The first thing is make sure you're not breaking any rules in your municipality or HOA. I would also consult with a real estate attorney to find out how you can protect yourself and your property against anticipated and unanticipated issues. One of my best friends has a wing of her home in Atlanta that she uses for Airbnb and she's quite successful but she does have a couple of horror stories. Wherever you go, there they are.

Also, in my resort area we have lots of seasonal rentals. Property management companies charge an arm and a leg to manage those because they are so labor-intensive. So really crunch numbers and make sure it pencils for what you're passing through. You'll be replacing silverware, Furniture, appliances, over and over again. Deep cleanings on a regular basis. High-speed internet, all utilities, many things that in a long-term rental a tenant would pay for.

I wrote a ditty about it a year or so ago...

The very first step is to confirm with the complex/neighborhood, city and county before purchasing a property for that purpose.

Joseph,

Other than checking the BNB regs, I would make sure that the city allows this as Dan Pittsenbarger stated.  Our city came down hard on these and wants to be paid for tourist taxes.  A

I suspect that you will find good information on the AirBnB website. You also need to check you local regulations in regard to running such an operation.

The biggest issue, I suspect, is for the buyer to do the due diligence to make sure short term rentals are allowed by the community/city and any requirements especially around taxes. And if the listing is in an HOA making sure short term rentals are allowed and what time frames are permissable. We are finding more and more HOAs, and the City, cracking down on these types of rentals in some areas.

Be sure to comply with your local government requirements.

A property owner may or may not be able to do this.   My suggestion is for you to investigate any laws/rules that may apply so that you are aware and know/understand such and to advise the buyer to research/decide if this is a viable option for their situation.  " 

Air BnB covers just about every detail of what needs to be done on their website. For example, you are expected to provide clean sheets for the bed, towels for the bathroom.

The first step is be sure that you can - that it is an allowable use. That someone else down the street is doing it probably isn't enough due diligence for you to market that it can be done with the subject home.

If it can be done, all one has to do is furnish it and either sign up with a service or start marketing and maintaining the AirBnB one's self.

Step one would be to check City, County, and State statues and codes Joseph Luca .

I have no idea... and I would expect it changes from one municipality to another.

I think laws are different depending on community and state. Best to check in your area. There may be hotel-type taxes involved.

Probably depends on your state and local rules.

1. Buy the right property, why would they want to go to this location?
2. Make it something that people will want to rent.
3. Hire the right manager to make it happen.

I was goingt to mimic what Candice A. Donofrio stated. 

Have the property owner/buyer contact an attorney (real estate) that is familiar and comfortable with AirBNB issues & laws. Many local governments have specifically passed laws governing how AirBNB properties are handled and the taxes needing to be paid to the municipality.

We had an attorney come in and talk to us about this two months ago. It was very interesting and has a lot of legal aspects to it that I had no idea about. 

too many people think this is easy. It's running a mini-hotel & you can't tell me otherwise. Did anyone mention bedbugs to you?

I had a client in the past and he rented his condo as air bnb.  I know he has the hoa approval but other than that, he never said that he has any other approval. I would get in touch with the below:

https://www.airbnb.com/host/homes?from_nav=1

Depending on what I find from the air bnb I may run it by the city as well.  If I think it's not enough, I would get an attorney to prepare a document to cover my property.

Does your city, HOA, area allow for it?  If yes, do you plan on managing it yourself or hiring a company?

Then I'd look at the cashflow.  What are similar units renting for at various times of the year and what's your mortgage going to be?  Add in any HOA or managment company fees, plus cleaning crew fees, toiletry fees, furnishings, etc. and see if you can break even.

Did this last month on vacation with my folks in The Cotswolds.  Looked at some new construction and found a great management company.  Rents weren't enough to justify the mortgage and over lunch the following day we rulled it out.

I am not.  Check with the local rules on said rentals. Some areas prohibit it. 

I need to learn more about this process

Varies by State, county, city, town, and HOA's around here. Short term rentals are hard to find usually, so i'd just list it as short term at a higher monthly rent.

In Sunny Isles Beach we have a few condominiums where short term is allowed. Investors like it.

Short term license required in Sunny Isles Beach.

As Candice A. Donofrio wrote and to add, be sure you have the mechanism in place to satisfy tax obligations.

the most important step is the first..... make sure the zoning allows it and you have the blessing from the zoning board.... you want that in writing!!!! or make it a contingency..... the rest is bricks and sticks.... and excellent condition maintained all year....

Oh boy, good question. I'll look at the answers you receive.

Read Candice A. Donofrio’s comment and proceed with caution.

I do not Joseph.  Good luck

Very lucrative especially when it comes down to renting rooms (college students) or rent by the day or week depending on situation. Have tight paperwork, a good deposit and a top notch vetting process. Mistakes can cost

City, HOA CC&R....

Check with your city and with your community first. If there are no regulations against short term rentals, clean it up, decorate, and just list it on their website( remember, they take a large %, make sure your client agree to pay everyone's fee).

Many cities and counties do not allowand will fine the owner. Check also HOA rules. The neighbors are going to complain about the parties. 

1. Get rental insurance

2. be preparerd to clean and fix lots of things

3. inventory the house - little things get stolen, Do not have anything in the house you can't afford to lose

4. tenants will expect internet and cable - do not use the internet at the site as they can hack into your information, and change the password regularily

5. have someone availabel 24/7 to answer tenant questions

then good photos 

Be sure the CCRs and HOA allow short term rentals and be prepared to be a landlord to entertain the downside as well - you may also need a business license to oversee. Look for other entities that have successfully ventured into this arena, contact them and move forward if it still is appealing.

Here in NH it has to be approved by the town/city. Then the owner has to register with the state to collect rooms and meals taxes. 

After confirming legal/HOA/local requirements as Candice, Dan and others stated, check out Zeona McIntyre, who has presented extensively on this topic. From the beginning nuts and bolts to "Let us turn your Airbnb listing into a cash flow generator while you travel the world."

Joseph Luca you need to fallow HOA, local municipalities, regional, and state laws.

Some folks ask a similar question that sounds like, 'I want to park my trailer in the back yard. I know it's against the HOA, but will they enforce the rule?'

My response is, 'As you can see the HOA annual fee is $50...and it's voluntary! You must make the assessment if the HOA has the resources to do anything.'

In the AirBnB situation, YOU are not the one implementing the strategy, but you are the one who can suggest the income potential of short term rentals. Like any investor (buyer) they must complete their own due diligence.  My suggestion is to become familiar with the existence of any PROHIBITIONS of short term rentals. Then be prepared to refer the investor (buyer) to a attorney who can make everything official.  Of course the investor (buyer) may choose the forgiveness route instead of seeking permission. Keep your hands clean from that possible choice.

Be aware, the ones who keep watch regarding AirBnb are others who are doing so below the radar, existing local Bed N Breakfasts and landlords of various sorts. These are the ones most likely to throw the newcomer under the bus, you know like how real estate agents self police.

The 2nd most likely source of policing are those locals who can not take advantage of doing AirBnB and will do all they can to prevent others from benefiting.

One past buyer is paying the full amount of the mortgage from the short term rental of a carriage house (460 SF).  Being located within a mile of the Gulf makes this reality much more likely.

Read then refer your investor (buyer) to the TOU of the AirBnb website.  That will explain how to get started and identify the areas for which AirBnB will assert NO RESPONSIBILITY and that they can not be help responsible.

It is critical for you to document the investor (buyer) has been advised multiple times to complete their due diligence and have been provided access to professional resources from which crucial information and service can be obtained.

Have no experience, reading comments.