One guest room only

[EmptyNest]

We are having a rash of one bedroom B and b's opening in our town. Is anyone else experiencing this? It just seems too strange to me to go to all the zoning efforts etc. Guess I should be glad they are doing it legally. Seems like it is time to bring back the old "tourist home" designation.

 

[JBloggs]

Is it purely for tax deductions stand point?

 

[EmptyNest]

Is it purely for tax deductions stand point?.

Have no idea. I just figured they want to do Air but our town is cracking down on them.

 

[Morticia]

It does seem like a lot of work. Maybe they all realized they can make a killing renting a room. ;-)

 

[gillumhouse]

If it is just the tax deductions they are in for a surprise - the IRS looks real hard at small B & Bs.

 

[Morticia]

I will say, tho, that my worst room rental does bring in $15k each year. So, if I was in a touristy area and i wanted a little extra money for about 3 months' work, I might do it.
It would cover the property tax. Or a really nice vacation.

 

[user 26]

We have been getting flyers and mailings from Air suggesting we rent out rooms. Upper Cape Cod. Lots of people do. This old house I live in doesn't have enough bathrooms to make it work ... if another mailing comes, I'll make a copy and post it here. They keep saying the potential for income is there, even with regulations if you go legal.

 

[Silverspoon]

We have been getting flyers and mailings from Air suggesting we rent out rooms. Upper Cape Cod. Lots of people do. This old house I live in doesn't have enough bathrooms to make it work ... if another mailing comes, I'll make a copy and post it here. They keep saying the potential for income is there, even with regulations if you go legal..

You are so close but so far....SS, come for a visit! You know where we are!

 

[Jcam]

I will say, tho, that my worst room rental does bring in $15k each year. So, if I was in a touristy area and i wanted a little extra money for about 3 months' work, I might do it.
It would cover the property tax. Or a really nice vacation..

see where we are new rules (country wide) anything under the sharing economy ie Air you can do $6000 before you have to declare or pay tax - however if you have a lodger which is zero regulation you can take up to $14000 before declaring for tax - with one room you would make much more on a lodger than an air guest.
Lodger - no cost except a tenancy agreement which you can buy online for $10
B&B - integrated fire alarm (serviced every year), fire door on every door, landlord's gas safety certificate, insurance, food hygiene (free but inspected and have to pass) pat testing on every appliance a guest might touch, fire risk assessment, accessibility statement, PRS, PPL - and all these are annual costs. All this cost per year at least $1600
which would you do?