Guide to Renting Out Space for Republican National Convention

With Cleveland hosting the Republican National Convention this summer, July 18-21, people from outside the city are searching for a place to stay. One of the easiest methods may be just a click-away with website Airbnb, who helps people with extra space connect with potential guests — and their money.

The website offers benefits for travelers to Cleveland and residents looking to gain from the coming influx of convention attendees. There are, however, a few things potential hosts should know.

How much can I make?

While pricing varies based on the length of a guest’s stay, as of March the current average price on Airbnb for 1-2 guests during the RNC is $773 per night and $1099 per night for 3-4 guests.

Will I be taxed?

If you are a homeowner renting out your residence for 15 days or fewer during the calendar year, the rent received is “not reported as income on his or her tax return,” according to Crain’s Cleveland Business. This is good news since the convention is slated to run less than a week. If you plan on renting out five or more spaces, your house suddenly becomes your hotel — and those fees are taxable. Renters in Cuyahoga Valley, however, are subject to a 5.5 percent bed tax that the owner must collect and pass along to the tax authority regardless of how many guests and how long they stay.

What are the liabilities?

Hosting guests in your living area is also subject to a few liabilities. The site offers a form of coverage called Host Protection Insurance for some of this.

According to Airbnb, it “provides primary liability coverage for up to $1 million per occurrence in the event of third party claims of bodily injury or property damage.” This offers help for landlords and homeowners associations who have claims brought against them by guests claiming injury on property or if damage is made to the building. Also offered are security deposits that can apply for things like broken windows, unreturned keys, or spillage on rugs and upholstery. A host is given 48 hours after their guest departs to make a claim.

Is everything covered?

This coverage will not help in cases of liability regarding intentional acts (such as assault), loss of earnings, or contaminable things such as bacteria, fungi, and communicable diseases.

Do I need a license?

Only if a business is made of it. Obtaining a license is mandated by the city for any business, as well as registering with the Ohio Secretary of State. Renting out property is considered a business when it is done continuously and systematically, otherwise it is considered an investment.

Have more questions?

If you find yourself with any other concerns about hosting and renting your apartment, you can always contact the Cleveland City Planning Commission and Cleveland Department of Building and Housing.

Hosting someone can be a good way to make money off a crowded situation, and many in Cleveland this July can profit from the RNC whether Republican or Democrat. Keeping the above in mind, you can devise your own conventional solution.