Home share or investment home?

21

I also understand the issuing licences numbers have been severely restricted. As in no new ones.
https://www.avalara.com/mylodgetax/en/blog/2019/06/honolulu-council-passes-short-term-rental-bill-with-strict-penalties.html

22

That wouldnā€™t apply to condo zoned/STR property. And heā€™s on Maui. Paulā€™s in good shape there.

But you are correct, I understand that permits for BnBs and STRā€™s on Maui are a thing of the past.

1 Like
23

Yep. Thank you @KKC .

2 Likes
24

Got the ā€œmateā€ right :smile:

2 Likes
25

Weā€™ve also got a limitation on the exclusion of capital gains for ā€œnonqualifiedā€ (business) use the US, the same ratio you all are faced with. As written for the 5 year look back period to determine ā€œresidence,ā€ there is one helpful exception to maximize the exclusion. If youā€™ve lived in the space and then only rent it out the three years before you sell, you donā€™t have to count any unqualified use.
Thereā€™s a misconception that you just have to bop back to your rental for two years prior to sale to get the $250,000 ($500,000 married filing jointly) exclusion, but youā€™ve got to allocate away some of your gain to the business use, which may cut into your exclusion depending how big a gain your have. Hereā€™s a good explanation for our US hosts:
https://www.merriman.com/wealth-preservation/planning-on-moving-back-into-your-rental-in-the-future-read-this-first/

2 Likes
26

How do you think it has changed over the years?

27

We have hosted three rooms in our home including our own bedroom. Post COVID we will not host our room. One room is occupied by our daughter who had to move back in. If /when she leaves we will consider that room again. So for the immediate future the answer is one room in our home when we reopen in July.

28

Iā€™ve done both.
20202020

29

We have 3 private apt listings in our multi-family home and we live here in the 4th apt.

30

My STR started as purchase for part-time personal use. Changed to STR after 2 years of ownership due to personal financial needs.

2nd STR purchased as joint investment with my Dad.

I do not live in either one.

Due to Covid19 rental challenges, one is now LTR for next 12 months. Iā€™m seeking a 60-120 day renter for 2nd property

31

Neither. Not a home-share, not an investment property.
We bought a vacation/retirement home in the Caribbean a few years ago. We rent it out when we arenā€™t using it ourselves and will do so until we retire there.

32
  1. You can used the paid version of Airdna and pay for footfall reports from your local tourist board @Paulk