Renting a home.

[Mikhail122]

Hey friends, I would really appreciate your help with the following two issues. So you have more context, the situation is this: I have an airbnb hosting profile with some history and I am helping my friend to rent her apartment in Spain. The apartment is hers, the account is mine. She got all the local permits to rent her place. 

The questions are:

1. How does it legally work? The girl has the permit to rent her place but the account is mine (as well as the bank account in a third country). How does she go about the Tax Service in Spain? Does she have to declare it somehow?

2. She has a permit to rent a room not the whole flat. But once in a while she's willing to rent the whole thing. Is it a problem? I understand it might be considered kind of cheating but is it doable? Can she mention in her listing that it's a whole apartment? 

I'd really appreciate comments from those who's had the same issues. 

Thank you, Misha. 

[Helen3]

It's the wrong way to go about it to set up the owners listing under your profile. .  @Mikhail122 

The listing needs to be set up in the owners name. She can then add you as cohost and add whatever commission you have agreed for managing it . There is no advantage for the owner setting up her listing under your profile and lots of disadvantages. (As you have no experience as a host you may not realise this). 

she then pays tax on her income  and revives income into  her own bank account

and you into yours . 

I certainly wouldn't advise you encouraging the owner to break the law by letting out the property as whole accommodation which she doesn't have a permit for. 

[Mikhail122]

@Helen3 , thank you! 
I appreciate it. 

[Stanja0 · Accepted solution]

Hello @Mikhail122 , 

You can feature your friend’s apartment on your Airbnb profile . But you would need to use your bank account. I recommend a contract stating you’re leasing the property from your friend. Then agree on a fixed amount to pay your friend monthly. You can even go as far as listing them as the co-host. This is the arbitrage method of growing your Airbnb portfolio. 

Otherwise, if your friend does not like the aforementioned then co-host under your friend’s account with an agreed fee. 

Last, of course it’s not a good idea for your friend to rent out the entire apartment if the permit is only for one room. There’s a saying,

“What’s in the dark will always come to light.”

Not worth your friend losing their apartment. They should get into this venture honestly.

Wishing both of you the best. 

[Helen3]

Hi @Stanja0 

I am not sure you're providing good advice here.

1. its a location which the owner has a permit for so needs to be set up under their name 

2. arbitrage as you know is a risky business model - the person doing it is responsible for rent and all bills which @Mikhail122 would have to pay whether he gets any bookings or not 

the easiest and best way to do this is what I suggested in my post the owner sets up the listing and adds Mikhaïl as a cohost. 

[Stanja0]

@Helen3 

I have done arbitrage successfully for 9 years;) 

@Mikhail122  would have to do his due diligence and see if he can arbitrage with the permit.. Maybe he can or or maybe he can’t but it’s a learning experience.

If his friend rents the flat then I would discourage it but he never made that clear. It sounds like the friend owns the flat that’s how I presume they were able to get the permit.

If you know what you’re doing it can bring great success. Depends on what the individual is looking for in the venture.  And if they did their homework. 

If this is not your area of expertise I would not say it’s bad advice. 

Owning a property means paying a mortgage. I own property. I don’t Airbnb those properties.

For Airbnb, It’s easier to get out of a lease then to buy property for Airbnb and not be able to pay a mortgage because you don’t get bookings. 

Either way can be risky. But I lean towards where there is better leverage. it’s a personal choice:)

In addition, I gave him options based on my repertoire of conducting Airbnb. I am a host and co-host. 

I wish you a splendid day. 

[Mikhail122]

Stanja, thank you! 

[Stanja0]

@Mikhail122 

You are very welcome. 

[Rebecca]

Hi @Mikhail122 - It's lovely to see you joining in conversations on the Community Center!

I'm tagging @Stanja0 here so they receive a notification of your message. Quick tip: if you type "@" and then the username, this will tag the member that you're replying to. I hope this helps to keep the conversation flowing!

[Mitchell248]

Renting a home can be an exciting experience, but it also requires careful planning and consideration. Before choosing a property, it is important to think about the location, monthly rent, available amenities, and overall condition of the home. Tenants should also review the rental agreement carefully and understand important details such as the security deposit, maintenance responsibilities, lease duration, and payment terms. Visiting the property in person can help identify any issues that may not be obvious from online listings. It is also helpful to compare several properties before making a final decision. A good rental home should not only fit your budget but also provide a comfortable and convenient living environment. Taking time to research and ask the right questions can make the renting process much smoother and help you find a place that feels truly suitable for your needs.