Cabin vacation rentals can provide you an income when you’re not using your log home. You can help cover your cabin mortgage, pay for maintenance and upkeep, or simply put some money away by renting your cabin for parts of the year when you’re not using it. Rather than having your valuable cabin investment sit idle, you can recoup some of your expenses and know that your log home is being used and cared for.
Your cabin vacation rental could be part of your self-guided IRA, paid for with funds from your retirement account and with proceeds going back into your IRA to be protected from taxes until you retire and withdraw your funds. Just make sure that you install a good home security system.
Remember, when you plan to sell your log home you will owe no capital gains tax if you can claim it as your primary residence for at least 2 of the previous 5 years.
A great idea is to use a property management company who will handle the entire regular log cabin maintenance, cleaning and re-stocking and the rental paperwork. What does it cost? Depending on the types of services that are included in that fee structure, a typical range is 25-30%. If a property manager is charging in the 40-50% range that will generally include electricity and utility bills.
On the other hand, if a property manager is only charging in the 10-15% range they may not have enough funds to properly manage your property and market it effectively as well. Many places offer a maintenance and concierge service, where they will make two visits per month to check on your property, assess any repairs that need to be made and arrange for subcontractors or tradesmen if necessary.
Some people will use a property manager to handle bookings as well as repairs and maintenance, others will split those tasks between different agencies. A typical arrangement is to have an agreement that any repairs less than, say, $250 can just be taken care of by the maintenance company but for anything over that amount the owner must be contacted and give approval.
by Brandon and Heather Turner
by Robert S. Griswold
Typical property manager tasks for log home rentals include:
Entrusting your log home to a managed cabin vacation rental program can ensure that your valuable cabin property is cared for, maintained and provides a return on your investment.
Have you already got a log cabin that you would like to rent? List your cabin vacation rental on these sites and reach more renters:
Our link to Airbnb: LCC Airbnb link
When placing your log home into a managed cabin vacation rentals program, you will want to ensure that your log home insurance is up-to-date and able to deal with any rental-related issues. Give your agent a call to discuss exactly what would be required.