Every investor who has ventured in property wants to get the best returns and to ensure the property is kept in the best shape for as long as possible. The usual expectations of making profits and little or no losses run through the minds of many people especially when they consider renting to Airbnb. http://hackronym.com/wealth-solutions-insurance-and-other-considerations-when-renting-on-airbnb/
However, the reality may be something quite different since it is not always easy to receive all the benefits one expects to get from renting property to the company. Here are issues that are ignored when making such a decision and why you need to look into each before you leap to make the deal with Airbnb.
The costs and risks estimated
Short-term tenants are hard to please and are not predictable. Unlike long-term contracts, you cannot easily track the activities of the tenant and in case of any damage, you are left with the problem to solve solely without any support from those who caused the losses. Others may rent the space to propagate illegal dealings that may see you answer questions in a court of law. The tenants may also flee before settling some bills and this will translate to losses on your part.
Insurance cover considerations
It is expected that property insurance should provide cover for all your property, but the mere fact you will be dealing with short-term tenants may make it difficult for the insurance firm to guarantee you a cover. In fact, most companies don’t cover premises where short-term tenants are the source of income because of the estimated losses and instances that will require the insurance firm to cover costs.
Considerations based on protection
Also note that Airbnb only offers secondary protection that may not be taken as insurance. Don’t be duped into the agreement by impressive agreements because most of the terms don’t count. Also involve insurance and wealth management experts like Richard Blair. He executes his services through his company Wealth Solutions.
A look into Richard Blair Wealth Solutions
Wealth Solutions is a company that was established by veteran Finance and Tax specialist Richard Blair.
His main clients have been major companies and wealthy people looking for direction on how to better manage their earnings and wealth. Richard Blair has also excelled in offering financial advice that is focused on retirement planning.