Insight
Cape Cod, Massachusetts is considering a 2% real estate transfer tax on sales of over $2 million, while Chatham, Cape Cod, is providing a 35% property tax exemption to full-time residents.
As Rhode Island’s “Taylor Swift Tax” on Vacation Homes Spreads, Here’s What Short-Term Rental Owners Need to Know
Summary
Rhode Island and other states are implementing "mansion taxes" or property surcharges on non-primary residences, which will impact short-term rental owners. Hosts in these areas need to understand these new taxes and factor them into their profitability calculations. Be aware of residency requirements and tax liabilities in your area.
Key takeaway