City forcing mandatory in-person check ins

[Jonathan315]

Hello,

Been hosting for a couple years now. Late last year, we purchased a place in a small mountain resort town in California (a couple hours away from us). The first year was busy through the ski season, and everything went well overall.  But just recently, the city has put new ordinances in place that say Airbnb'ers in the city must use an in-person check in.  We have always used a lockbox and been in good communication with incoming renters.

Is this a common thing? Do other cities do this? I'm frustrated about it. Seems to add an extra step that renters (at least the majority of them) won't appreciate, since it takes more coordination, and cell service is spotty to say the least coming up the mountain. Obviously, it also adds more to-dos for our housekeepers (or whoever we get to meet guests to check them in). I'm assuming the management companies in town have a great deal to do with this getting put into place. I get that Airbnb and companies like it are taking $$ out of their pocket, but the truth is they do a poor job and take a huge percentage off the top -- 30-40%, which is why so many more people are managing themselves.

Anyway, I'm probably just venting, but wanted to throw this out there. Has anyone else dealt with this? Just seems odd to me for a city to enforce this, especially when our rental is a privately owned home and they already take an 11% tax from our rental, which we have always paid on time.  Any thoughts/advice?

Thanks!

Jon

[Kip0]

@Jonathan315 thanks so much for sharing this. It's becoming more and more important for hosts to start banding together to get ahead of unreasonable legislation like this.  I have not heard of this particular requirement anywhere I am hosting so I really appreciate you sharing it.

In Virginia Beach legislation was just passed requiring us to provide a contact number so that if a neighbor calls 311 to complain that the host is responsible for ensuring a response within 30 minutes. There is very little detail to the legislation and no apparent protections for hosts that have vindictive neighbors. Fortunately I have good relationships with my neighbors and I do everything I can to ensure I have respectful guests but the rules are still vague and open to abuse of the hosts.

We recently formed a Meet Up group (on that external site because we couldn't get it set up here) for Coastal Virginia Home Sharing and I encourage you to band together with other hosts to see if you can roll back onerous regulations and have a voice in the community.

Best of luck with it and thank you so much for sharing/venting!

[Todd-and-Reese0]

How could they possibly enforce it? Are they dependent on the neighbors ratting you out? They would have to video every guests arrival! What are the fines? We have a shared home/private room and we can't always meet our guests in person. That is unrealistic. Were it me, I would just keep on letting them check in on their own. How would anyone ever know?

[Jonathan315]

Allegedly they are going to be cracking down on it and going so far as scheduling places on Airbnb so they can see if you're following the laws... Fines range from $250-$500 and they could then take away your business license so you can't rent. I agree, it's not possible to meet every guest in person for check-in, and I think it takes away some of the ease and charm of using Airbnb. I don't like the sound of this at all.

[Nancy353]

Hi John, 

I am not yet hosting in Big Bear but I am hosting in Los Angeles and have been looking at properties to buy in Big Bear for the purpose of renting on Airbnb. I think the reason that law when into effect is that Airbnb is cutting into the business of the major property managers in the area who are getting 27%. They advertise the listings on Airbnb but if people advertise their own listings and use a cohost it cuts out the need for property managers and some of the services they provide. That ordinance also says you you have to have someone on call 24/7 who lives within 15 miles of the property and can respond to a call from the guest within one hour. The management companies are making it hard for remote landlords NOT to use their services.  

Since you have experience in Big Bear can you tell me a little bit about how to be successful there? Do you have tips about amenities I'll need, how many I need to be able to sleep, how close to the slopes I need to be? Will it pay for itself if I can avoid the management companies and do you have reliable cleaning and repair people there that you use? Thanks. Any input would be appreciated.

[Jonathan315]

Hi Nancy,

I definitely agree these new ordinances are coming directly because of management companies getting upset.  And we have heard way too many horror stories from other Airbnbers around Big Bear to ever use a management company on the hill.  Many of them take over 30%, the cleaning is always done by different people so you don't know the standard of cleaning that will happen and different cleaners each time means its very hard for new people to know if things go missing/how to take care of the quirks of the house (that most cabins in the area tend to come with).  In one instance, employees of these companies using places to throw parties as well...

We found a great husband/wife cleaning team that also takes care of handyman services. They have been very helpful in making us successful in our first year. But they have reservations, and rightly so, about being our 24/7 emergency contact for the city as well as the in-person checkin for us as this is not what they were hired to do.  And the forms they have to sign and notarize for the city are a little intense to say the least.

Anyway... very cool that you're thinking of getting a place up there!  We love ours both for a rental investment as well as a place to escape the city throughout the year.  Our place is nothing too fancy; we bought it knowing it needed some work, which we put in to be able to have it be rental ready.  As for amenities, there are definitely a handful of them people seem to look for up there: view, hot tub, game room, location, sleeping arrangements.  And there's really no right answer in what to have at your place.  We can sleep eight people, so most of our bookings come from groups of 6-8.  But there are plently of bigger groups than that looking to book places, so it kind of comes down to the size of place your comfortable with -- budgetwise etc.  We don't have a hot tub, but we do have a really nice view and a game room with pingpong/foosball.  We went a little above the budget we were looking for to purchase this place mainly because the view was really nice, and we've had many of our bookings choose us based off our pics of the view (slope and lake view) from the deck. We're a few minutes from Bear Mountain, which helps in ski season. And 10-15 minutes from the downtown village area.  Someone told us before we purchased that around 70% of bookings would happen in the winter/ski season and 30% throughout the rest of the year, which we found pretty accurate after doing this a year up there.  You can charge a bit more through ski season to help offset costs in the slower months.  We didn't quite break even this year probably do to start up costs and some repairs.  But it sounds like you're doing your research, so you probably know about the business license/inspection fees etc. for the area as well as the city tax taken from rentals.  I think my biggest piece of advice would be to try and purchase something with a bit of a wow factor, whether it be a great view, access to the forest for hiking, deck with a spa on it, etc. so your listing sticks out.  As you probably know, there are a ton of rentals throughout the city and surrounding area!  Hope this has helped. Good luck!

[Nancy353]

Hi Jonathan, 

All of that advice is invaluable! And much of it lines up with what I have already learned from hosting in L.A. (i.e. the "wow" factor and photos that show the wow factor).

I have been looking to buy in Moonridge (sounds like you are there or in Fox Farm?) at smaller places, just because I probably won't qualify on my own for the big ones, preferably near the slopes. My plan for having someone available 24/7 (per the ordinance) was to put out a call for Airbnb co-host bids once I have an address. I read on another forum that co-hosts charge beteen 7.5% and 40% depending on what responsibilities they take on. Perhaps for a minimal percentage or fee you can find someone who will just fulfill the parts of the ordinance that your cleaning couple can't.

I also hope to find housecleaners and repair people I can rely on and hire directly. No pressure but if you want to share the names and contact of your cleaning couple, I'm all ears (though I think Airbnb may block phone numbers or email addresses on this forum). One question: Are you able to get the full cleaning fee from the renters? I know the management companies don't cover for cleaning for their 30%; they charge cleaning to the guests. But here in the SFV, it's so competetive that I can only charge a fraction of what it actually costs to have someone clean the room and bath if I can't do it myself.

I'm a little concerned about this new tax bill. It sounds like it will eliminate the mortgage deduction for second homes.

Thanks for your quick and thorough response to my questions.

Best, 

Nancy

[Didi400]

Hi Nancy,

i just came across these posts. And it peeked my interest. 

My husband and I just started our Airbnb in the lower Moonridge area. 

We have 2 homes on 1 lot. We live in one of them. I’ve always considered that a co-hosting position might be ideal for me and the Out of town hosts. 

I also bartend in town so  I hear horror stories from customers complaining about the local management companies here in Big bear. 

I’m thinking, why not help another host out without charging the ridiculous 30-35% . That’s CRAZY! 

But I would be great at being the local contact and 24hr emergency person. Also, I think checking on cabins after the clean is necessary too. 

Just an idea. 

Best 

didi 

[Jonathan1707]

Hi Didi, did you end up offering this service? I’m about to close on a home near Snow Summit and potentially interested. 

[Crystal238]

Hi Jonathan,

do you recommend a co host or have an other solution for this? If so please share. 

[Mark628]

Hello,

I am not a Airbnb host, rather I am a long-term renter who has a different perspective on this issue.

Many of the resort communities around the country are increasingly unable to provide an adequate amount of long-term rental housing for the required workforce that makes the resort area function. Part of this lack of housing has been blamed on the steady turnover of once long-term units to Airbnb units.  Not the only reason, of course, but part of the situation.

It is obvious to all involved that you can make more money, with fewer headaches, going to AirBnb instead of the long-term rental approach. But if there are not enough rental units for the cooks. servers, maids etc.....the result is people sleeping in their cars in parking lots or living in tent camps ( re: Jackson Hole).  As a seasonal worker I assure you that affordable housing is the #1 issue in all resorts. 

The point is that these efforts to push back against AirBnb and the changes it has brought, very quickly, to resort housing options will continue. I do not see an easy solution. You have the right to do what you want with your place. But as an aggregate change, it's killing the very structure that makes your AirBnb rental so desirable.

Thats my 2 cents worth,

Mark Otte 

[Edwin57]

It takes one to mess things up the city said its for our safety but when we need help they tell us the city is not there problem now if we pay them the city they would look the other way it's faire no way are they right who knows all they want is our pockets and everything els to be in there pockets so what can we do is for Airbnb work with us and us work with them is hard nothing is easy 

[Susan418]

We need to take a stand against this! It doesn’t matter if the big boys are doing a great job or not. We are a “free enterprise” nation (last time I checked,) and need to stand up for our rights!!! Grrrr!

[Robb6]

Hey, just reviving this post, curious how things have worked out for you Jonathan315 and nancy353? 

 I too have a place in moonridge that I have been renting on airbnb and having moderate success managing it on my own.

[Nancy353]

Working great for me. All I do is communicate with the guests. Housekeeper in BBL is more reliable than the ones I've used for my Airbnb room here in LA.