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Updated about 11 years ago,
How will lender regard my airbnb/corporate housing cash flows?
Hi, I wonder how holding an airbnb/short-term corporate housing property will impact my ability to secure conventional loans for future investment properties.
I am about to list my apartment on airbnb, which basically provides short-term housing similar to a hotel. There will be no leases involved, just confirmations from the website I believe. I understand that airbnb will also issue a tax form at the end of the year to me, based on the reservations booked on the website. I do not know how often the property will be vacant, but the property is in a popular neighborhood in Washington DC near metros and Amtrak.
I intend to buy more investment properties soon, and I wonder how a bank will regard this airbnb asset that I will hold? What sort of documentation can I generate to help tell its story, or am I only going to have to rely on the yearly tax statements from airbnb? Or will this move make me seek other funding sources?