Short Term Rental Loophole explained in 2 minutes #realestateinvesting
Summary
This video explains the short-term rental (STR) loophole, which allows STR owners to offset active income with passive losses. To qualify, the average customer stay must be 7 days or less. The key is "material participation" in the STR, which is easier to achieve than real estate professional status, which requires 750 hours in real property trades or businesses, and spending more time in real property trades or businesses than anywhere else.
More from Regulations & Compliance
Carson City, Nevada, is refining its short-term rental regulations. City supervisors are currently reviewing and modifying the local ordinance during a retreat. This review aims to address operational aspects, potentially impacting local hosts through new or revised rules, emphasizing compliance.
A 21-unit vacation rental in Dunedin, Florida, has been approved, signaling potential growth in the local short-term rental market. This approval could lead to increased accommodation options for tourists visiting the area. This news could also influence local regulations.
St. Louis aldermen have approved a short-term rental fee, though a legal battle over existing rules continues. This indicates a focus on regulating the STR market within the city. Hosts in St. Louis should be aware of these new fees, which may impact their profitability. Find out how this affects your STR business.
Curated by Learn STR by GoStudioM