I’m a bit puzzled by people saying they don’t make a profit on their listings? Whey would you do it otherwise?? I like meeting guests and everything but doing it for nothing? Not in a million years. Are you meaning that it allows you to keep a second home or something?
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Yes. I am surprised by this, unless they are breaking even to buy a retirement home.
In my case, if I didn’t rent out the apartment above the garage I would be losing money on it as I have to maintain the building. Once I factor in utilities, taxes, upkeep and then the percentage I can depreciate on my taxes, on paper I’m losing money. BUT, I’m actually ahead because now these costs I would have anyway as part of my home are fully covered and I have a business purpose for part of my property and since my profits are going into upgrading my property (which I would have done anyway, just at a later time) it’s a business expense.
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OK, interesting! There must be a myriad of reasons why people do airbnb, I guess. We all have one thing in common, though. Guests!! And all the awful/nice things they do.
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Really? So why do you do it?? I’m seriously amazed at this conversation! I rent two rooms in my home. It makes me enough money to pay the mortgage, bills and, if I’m honest, put food on the table sometimes. I can’t imagine doing it for nothing. Wow.
I am fascinated by this response. You do actually need to make a profit or it is considered a hobby and then you must pay taxes on all gross profits and can not take a loss. As I recall, you need to make a profit 3 years out of five.
Ellen will chime in with better specifics.
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I think I’m in the same boat (also two rooms in my house!)… I guess I don’t consider this to be profit, but is it? I like the idea of profit = travel vacations some have mentioned. 
Profit, from a tax point of view, is any income that exceeds expenses. I certainly hope that you make a profit for the efforts that you have made to create welcoming home.
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Yeah same. The lodger covers all my expenses, bills and food. The airbnb room is 100% profit. I am going to start a second airbnb room soon. So hopefully can double the profit.
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My husband left last year with a (haha former) friend of mine, completely out of the blue without warning, leaving me nothing but unpaid bills and an unpaid mortgage (six months! I didn’t know because I went to work every day, he stayed home “working from home” coughbullshitcough and hid the letters from the bank, etc). So renting out this apartment has helped me to catch up and keep my house. Teachers don’t get paid in the summer, so it’s nice to have some income to pay the mortgage and bills with.
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Jeezlouise, no wonder that’s your name! What an awful thing to happen! Well, making a success of your Airbnb business and living well will be the best revenge …
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Wow, @jeezlouise, I’m so sorry - what an ordeal! And what a survivor you are, picking up the pieces, starting hosting, and moving forward with your life. You go!!
We had been intending to sell this house, which we love but is too big for us as we still had a large mortgage which, being retired, we found harder to pay each month … and then the Spanish property market collapsed. If I hadn’t had the idea of doing B&B 5 years ago I don’t know how we would have managed. Then starting Airbnb this year has really taken us to a new level.
Things are easier now and our mortgage will be paid off early next year but we’ll still carry on doing Air because a) we (mostly!) enjoy it and b) we now use the money to pay for an annual visit to Cape Town to visit our son. We’re staying in some very nice Airbnbs there this time, too!
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I’m a substitute teacher so I don’t make all that much to begin with anyway, so the Air money is nice during the summer. No mortgage but there is a lot of deferred maintenance staring me in the face.
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Oh my! Sorry to read this but happy to see your resilience and pluck! As they say, living well is the best revenge.
Where is this that you don’t get summer pay? Don’t they have an option to pay year round?
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Thank you! The thing is, I have to move to another province now for work and can’t afford to be paying the mortgage on this house (anyone want a gorgeous house on Prince Edward Island, with a fantastic income opportunity via the inlaw suite?) and the rent on a new apartment… Put some good vibes out there that my house sells by Sept 1st in this terrible market! 
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I havent done anything with mine yet. Waiting to see what the IRS takes.
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Love PEI!! Share your listing!!
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Hi @jeezlouise,
Couldn’t you hire someone to do short term rentals on the place? Or would any such person be impracticably expensive?
Jeez Louise @jeezlouise. I had a very similar experience 20 years ago (just add a baby to the mix!) My god I wish Airbnb had been around back then. So glad for you that it’s helped to keep you afloat. Kudos to you for keeping your spirits up 
It’s fascinating to hear about all the different experiences and hosting styles from folk on here.
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