Air bed and board in San Diego

They just approved a short term rental ordinance for San Diego. It must be very profitable because the permit fees are so high. They charge $949 for a permit and 2.76% of the income to go into a fund for affordable housing. Two houses max, one in which you reside can be rented out for 120 days a year and another that can be rented out year round. You would have to get two permits to rents two houses.
Are they really that profitable?

So if you buy a rental property, you would be allowed to Airbnb year round? Seems a good deal.

In SD, which area is good for Airbnb?

It’s interesting that they limit the number of days for your own home, but no limit on rental property.

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How are they ensuring 2 rentals? Especially if you buy thme under a trust or something

2.76% of net income? Ie after deducting all expenses? Or gross revenue?

Must be 2.76% of the revenue. You can pass through to the guests and reduce your price by 2.76% to stay competitive

My vacation rental in Nevada is very profitable. 9 cap
But a lot of work. Going to 1031 into something that is less work. Vacation renters bitch all the time. You end up feeling like an employee of Vrbo or Airbnb. My wife likes doing it. I hate it. Ungrateful guests think they are staying in a hotel… give bad reviews instead treating me like a human being and calling me with complaints.
Totally not worth the aggravation…

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@BAGB Beach area properties are in the most demand.
@manch 2.76 of the gross

2.76 is cheap. South Lake Tahoe is 12% TOT.
Douglas county 14% TOT on gross receipts.

Just had a tenant call about the Internet connection. Just needed to unplug and restart. Did they really need to call me. Well as least they complemented me on the house.