Community Perks with The STR Report

🏠 Top-Tier Property Management – Lower fees, higher payouts, and premium service. Built for investors who want performance and peace of mind. See how much more your property could earn—click to get your free performance assessment.

🔎 Personal Airbnb Investment Finder – Connect with an expert to handpick profitable Airbnb properties that match your criteria. With 213+ successful deals, all cash-flowing, you’re in good hands. Take 15 seconds to fill out the form to see how all of these properties are experiencing a 10-15% Cash-on-Cash return.

🤑 STR Loans & More – Need funding for your next short-term rental? Expect expert guidance, personalized service, and the best possible rates.

October 27th, 2025

Good evening STR Report Community!

In today’s issue, you will find:

📱Today’s Article: 🏠 How to Handle Taxation for Short-Term Rentals

📈 Trending Market Highlight: Rehoboth Beach, Delaware and Cape May, New Jersey

✉️ STR News: Marriott Bonvoy reveals 2026 travel trends

💸 Mortgage Rate Watch

🌳 Unique Airbnb of the Week

🏫 Subscriber Perks: Go Live Playbook, including: Beginner’s Guide E-Book, Guest Communication Messaging Templates, Airbnb Welcome Guide Template, STR Buy Box Template, & Tax Savings E-Book

✅ Community Perks: Top-Tier Property Management, Personal Airbnb Investment Finder, and STR Loans & More

📬 See our collection of newsletters here: Prior Newsletters

🏠 How to Handle Taxation for Short-Term Rentals

The rise of short-term rentals through platforms like Airbnb and Vrbo has turned many property owners into part-time landlords. While the extra income is appealing, understanding how that income is taxed is essential to avoiding costly mistakes.

💡 Know When Your Rental Income Is Taxable

If you rent your property for 14 days or fewer per year, that income is tax-free—no need to report it.
Once you exceed that limit, however, all rental income must be reported to the IRS. Keep meticulous records of your earnings and related expenses from the start.

🏡 Separate Personal and Rental Use

If your property doubles as both your home and a rental, you’ll need to allocate expenses based on how often it’s used personally versus rented out.
For example, if it’s rented 25% of the year, only 25% of your expenses—like mortgage interest, insurance, or utilities—can be deducted.

🧾 Take Advantage of Deductible Expenses

Running a short-term rental comes with plenty of deductible costs. Common examples include:

• Cleaning services and supplies

• Maintenance and repairs

• Platform and transaction fees

• Furniture, décor, and linens

• Utilities, insurance, and property taxes

If you provide extra guest services (like meals or daily cleaning), your income may be treated as self-employment, making you liable for self-employment tax—but it also opens more deduction opportunities.

🌆 Don’t Forget Local and Occupancy Taxes

Many states and cities impose occupancy or lodging taxes on short-term stays.
Sometimes, Airbnb or Vrbo collect these automatically—but not everywhere. Always confirm your local requirements so you’re not surprised later by unpaid taxes or penalties.

👩‍💼 Consider Professional Help

If you manage multiple listings or operate in different states, consulting a tax professional can pay for itself. They can help you:

• Optimize your deductions

• Avoid misclassification errors

• Stay compliant with both state and federal laws

✅ Final Takeaway

Short-term rental taxes don’t have to be intimidating—just intentional.
Stay organized, document everything, and know when to call in a pro. With the right strategy, you can enjoy your rental income without IRS headaches.

Rehoboth Beach, Delaware⛱️

Downloadable Rehoboth Beach, Delaware Short-Term Rental Market Report

• Average Daily Rate (ADR): $529 per night

• Occupancy Rate: 48.03%

• Annual Revenue Potential: Around $79,395 per year

Read our full Rehoboth Beach, Delaware Short-Term Rental Market Report attached above.

Cape May, New Jersey 🐚

Downloadable Cape May, New Jersey Short-Term Rental Market Report

• Average Daily Rate (ADR): $506 per night

• Occupancy Rate: 48.31%

• Annual Revenue Potential: Around $84,861 per year

Read our full Cape May, New Jersey Short-Term Rental Market Report attached above.

📬 See our collection of 120+ market reports here: Prior Trending Market Reports

🏡 Marriott Bonvoy reveals 2026 travel trends
Marriott Bonvoy has released new research revealing that British travellers are planning to take more holidays in 2026, with artificial intelligence, passion-led travel and “lux-scaping” emerging as defining trends for the year ahead.

🏕️Unyoked partners with Forestry England to launch off-grid cabins
Off-grid accommodation company Unyoked announced a 10-year partnership with Forestry England to roll out its minimalist cabins across woodland sites nationwide, marking a significant expansion of nature-based short-term rentals in the UK.

💸Mortgage Rate Watch – October 27th, 2025

Current Mortgage Rates (as of October 27, 2025):

• 30-Year Fixed: 6.19% (+0.01%)

• 15-Year Fixed: 5.76% (+0.02%)

• 30-Year Jumbo: 6.14% (+0.04%)

• 30-Year FHA: 5.95% (+0.04%)

• 30-Year VA: 5.97% (+0.04%)

• 7/6 SOFR ARM: 5.85% (+0.03%)

Market Overview: Mortgage rates remain near long-term lows today, with the 30-year fixed rate at 6.19%—maintaining one of the best levels seen in over a year. The market is largely quiet with bond yields holding steady, and lenders appear content staying in range rather than making aggressive moves.

Rate Trends & Forecast:

• Short-Term: Rates are expected to stay in a tight band unless a surprise in inflation, employment or fiscal policy shifts market sentiment.

• Long-Term: With inflation showing signs of moderation and Treasury yields relatively flat, modest further declines are possible—but significant drops are unlikely without major economic or policy changes.

  For real-time mortgage rate updates, visit Mortgage News Daily.

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How about staying in a skyscraper treehouse? 🌳

Perched 50 feet high in the treetops of the Eastern Continental Divide, the Raven Rock Treehouse isn’t just a stay—it’s an experience. 🌲✨ Climb the spiral staircase into a world of tranquility where panoramic forest views, birdsong, and crisp mountain air replace your daily noise. This off-grid escape combines rugged adventure with cozy comfort—complete with a queen bed, wood-burning stove, and a covered outdoor kitchenette. Unplug, unwind, and reconnect with nature while still enjoying the essentials powered by solar energy. As night falls, relax under a canopy of stars from your private deck—your own piece of wilderness magic. For those who crave seclusion without sacrificing soul, this hidden haven in North Carolina is calling. Don’t just visit the mountains—live among them. 🌌

Subscriber Perks:

📖🏡💰 Go Live Playbook

The "Go Live Playbook" is your all-in-one guide featuring a beginner’s guide e-book, messaging templates, Airbnb welcome book, STR buy box template, and tax savings tips to kickstart your short-term rental success.

Community Perks with The STR Report

🏠 Top-Tier Property Management – Lower fees, higher payouts, and premium service. Built for investors who want performance and peace of mind. See how much more your property could earn—click to get your free performance assessment.

🔎 Personal Airbnb Investment Finder – Connect with an expert to handpick profitable Airbnb properties that match your criteria. With 213+ successful deals, all cash-flowing, you’re in good hands. Take 15 seconds to fill out the form to see how all of these properties are experiencing a 10-15% Cash-on-Cash return.

🤑 STR Loans & More – Need funding for your next short-term rental? Expect expert guidance, personalized service, and the best possible rates.

Partner with Us!

If you have a project you’d like us to promote, or a product or service you’d like to share, please reach out to us at [email protected].

We appreciate you being a part of our STR community and for sharing our group with your business partners and associates. Thank you!