Airsorted

Samuel T. Cogley

There fee's seem very reasonable at 15% - what am I missing. Are there AirBnB + Cleaning fees on top of this?

Any advice most welcome.

Samuel T. Cogley

Anybody know if the Airsorted, and Airbnb for that matter, fees are tax deductible?

TIA

mrslancaster

Samuel T. Cogley wrote: »

Anybody know if the Airsorted, and Airbnb for that matter, fees are tax deductible?

TIA

Some info here

https://www.taxback.com/blog/airbnb-expenses/

Selik

Samuel T. Cogley wrote: »

Anybody know if the Airsorted, and Airbnb for that matter, fees are tax deductible?

TIA

Been using them for a while now

Overall excellent service no major complaints although the commission doesn't include VAT and really adds up. PM me if you would like further details

ted1

Selik wrote: »

Samuel T. Cogley wrote: »

Anybody know if the Airsorted, and Airbnb for that matter, fees are tax deductible?

TIA

Been using them for a while now

Overall excellent service no major complaints although the commission doesn't include VAT and really adds up. PM me if you would like further details

I persume that you can deduct the charge on your tax return

C3PO

ted1 wrote: »

I persume that you can deduct the charge on your tax return

I wouldn't have thought so unless you are VAT registered?

4ensic15

C3PO wrote: »

I wouldn't have thought so unless you are VAT registered?

No. Being VAT registered means VAT can be deducted as an input from your own VAT payments. VAT paid on deductible expenses is deductible along with the expenses.

Samuel T. Cogley

Thanks guys very much obliged for all the info!

ckblackrock

Samuel T. Cogley wrote: »

Anybody know if the Airsorted, and Airbnb for that matter, fees are tax deductible?

TIA

Yes, of course, they are business expenses and doing Airbnb is a business.

ckblackrock

Samuel T. Cogley wrote: »

There fee's seem very reasonable at 15% - what am I missing. Are there AirBnB + Cleaning fees on top of this?

Any advice most welcome.

Charges are 15% + VAT, and only includes "management", so you pay extra for cleaning and linen - which works out at around €85 for a 2 bedroom property. The great thing is that the linen is provided, you don't have to buy a stock of linen for the house, and the company they use (Premier Linen) is very good, linen is ironed with sharp creases and always looks fresh.
So yes, it will eat big time into your profit if you are someone who has being doing the cleaning and laundry yourself, but if you are already paying someone else to clean and launder, then the management charges are well worth it. I found the biggest hassle before was finding a good laundry, the standards were very poor, had to supply own linen and had to deliver and collect the laundry from the cleaners because the logistics of getting linen collected and returned at a time that suited me was a nightmare.

So if you are not interested in spending your own time cleaning and washing, def Airsorted is a good option.

machalla

I noticed the below article, which was of interest in terms of what is and isn't allowable if you are only doing occasional letting.  Depreciation on furniture may not be allowable.  So perhaps it makes sense to lease furniture instead and expense it?
Airbnb hosts may face greater tax bills as Revenue tightens up allowable expenses

Claw Hammer

machalla wrote: »

I noticed the below article, which was of interest in terms of what is and isn't allowable if you are only doing occasional letting.  Depreciation on furniture may not be allowable.  So perhaps it makes sense to lease furniture instead and expense it?
Airbnb hosts may face greater tax bills as Revenue tightens up allowable expenses

There would be the same difficulty with trying to expense it. The furniture is available for use by the owner even when there is no guest. The fact that you rent furniture rather than buy it doesn't change the nature of it. Unless there is furniture rented for every individual letting, which is returned afterwards the Revenue would disallow the rental expense.

machalla

Claw Hammer wrote: »

machalla wrote: »

I noticed the below article, which was of interest in terms of what is and isn't allowable if you are only doing occasional letting.  Depreciation on furniture may not be allowable.  So perhaps it makes sense to lease furniture instead and expense it?
Airbnb hosts may face greater tax bills as Revenue tightens up allowable expenses

There would be the same difficulty with trying to expense it. The furniture is available for use by the owner even when there is no guest. The fact that you rent furniture rather than buy it doesn't change the nature of it. Unless there is furniture rented for every individual letting, which is returned afterwards the Revenue would disallow the rental expense.

Thanks for that clarification clawhammer. I thought that was a bit of an odd loophole.
I would assume any allowable expenses are pro-rata in relation to the portions of the year the property is let.

Claw Hammer

machalla wrote: »

Thanks for that clarification clawhammer. I thought that was a bit of an odd loophole.
I would assume any allowable expenses are pro-rata in relation to the portions of the year the property is let.

what the Revenue is saying is that you would have furniture anyway. In a low volume situation they don't regard furniture as an additional expense.

machalla

Airbnb limitations threatened based on this

https://www.independent.ie/irish-news/landlords-will-be-hit-with-crackdown-to-limit-airbnb-rentals-36964929.html

Selik

Could be many months or even years before a working licensing system is in place. They haven't even got all stakeholders input yet. Even then enforcing it could be another problem if they don't put resources behind it. It will happen eventually of course and by the time it does we could be heading into another downturn ! My guess is something will be in place by 2020 with another few years before being fully operational.

Samuel T. Cogley

Just to update. Been dealing with them for a couple of weeks now, they've been pretty decent at answering any questions. Has my 'onboarding' meeting today and I have to say they were brilliant. Walked me through everything, took photos etc. I'll update if/when any money starts coming in and how I got on with that side of things. They seem hopeful they can meet my expectations which is a little higher than the current top rents for the area.

Thanks for all the help and advice especially the guy who PMed me and gave me some great advice. I've done the referral for AirSorted, need to let Airbnb know as I forgot to follow the link, sorry!

Samuel T. Cogley

Got ~€500 worth of bookings within a day of the listing going live. That's 5-6 days worth. Now I know it's peak season but if progresses like that I'll be a very happy bunny indeed! (Previous rent was €1050)

jayjay2010

Samuel T. Cogley wrote: »

Got ~€500 worth of bookings within a day of the listing going live. That's 5-6 days worth. Now I know it's peak season but if progresses like that I'll be a very happy bunny indeed! (Previous rent was €1050)

wow, nice result! keep us updated I'm eager to see how things go for you.

ckblackrock

Selik wrote: »

Could be many months or even years before a working licensing system is in place. They haven't even got all stakeholders input yet. Even then enforcing it could be another problem if they don't put resources behind it. It will happen eventually of course and by the time it does we could be heading into another downturn ! My guess is something will be in place by 2020 with another few years before being fully operational.

If the government hasn't got its act together by 2020 re. building more homes then any proposed legislation re short term lettings will be as much of a solution as fighting a forest fire by p**ssing on it.

Samuel T. Cogley

ckblackrock wrote: »

If the government hasn't got its act together by 2020 re. building more homes then any proposed legislation re short term lettings will be as much of a solution as fighting a forest fire by p**ssing on it.

As usual though it's all about optics.

zom

Samuel T. Cogley wrote: »

Anybody know if the Airsorted

Who are Airsorted first of all ??

Samuel T. Cogley

zom wrote: »

Who are Airsorted first of all ??

They're an agency for Airbnb (and as it turns out other platforms) that handle the booking process, communicating with clients, keys and cleaning etc.

zom

Samuel T. Cogley wrote: »

They're an agency for Airbnb (and as it turns out other platforms) that handle the booking process, communicating with clients, keys and cleaning etc.

Are they part of Airbnb or independent business ?

Samuel T. Cogley

zom wrote: »

Are they part of Airbnb or independent business ?

Independent.

zom

Incredible how many men-in-the-middle's our property market is able to accommodate.
But still brilliant idea for the business.

Samuel T. Cogley

They're doing what an agency does, and a whole lot more, with a normal rental; fee is about the same too at 15%.

Samuel T. Cogley

Fook me! I've just seen the prices the 'algorithm' has come up with for the gaffe. 29th December, that'll be €709 please. I think this is gonna need some tweeking! :pac: I had it down for €89 a night, no wonder I got booked so damn fast.

zom

Samuel T. Cogley wrote: »

They're doing what an agency does, and a whole lot more, with a normal rental; fee is about the same too at 15%.

Having an agency is Irish model business. Very good indeed as you dont have to do much, just count the money. Make someone else create the source of income and you only make clients for it. No need for much creativity, investment or risk - perfect business model.

marpad

Just wondering if anyone can personally recommend any of the hosting agencies? I'm using one at the minute that I'm not happy with and want to change, I didn't get a personal recomendation last time so I would love to this time. Airsorted looks good but I was worried they would be too "corporate" and not offer a personal enough service. Then again corporate might be hassle free and professional!

Samuel T. Cogley

Found them excellent and very personable myself.

Samuel T. Cogley

20 odd nights booked with about 10 either blocked (I need to get in there to set up Wifi, do some painting etc.) or not booked yet and less fees and projected bills I'm just up on what I was renting it for.

I don't have any reviews so I've been tinkering with the price setting a bit lower than they had it. I'm going to leave it on auto for August and see how that does once I've some reviews up.

A lot less stress and some how a bit more fun than renting it the 'old fashioned' way.

Just hoping it makes enough to see me through winter!

charleville

So... according to the radio this morning the government are to put a cap on how many monthly days rental you can have with Airbnb, all talk or is this going to happen soon ?
They’re trying to curve it back to long term letting.

What’s your advice on purchasing to go the Airbnb route at the moment.

Samuel T. Cogley

It's definitely coming - not that it'll make a jot of difference to the current rental prices. I'd say it's happening sooner rather than later. I wouldn't purchase to Airbnb, unless you're happy enough to let it in the standard way if you can't continue to Airbnb. I'm going to look into continuing to Airbnb after the legislation comes in through planning/licence/just doing it and risking the repercussions, it could be that very little is actually done to people that are caught - I'll have to read the legislation and make a decision then.

They could make it not viable by simply changing the tax relief on fees etc.

Selik

Samuel T. Cogley wrote: »

20 odd nights booked with about 10 either blocked (I need to get in there to set up Wifi, do some painting etc.) or not booked yet and less fees and projected bills I'm just up on what I was renting it for.

I don't have any reviews so I've been tinkering with the price setting a bit lower than they had it. I'm going to leave it on auto for August and see how that does once I've some reviews up.

A lot less stress and some how a bit more fun than renting it the 'old fashioned' way.

Just hoping it makes enough to see me through winter!

Make sure you have auto pricing OFF on Airbnb and let Airsorted use their pricing system. It doesn't need much or any tweaking thereafter.

Selik

charleville wrote: »

So... according to the radio this morning the government are to put a cap on how many monthly days rental you can have with Airbnb, all talk or is this going to happen soon ?
They’re trying to curve it back to long term letting.

What’s your advice on purchasing to go the Airbnb route at the moment.

Nope don't purchase on that basis unless you are prepared to rent normally as well perhaps always.

Samuel T. Cogley

Selik wrote: »

Make sure you have auto pricing OFF on Airbnb and let Airsorted use their pricing system. It doesn't need much or any tweaking thereafter.

It was setting me quite expensive and with no reviews I think I was losing out. Do you mind me asking do you get many advanced bookings or are they all last minute. Mine seem to be the latter.

Selik

Samuel T. Cogley wrote: »

It was setting me quite expensive and with no reviews I think I was losing out. Do you mind me asking do you get many advanced bookings or are they all last minute. Mine seem to be the latter.

A mix but lots last minute. If days are not filled with a week to go I'll lower the prices myself to what the price tips suggest and this is all I do. This only overrides the days in question and doesn't mess with the algorithm. You don't want prices too low either. I'm 85% booked out over May, June, July and August will be at that level soon also I expect.

Btw if you currently have no Wi-Fi this will affect your bookings big time. Absolutely essential. I wouldn't stay in or even consider an apartment abroad myself without it.

The_Conductor

Selik wrote: »

Btw if you currently have no Wi-Fi this will affect your bookings big time. Absolutely essential. I wouldn't stay in it even consider an apartment abroad myself without it.

+100%

Whatever it costs- install wifi- its a fast and simple way to get with the times.
Loads of prospective people simply will scroll past you- if you don't have complimentary wifi for them- regardless of what you charge for the letting.
Price isn't everything- you need to tick the fundamentals- and wifi is considered to be fundamental.

spurious

Just for information, Airsorted do not handle the 'spare room' Air BnBers, only the full occupancy ones.

I wish Air BnB would get themselves some standards. There is a place close to me (used to be an office building) clearly shows mattresses lying directly on the floor in their 'luxury' shared accommodation.

Samuel T. Cogley

Don't worry chaps 240Mbit Wifi and even a little HTPC is in the gaffe for Netflix!