hosting a family member's home

[Debbie217]

I am currently a super host and want to add my daughter's home as a listing under my account. I understand that the revenue (1099) will be mine to claim on my tax return. Will I be able to claim the mortgage interest and taxes as an expense (even though my name is not on the deed)?  This listing will only be for one year.  Any guidance on how to do this is appreciated. 

[Lorna170]

@Debbie217  This is a question for your accountant.  

[Debbie217]

Yes I understand that and plan on asking but was seeing if someone on here may know 

[Helen3]

Your daughter needs to set up the listing under her profile (you can help her) and add you as the cohost. 

She would then be able to claim expenses against taxes due (her accountant or her tax office will advise) and you will only be liable for tax on the cohost fee. 

im a little confused as to why you think you would be able to claim mortgage interest as an expense on a property you don't own @Debbie217 

[Debbie217]

I spoke to my accountant and here is what she suggested. I list her property under my account then pay her the proceeds each month. At the end of the year I would issue her a 1099 for rent of her house.  This is what we hoped for. She will then be able to claim her mortgage as an expense (to the income she receives from me). I am not making any money, just trying to help her earn some money for a year while she stays at my home. 

[Joan2709]

@Debbie217 

I'm not an accountant...

However, this seems unnecessarily complicated. Ultimately, your family member who actually owns the property will have to report the income either by properly setting up the Airbnb listing under their name with you as Co Host, or by what you are proposing and reporting the income to her on a 1099? As the owner of the property, she would always be able to deduct mortgage expense.

It would be less complicated if you simply help her set the account up with her as owner and she can invite you as a Co Host. Then you can be named as "Primary Host" as far as guests are concerned and you would handle all the day to day functions of the listing. 

Owner vs Co Host vs Primary Host

https://www.airbnb.com/help/article/1536#section-heading-2-0

[Helen3]

I agree this is what I already suggested to @Debbie217 in my earlier post 

[Debbie217]

The reason for doing it the way I plan on is to ride the coat tails of my super host status. Her short time doing it is not worth opening her own account when I can just add a listing. Thanks for your opinions 

[Joan2709 · Accepted solution]

@Debbie217 

That is something to consider for sure...

I suggest my Host clients accomplish what you are trying to do in a simpler way. Just setup under your daughter's name. She invites you to be a full access Co Host. Then you can be named as "Primary Host" and your Superhost badge will appear as "Host" to guests (your daughter still shows as Owner on the profile). She will also appear as "Co Host to guests only on the listing. Simplifies the accounting and the listing will show you has "Host" with "Superhost" on the thumbnail and the Superhost badge on your profile photo. Technicalloy, your daughter remains as the owner on the account for tax purposes. 

Primary Host vs Co Host vs Owner

https://www.airbnb.com/help/article/1536#section-heading-2-0

These days Airbnb seems to have removed the emphasis on Superhost and seems to be putting the emphasis on "Guest Favorite" instead. Guests can no longer search for Superhost listings using a filter for that and can only filter searches using Guest Favorite. 

As you know, the new listing will be boosted for 8-10weeks by Airbnb and it really helps the success of the listing to get 5 stays (with 5-star reviews) quickly to qualify for Guest Favorite. There are alot more bells & whistles for Guest Favorite on the listing and you will only see the Superhost badge on your photo and a barely discernable, dark "Superhost" on the listing thumbnail. 

SuperHost vs Guest Favorite

Guest Favorite

[Debbie217]

This option is definitely worth considering.  Thank you so much for the thorough explanation!