Airbnb in Florida
Updated: Mar 15, 2020
Many people look to Florida for vacation rentals to enjoy the sun and the sand. Platforms such as Airbnb
have simplified the process for both hosts and renters. However, Florida’s government is currently undergoing changes to the regulation of such rentals. We at Transforming Property Solutions have compiled the pros and cons of using Airbnb as well as information on the possible future changes of the platform.
Airbnb is a platform where people can rent out their homes to people looking for accommodations in their area. The marketplace currently has listings in more than 81,000 cities and 191 countries worldwide. Hosts can earn additional income from their property, with the risk that guests may do damage to their property. Guests can book an Airbnb costing less than a hotel room, but the property may not live up to the expectations based on its listing. The state of Florida rented properties to 6.6 million guests in 2019, earning hosts a total of $1.2 billion in additional income.
Advantages of Airbnb:
There’s a wide selection of properties, including single rooms, suites, apartments, yachts, houseboats, entire houses, and even castles!
It’s free for hosts to list properties on.
Hosts can set their own prices for per night, per week, or per month.
Searching for listings has never been easier, with options like dates available to rent, location, price, type of property, amenities, and the language of the host. Airbnb also includes closeby experiences, like classes and sightseeing, also offered by local Airbnb hosts. Restaurant listings also include reviews for Airbnb hosts.
Airbnb holds protections for both guests and hosts. For guests, Airbnb holds the payment for a day after check-in in case of problems with the property or anything. For hosts, Airbnb’s Host Guarantee program protects up to $1,000,000 in damages for properties.
Disadvantages of Airbnb:
Airbnb has many fees besides renting prices, such as guest service fees, banks or credit card issuer fees, and service fees. Both hosts and guests may also be subject to taxes, depending on location.
Also depending on location, Airbnb may have restrictions based on zoning ordinances and communities such as condominium associations and homeowners associations.
Recently, a bill was introduced to have the state government be in control of Airbnb regulation, instead of local governments. The bill is a reaction to the fast-growing vacation rental market in Florida. When Airbnb was first starting in 2011, a state law was passed preventing any local regulation. After hosts complained the state regulation wasn’t enough, the state reversed the action in 2014 to allow local regulation. Now in 2019, Airbnb regulation would return to state control. Tasks such as imposing fines on violators, licensing, tax collection, and inspection would be the duties of 19 enforcement officers at the Department of Business and Professional Regulation of the state of Florida. Local governments would also be unable to regulate platforms that market short-term rentals such as Airbnb, but the platforms themselves would have to verify if all rentals are licensed—and remove unlicensed listing within 15 days.
Finding a balance between regulations that can be prohibitive to the growing economy of Florida and local government, the vacation rental industry, and competing business interests has proven to be difficult, but this may change in the near future. Read our previous blog and be on the lookout for more! Transforming Property Solutions is located at 223 W 3rd St, Sanford, FL 32771. For more information, investors and realtors are encouraged to call 407-375-2317 or visit online at www.transformingpropertysolutions.com