all rules, including city fees (small) and taxes by listing on Craigslist. Those are the nightmares we hear about all the time, locally- unprepared owners plus bad renters with shaky rules and no organizational back-up can equals stress.

3. Try to be flexible in your offering: "Daily, weekly, monthly and long term rentals welcome". "Dogs welcome" is big in some areas. You do get less with the monthly/long term, but it's still usually more than if you rented it as a landlord.

4. I disagree somewhat with those who say you're better off as a landlord. They each come with their own ad-and-dis advantages. One big plus of VR is that the rents are paid in advance, so the financial prospect is much less risky. Also, many VRs now offer an insurance product in lieu of the customary deposits taken. Relatively cheap for the renter and avoids the need to give a large deposit that then must be returned. An obvious advantage for the owner, too.

Of course, a traditional rental will ideally not need to be marketed as often, and comes with a fixed amount of rent that ideally can be counted on. A VR doesn't guarantee rents/incomes also we're back to...

5. Location, location, location! I live in a city with year 'round, large events. Property is dead-center for all activity, Sounds stupid, but it's also close to the airport. Transfers are a breeze.

So- it's a lot of "on one hand" this, "on the other hand" that. Get with a good accountant. And try to take a seminar with a big VR lister like HomeAway/VRBO/VacationRentals.com etc (all basically owned by the same one) and AirnB- stubbornly independent! Find out the fees ahead of time. Talk with others who have done it.

And good luck!

Just want to point out one thing, make sure you have enough parking to run Airbnb.

A good airbnb is somewhere NOT in my residential neighborhood.

I have used Airbnb on several occasions and prefer non hosted rentals in a nice, quiet area. Most places have been entire homes. The only complaint I have found is the lack of a microwave oven in 2 places. Also must be pet friendly. All of my experiences have been very positive.

Expectations for a good Airbnb experience vary by generation. The older the age bracket, the less likely the person is to have even tried Airbnb. Generally, people 40 and up want to treat it like a hotel, with invisible people behind the scenes managing their comfort. They don’t want to know the host, or interact at all.

The younger generation views the total experience as more of an adventure. And that does mean more host interaction and work. Hosted “experiences” are bigger draws to that crowd. That can mean creating an outdoor BBQ event in conjunction with a music festival, where lots of tents are encouraged. Or it can mean a “curated insider’s” weekend at a lesser known beach house where all of the umbrellas and bicycles and maps are included, as well as vouchers for the local dive oyster bar and the museum of the flip flop.

To keep the schedule full, you’ll need to plan to appeal to both types, with different listings and rates. Or, have such a reasonable rate that no one cares much about anything but the comfort of the bed and cleanliness of the bathroom.

DH and I own a short term rental but don’t advertise on ABNB. I am on a Facebook page with other STR owners. Right now one owner has tenants that won’t leave. And another has a scammer that moved in without paying rent. If you provide substantial services such as cleaning, linens, etc.and your average rental is for seven days or less, the IRS may consider that your rental is a business and you owe self employment taxes. Also, more and more localities are tightening the regulations on STRs. Do some research with the local government before you jump into the STR market.

I don't think AirBnB is "generational." I think it's personality type. We are AARP age and love AirBnB, but I know lots of people who would rather have an impersonal hotel experience. All I can say is what I look for in an AirBnB--a private entrance and a great location--lakefront vs. drive to the lake, walking distance to shops/restaurants vs. an out-of-town location. Best of luck to you!