Have you ever considered renting out your home on Airbnb? Did you know that you can use the Homebot Airbnb interactive calculator to calculate potential earnings from renting out your home through Airbnb? Not only that, but you can see how that extra money can be applied to principal payments to reduce how long it will take to pay off your mortgage.

So you run the numbers in the Homebot interactive calculator, and weighed the pros and cons of applying that extra money to your mortgage and decided that it looks promising. What now?

Before figuring out potential earnings, homeowners need to make sure they have their assets covered. According to Airbnb’s website, there is significant coverage for those who decide to rent out their home or a room through their app. Reviewing and possibly updating homeowner’s insurance policies should be on your to-do list as well.

Homebot helps homeowners estimate what they could do with their extra money from Airbnb earnings and the Airbnb website helps potential hosts understand the value and potential earnings for a specific location.

To make the most of your income potential through Airbnb, homeowners have to make sure they make their space appealing and enjoyable. While this may take some investment, it can be well worth it since the value of a great review on Airbnb is high. BuzzFeed has some great tips on becoming a “superhost,” which means people are more likely to come back as well as increase potential income earnings.

Once you have completed all of that and are ready to get started, make some plans for your future earnings. Setting goals for this passive income is a way to ensure it will go to good use. According to NerdWallet, some great financial goals include setting up an emergency fund, paying off debts (mortgage!) and saving for retirement.

Keep in Mind–

You need a license to offer a short-term rental to guests in Denver. There are two types of licenses that apply to hosting on Airbnb:

1. Short-Term Rental business license
2. Lodging Facility business license

Both of these licenses are managed by the City and County of Denver.

Find out more on airbnb.com

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