It's a good idea to consider Airbnb or short-term rentals for any of your additional finished apartments or houses that you wish to remove. You can make as much money as you ever imagined. Or in terms of income from people who have ventured into this business but haven't considered some important things before joining the business. In any case, if you would like to run an Airbnb or short-term rental business, you need to consider these rental factors and these short-term Airbnb rental regulations.
These factors will help you gauge your goals in terms of the kind of host you want to be. Stay there, you're bound to end up spending nights with complete strangers under the same roof in your home. If the mere thought of it makes you uncomfortable, you need to think twice about staying on Airbnb, as it requires a reliable and comfortable communication process between you, the host and strangers.
TIME COMMITMENT
Publishing and managing a successful Airbnb can take a lot more time and effort than expected, especially when you're just starting out. Even if you're in control of your operations and don't spend as much time processing all the reservations, you can expect different emergencies every time you host a guest. Do you have the time and flexibility to do what you need to do? What does it take to be successful? You should consider it.
RIGHT RELATIONSHIP WITH THE OWNER
Unless you own your home, you need to think carefully about how you address and communicate with your landlord in order to host on Airbnb. Yes, some hosts operate Airbnb without their landlord's knowledge, which is incorrect. The Lagos landlord will not take it lightly on any tenant if they find out without their knowledge and it could ruin their business. Hence, it is always a good idea to let them know of your intentions before proceeding.
RELATIONSHIPS WITH THE NEIGHBORHOOD
Whether you own or rent, chances are you have neighbours. How do you think they'll react when they find out you're hosting on Airbnb? This will be very different depending on the city and district. If your city already has a lot of angry neighbours asking the council to ban or restrict Airbnb, you should be very careful before listing your unit or you could face hefty fines. Ultimately, you must decide if your neighbour’s potential headaches are worth hosting on Airbnb. Therefore, you should consider how you deal with and react to neighbours.
RISK and LIABILITY
Aside from personal safety, you expose yourself to several other risks when you host on Airbnb. You put your property at risk of theft. You risk renting out to a squatter. You also run a potential liability risk if your guests are injured, damage other property, or injure neighbours. With proper Airbnb liability insurance, you can minimize many of these risks.
KEEP UP TO DATE AND STAY THE MARKET
As you can see, if you want to be successful as an Airbnb host, you must constantly study and adapt your listing to changing market conditions, guest tastes, or even local laws. You may have different types of travellers at different times of the year that require completely different positioning. Your city may be considering another action that could have a material impact on your Airbnb listing.
GET THE NECESSARY LICENSES AND PERMITS
Your local government is the owner of a real estate company. Depending on where you are, these documents may have different names, e.g., "Business License", "Tenant Tax License", "Land Use Permit" or "TOT Certificate". If you have more than one listing, even if they are in the same state, you may need to obtain different licenses or permits for each listing before they can be listed on Airbnb.
CHECK TAX RULES
In some tax jurisdictions, Airbnb is required to collect local occupancy taxes on your behalf. Elsewhere, however, Airbnb hosts are solely responsible for ensuring that the necessary taxes are paid from their Airbnb earnings. You may also need to register for a tax identification number to pay these taxes before the due dates. It's important to understand that while tax regulations aren't always explicitly covered by Airbnb's rules, you still must pay for them.
MAKE SURE YOU COMPLY WITH SECURITY AND INSURANCE STANDARDS
Once you have determined what documents you need to start an Airbnb business, you must also comply with your property rights. Each location has its own security standards for tenants.
