Renting out your apartment as a holiday home: Your step-by-step guide

A stylish, boho-style living room in a holiday apartment

In this article, you will learn...


  • how you can rent out your own apartment as a holiday apartment and which legal and tax aspects you should be aware of.
  • what requirements and permits you need to successfully rent out an apartment as a holiday apartment.
  • the advantages of having house rules for your holiday apartment or holiday house
  • tips on how to optimally prepare your holiday apartment for guests and turn your apartment into an attractive holiday home.

Have you thought about renting out your apartment as a holiday home? That's a great idea! More and more people are looking for individual holiday homes, and a well-maintained holiday apartment can offer you, the host, a lucrative source of income. At atraveo, newcomers to the holiday house industry are in good hands. We will support you with everything you need to know to successfully and securely rent out your apartment. We will also put your holiday apartment on all relevant portals so that it can be seen by numerous potential guests.

In this article, we will explain what you need to consider when renting out your apartment as a holiday apartment. There are a number of important legal, tax-related and practical aspects that you should clarify in advance.

Please note:
The rules vary depending on the country, city and district. Please inform yourself accordingly. 

A host welcomes a guest at the door of their holiday home

1. Important basics: What you need to know

Before you rent out your apartment as a holiday apartment, there are some basic things you should consider:

Authorisation requirement: In many cities and municipalities, you are required to officially register your holiday apartment and apply for a licence number. So check with the local authorities at an early stage whether a permit is required and apply for it before you start renting.

Tax aspects: In Germany, the income from holiday rentals must be declared as ‘income from rental and lease’ in your tax return. If you rent out the apartment regularly and under certain conditions, your rental could fall under ‘business enterprise’, so that a trade tax is due. If in doubt, consult your tax advisor and get advice tailored to your individual case.

Business registration: If you run several holiday apartments or rent out your apartment very often and generate a lot of income, registration as a business is definitely required. However, business registration is quick and easy. In many municipalities and communities, it can even be done online these days and costs between 30 and 50 euros (in Germany).

Visitor's tax and guest registration: In many regions and municipalities, there is also an obligation to collect a visitor's tax or a local tourism tax, which you have to pay to the city or municipality. This usually happens together with the transmission of guest data to the authorities, which you are also obliged to do. You can pass the fees on to the guests one-to-one and then only have to worry about paying them properly. Check with the local authorities to see if there is a general obligation to collect a visitor's tax and how high the fees are. You can then easily enter these costs as additional costs in the atraveo owner area so that guests are informed about them before their arrival.

A desk with a laptop, a calculator and a notebook in which something is writtenRegistration requirement: Even if you do not have to collect and pay a visitor's tax, as a host you are obliged under the Federal Registration Act (BMG) to record the data of your guests and to store it for at least one year after their departure. The data you are required to collect includes the following:

  • Full name
  • Date of birth
  • Address
  • Place of origin
  • Period of stay

In this context, please also note the provisions of the General Data Protection Regulation (GDPR), according to which this personal data must be stored securely and confidentially and must also be destroyed in a data protection-compliant manner after a certain period of time.

Insurance: Normal home contents insurance does not usually cover damage caused by holiday guests. Therefore, you should check whether you want to take out special landlord's liability insurance or insurance for holiday apartments.

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2. How can you rent out your apartment as a holiday apartment? Three specific cases

Depending on your situation, there are different requirements and procedures. We will explain how you can best rent out your apartment as a holiday apartment in three typical cases.

Case 1: You rented the apartment yourself

If you rent the apartment, you should first check your rental contract. Some contracts do not allow you to sublet an apartment. So, it is essential that you make sure that subletting is permitted in the contract and that you inform your host in good time. Also, don't forget to check the local regulations listed above regarding the registration / login of your holiday apartment. If your city or municipality requires a holiday apartment licence, you must apply for it, even if you are not the owner and are ‘only’ subletting the apartment.

Case 2: You own the apartment

If you own the apartment yourself, you are usually more flexible. Nevertheless, you should check the declaration of division of the community of owners, if available. In some cases, the commercial rental of holiday apartments may be prohibited in the community of owners. Clarify these points in advance to avoid later conflicts. Also, be transparent and inform the community of owners about your plans in good time.

Case 3: You want to rent out the apartment you live in temporarily

You would like to temporarily rent out your own apartment, whether you live there or own it? For example, because you are travelling for a longer period of time or moving elsewhere, but do not want to give notice or give up the apartment? Of course, this is also possible. In this case, in addition to the above information on rented and owner-occupied flats, make sure to remove or securely store your personal belongings, especially valuable or private items, from the apartment. Guests may feel uncomfortable staying in an apartment that is obviously still being used by someone else. A separate locked room for storing your belongings is ideal – or you can store them completely offsite. Also remember to inform your neighbours that you are temporarily renting out your apartment.

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Not yet registered as an owner with atraveo by e-domizil? Register now quickly and for free and increase your rental income in no time.

3. Further important tips for successful renting

Once all the formalities have been clarified, the exciting part begins! To successfully rent out your apartment as a holiday apartment, you should now pay particular attention to the following important aspects:

  • Optimal furnishings: Your holiday apartment should be well equipped and have all the necessary amenities to make your guests feel comfortable. Design the apartment so that it appears both functional and cosy. Here you will find tips for furnishing your holiday apartment.
  • Inviting description and good photos: An appealing and honest description of your home is crucial to attracting guests to your holiday home. Read our article about how to describe holiday homes. Good photos are just as important. Find out how to showcase your holiday home here.
  • First-class service: When you're ready to welcome your first guests, impress them with hospitality, transparency and service. We'll show you how to make check-in and check-out run smoothly, and how to surprise your guests in a positive way right at the beginning of their stay.

Furnishing4. Your next step

If you want to rent out your home as a holiday apartment, it is important that you get well informed and take all legal and practical aspects into account. At atraveo, we not only offer you a platform for renting out your holiday apartment, but also comprehensive advice and support. Just get in touch and we will help you to successfully rent out your apartment as a holiday apartment in a legally compliant manner. We look forward to hearing from you!

 

 

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