Another option is to hire an Airbnb agent. A specialist real estate agent will know the intricacies, challenges, and how to sell Airbnb property. A real estate agent can instill trust in hesitant buyers and make them more likely to believe what the professional has to say than the owners.
We recommend speaking with a tax professional to understand all the tax implications that will arise after the sale. Also, before listing on the stock exchange, talk to a Qualified Intermediary to understand the process.
Demonstrate the potential earnings for your Airbnb property and the future returns it can bring. They can make as much as they want if they rent the property through an agent, or list it through a management company. You will need to take the time to make it easy to understand and attractive to the eye. However, you must not forget the most important numbers and details.
We listed some key things that buyers look for in a vacation rental property. It is ideal that you provide the data for a period of 12 months or more. Consider including comps from AllTheRooms, AirDNA, or AllTheRooms if your rental is part-time.
A property listed on Airbnb will fetch you much more than its property value if it is placed in the right market. Selling an established business is a good idea.
Understanding the tax implications for vacation rental sales is key to avoiding any unexpected surprises in tax season. The 1031 exchange is possible if you used the vacation home solely as an investment. You may not be eligible if your vacation property was used solely as an investment.
The funds will then be safe from the IRS and can be used to purchase a property. The transaction will be completed within six months and you have 45 days to search for a new property. The rule of thumb for completing this transaction is to search for the next property before selling your current rental property. The Internal Revenue Code Section 1031 further explains this process.
