Buying an Airbnb apartment remains an excellent opportunity for real estate investment. However, investing in an Airbnb involves many responsibilities and legal requirements. So if you want to try the adventure, it is better to choose a specialized company that will be able to advise you.
Taking into account the costs of renting an apartment on Airbnb
Renting a furnished apartment on Airbnb is perfectly possible and moreover it is an opportunity to seize to obtain additional income. But it is impossible to ignore the costs associated with this type of rental. Indeed, you will always have costs that will be added, not only in relation to the platform itself, but also in relation to the Airbnb cleaning lady's fee. Now, the Airbnb cleaning fee is absolutely crucial, as it will directly impact your profitability.
But the presence of a housekeeper remains particularly beneficial in order to keep the accommodation in excellent condition. You certainly don't want to host tenants in an apartment that hasn't been cleaned. Moreover, this risks to strongly damage your image and thus you will obtain a bad note and you will have more difficulties to rent your property thereafter.
If you decide to go through an Airbnb management company in Paris, they will take care of the entire rental, but you will have to add an additional percentage to the rent. This percentage varies from one agency to another, but also according to the nature of the services provided. You could perfectly choose a partial rental management and in this case the expenses will be lower. On the other hand, you must be involved in order to manage the different requirements. If not, you can opt for total rental management and you will have nothing to do.
Particularly attractive income if you choose your apartment with care
Without surprise, the tourist areas will allow you to generate a particularly interesting income. But not all major cities in France or in other countries have the same profitability. For example, if you decide to buy an apartment in Paris for rent on Airbnb, you could expect a profitability 3.5 times higher than a traditional rental. This same observation can also be made for a rental in England. But to avoid the 90-day Airbnb rule in London or to get around the 120-day rule in Paris, you need administrative support.
If you are a specialist in the field, you are perfectly capable of managing these issues. But in the majority of cases, you are completely unaware of the very existence of this rule. So how can you maximize your profitability while staying within the law? Once again, the solution is simply to choose an Airbnb concierge in Paris. Sure, you'll pay extra fees, but you'll still get a better return.
Some additional details about the legislation in force
If you decide to rent an apartment through the Airbnb.fr platform, be aware that specific rules apply. You have to distinguish whether you are renting out a primary residence or a secondary residence. In addition, some cities require you to go to the town hall to fill out a rental declaration.
This is obviously the case in Paris and without this authorization, you do not have the right to transform your traditional accommodation into a tourist accommodation. For an individual, it is impossible to rent out his or her main residence for more than four months a year, i.e. a total of 90 days.
However, if you get a very good profitability, you probably want to rent your apartment longer. You must therefore declare yourself as a furnished tourist apartment and for this you must make the necessary arrangements with the town hall. Moreover, if your apartment belongs to a condominium, you do not necessarily have the authorization to change the status of your property. This is why it is important to be well informed beforehand and once again to be properly advised by real experts.
So don't hesitate to ask for a concierge service worthy of the name. Moreover, you will also obtain valuable information on the tax side. Don't forget that all the income you receive through the Airbnb platform must be declared to the tax authorities. As soon as the income generated exceeds €23,000 per year, you have no choice but to join the social security system for independent workers. If you are below this ceiling, you do not have to pay any social security contributions.
However, you are still subject to social security deductions at a rate of 15.5%.
A profitability that is not necessarily guaranteed
On paper, an Airbnb investment remains particularly opportune, especially if you have the possibility to rent an apartment in a tourist area. But the lack of knowledge on your part may turn against you and you will not get the best profitability.
Indeed, you have the will to launch yourself on the market of the seasonal rental through the acquisition of an apartment. However, you have not necessarily taken all the necessary precautions with regard to the rules of co-ownership nor on the essential criteria which will support the selection of your property. As for any real estate purchase, the location remains crucial, especially if you are near a famous monument.
However, it would be too simplistic to focus on this element, as other parameters should be taken into consideration, such as proximity to public transportation, the train station or the airport. To avoid making mistakes, why not take advice directly from a specialized agency. They will give you an outside view based on their experience. This way, you avoid many mistakes and you put all the chances on your side to obtain the best profitability.
Presentation of the UpperKey agency
An Airbnb concierge is an agency that specializes in rentals on the platform of the same name. UpperKey remains absolutely essential in the field, as it accompanies its clients throughout the world. Right from the start, you will be seduced by the tailor-made support that allows you to feel confident and to be sure of making the right choices.
For example, with a complete rental management, you no longer need to manage anything. As a result, there are many more opportunities to purchase, as you don't have to be on site to greet your Airbnb tenants or be there when they leave. The UpperKey agency takes care of everything with absolutely remarkable efficiency. If you need answers to tax or administrative questions, you'll also find everything you need.
In other words, a solid shoulder that will manage your apartment for rent in its entirety. It all starts with the writing of an attractive ad with the taking of photos by a professional. You will also find an Airbnb inventory of fixtures template that will be very useful when you host people. This is the purpose of any rental.
As you may have understood from this article, there are many factors to take into consideration when determining the profitability of your apartment to rent on Airbnb. Just because you choose a larger space doesn't mean your profitability will be better. It all depends on the layout you've done and how well you've optimized the space. If you're not an expert in this area, our UpperKey rental agency will help you once again, and we'll use our experience in the field.
The interior design also plays an important role, as it is important to have a friendly atmosphere. These are small details, but they will literally make the difference. So if you want to put all the chances on your side, don't take any risk and invest now in an apartment to rent, but entrust the rental management to real professionals. You will obtain a better profitability and you are relieved on the various steps to be undertaken, because all will be directly managed by the agency.