Expert Tips and Tricks for Vacation Rental Homeowners from
the founders of Rentors.org:

http://www.greatrentals.com/
http://www.vrbo.com/
http://www.a1vacations.com/
http://www.cyberrentals.com/

This newsletter is emailed every 8 weeks to owners of
vacation rental homes who have registered for a free
Universal Availability Calendar and/or Guest Book at:

http://www.rentors.org/

-- # Members: 44,450
-- # Calendars: 55,850
-- # Guestbooks: 21,156

In this issue:

1 - Please Update Your Calendar and Guest Book Today
2 - Two New Books About Buying Second Homes
3 - Why Availability Calendars Are a Good Idea
4 - The "Nigerian Scam" Takes a European Twist
5 - Vacation-Rental Tax Considerations
6 - Get a King-Size Bed-Or Create One
7 - Collecting and Paying Sales Tax
8 - Classified Ads
9 - More Vacation Rental Tips
10 - Rentors.org Sponsors Information
11 - Please Refer a Friend to Rentors.org
12 - How to Cancel This Newsletter

====================================================
1 - Please Update Your Calendar and Guest Book Today
====================================================

Your self-service Universal Availability Calendar at
Rentors.org has no value if it isn't kept up-to-date. Please
follow the link below to login to Rentors.org and update
your vacation rental calendar today.

Rentors Login: http://www.rentors.org/login.cfm

If you can't recall your Rentors.org password, check the
bottom-left text in the yellow box at the login screen.

While you're there, be sure to set up a vacation rental
Guest Book. Renter comments in guest books add credibility
to your vacation rental and help you to stand out from your
competitors.

And remember: As the owner, you can type in the comments
made by guests in your paper guest book (or sent to you via
email). You don't have to rely on former guests to key in
their own comments, although they can do so online if they
want to.

============================================
2 -- Two New Books About Buying Second Homes
============================================

In the past 12 months, two books have appeared that merit
the attention of anyone who owns a second home or is
thinking about buying one:

*How a Second Home Can be Your Best Investment* by Tom Kelly
and John Tuccillo (McGraw-Hill, 2004).

Written by the former real estate columnist for the *Seattle
Times* (Kelly) and the former chief economist for the
National Association of Realtors (Tuccillo), this book shows
you how to use the equity in your current home as a down
payment on a second home--and how to get other people to pay
the mortgage. The authors explain how to calculate what you
can afford, choose a community, get the best financing,
understand and profit from tax laws, and manage your second
home as a rental.

*Are You Missing the Real Estate Boom?: Why Home Values and
Other Real Estate Investments Will Climb through the End of
the Decade--and How to Profit from Them* by David Lereah
(Doubleday, 2005).

Lereah is the current chief economist for the National
Association of Realtors. He calls today's market a "once-in-
every-other generation opportunity." According to the book's
blurb, today's boom is not driven just by low interest
rates. There are a host of demographic and economic reasons
why real estate will continue to outpace other investments,
from the growing needs of the Baby Boomer generation and the
rise of the "echo" boomer generation to the new ways real
estate is marketed and sold.

Our one quibble with the Lereah book is the author's
insistence that "If you are planning to actively rent your
vacation home, you have little choice but to hire a
professional property management company." We should send
him copies of the Glossbrenners' *How to Make Your Vacation
Property Work for You* and Christine Karpinski's *How to
Rent Vacation Properties By Owner*!

-- Jan and Pat VanVoorhis, Great Rentals

===============================================
3 -- Why Availability Calendars Are a Good Idea
===============================================

The four companies that created Rentors.org and sponsor this
newsletter make it easy for vacation rental homeowners to
include an availability calendar in their online property
listings. Because your availability calendar actually
"lives" at Rentors.org, you only need to update it there, as
opposed to logging on to every site where you advertise your
property.

Seems like a good thing. And it is. But some property owners
question the very notion of including an availability
calendar in their listings.

The argument is: "I want interested renters to contact me.
Period. If I'm booked for the time period they want, I'd
like to have the chance to sell them on some other dates
when I'm not booked (or direct them to some other property
that I own). I might also want to add the names to my
rental-prospects database."

That's a legitimate argument. But notice how many times the
word "I" appears here. The first rule of successful sales is
"Avoid the 'I/me' approach and take the 'you' approach
instead." For example: What do you, the customer, want or
need? How can I make your life easier? How can my rental
property best meet your needs?

Imagine that you're a time-strapped executive planning a
vacation for your family of four. You look at a listing with
great photos and a great description, but no calendar. You
might very well say to yourself, "I don't have time for
this," and move on to listings that do include an
availability calendar.

The fact is, given the sophistication and demeanor of
today's vacation rental "shopper," many people won't even
bother to contact you if you don't have an availability
calendar included as part of your listing.

When you search for a vacation rental, wouldn't you be more
inclined to go with the property owned by someone who did
you the courtesy of telling you when it was booked and when
it was available? The "you approach" beats the "I/me
approach" every time.

-- Dave and Lynn Clouse, Vacation Rentals by Owner

===============================================
4 -- The "Nigerian Scam" Takes a European Twist
===============================================

In a previous issue, this newsletter alerted readers to the
vacation-rental variation of the notorious "Nigerian Scam."
Since then, the scammers have become even more
sophisticated. The thieves may not necessarily be from
Nigeria, though income from the Nigerian scam in all its
forms reportedly makes it the fourth largest "industry" in
that country.

Also known as "advance fee fraud," the scam begins when the
thief inquires about renting your property, usually for two
or more weeks. That boosts the amount of money involved,
which is calculated to make you reluctant to turn down the
booking.

The person insists on paying by check or money order and
then sends you what looks like a legitimate payment (a
realistic-looking, but bogus, certified bank check, for
example) for substantially more than the quoted rate. The
explanations vary. ("I miscalculated the exchange rate." "My
boss is paying for the trip and she mistakenly wrote the
check for the wrong amount.") You're asked to refund the
overpayment quickly by processing a wire transfer -- with
your own real cash.

The thief relies on the difference between the number of
days required to clear a paper check or money order from a
foreign country and the mere seconds required to wire money
to a Western Union office anywhere in the world.

Recently, the scammers have become more sophisticated by
adding a European twist. They may claim to be an Oxford
professor or a Norwegian model. And they've brushed up their
English. One recent letter, supposedly from an Englishman,
used phrases like "in response to your advert" and "I am
being posted to your area," for example.

Unfortunately for the scammer, this was followed by, "I will
like to rent your Home for the period of 2 Weeks that I will
be staying in the U.S." Then he concluded with, "Pls do let
me know if you will accept a check as payment because that
is the only means of payment my company will provide. I will
be waiting for your response on this. Hope to hear from you
in earnest." Doesn't quite ring true for someone claiming to
be an Englishman.

Another scam letter making the rounds begins, "My name is
Diane White and I am a female model from Ireland." (Why
would an Irish woman named Diane think that she needs to
tell you she's a "female" model?)

One way to avoid being taken, of course, is to refuse to
accept any check or money order for more than the agreed
upon rental charges. Just send it back and ask for a new
check in the correct amount. If the prospective renter is a
scammer, you'll never hear from the person again.

An even better way is to adopt a firm policy of accepting
only major credit cards for payment. With credit cards,
there can be no "accidental overpayment" because you're in
complete control of the amount charged to the card.

If you're not currently set up to accept credits cards, take
a look at the Rentors.org Credit Card Acceptance Program
that's specifically designed for vacation-rental owners (see
http://www.rentors.org/cc.cfm).

-- Brian and Lisa Raub, A1 Vacation Rentals

=======================================
5 -- Vacation-Rental Tax Considerations
=======================================

With April 15 approaching, it's a good time to think about
taxes, particularly the taxes you may owe on your vacation
rental property. If you don't already have one, your first
step should be to hire a good accountant or CPA who is
thoroughly familiar with both federal and state law as it
applies to second homes. That can cost as much as $150/hour
or more. But it is well worth it. Don't try to do it
yourself.

The IRS takes a particular interest in second-home income
and deductions because there is a lot of opportunity for
abuse. Property management companies typically report
homeowner's rental income to the IRS by filing Form 1099,
the form for reporting miscellaneous income. But if you rent
the property yourself, there is no way for the IRS to easily
track rental income.

Consequently, if you're ever audited, expect your rentals to
be closely scrutinized. Hiring a competent professional to
prepare your taxes won't prevent an audit, but it will help
you to avoid making a mistake due to ignorance of the law.

Here are some basics you need to understand regarding taxes
and second homes:

For tax purposes, the key question is this: Is it a second
home or is it an investment property?

If it's a second home, you may deduct mortgage interest but
not maintenance and other expenses. You may also keep 14
days of rental income, tax-free.

If it's an investment property, all income is taxable and
most expenses, including depreciation, are deductible.

The defining test is essentially the number of days you, the
owner, occupy the home for pleasure each year. If you occupy
the property for more than 14 days a year--or for more than
10 percent of the days you rent it out to others--it's a
second home. If you use your second home for less than that,
it's an investment property.

That sounds simple enough. But it's actually only the
beginning of the complexity. For example, what about the
days you spend at your property doing maintenance and
renovation work? Do they count toward the 14- day/10 percent
test? (Probably not.) How do you handle the "Getaway
Weekend" you donated to your church's charity auction? And
what happens if your place qualifies as an investment
property but it runs a loss?

You'll find some of the answers in IRS Publication 527,
"Residential Rental Property (Including Rental of Vacation
Homes)." You can download a copy from the IRS website
(www.irs.gov/formspubs) or call 800-829-3676 to request the
printed version. It won't take the place of hiring a tax
advisor, but it might shave an hour or so off the $150-per-
hour bill.

-- Hunter Melville and Dave Bollinger, CyberRentals

=======================================
6 -- Get a King-Size Bed--Or Create One
=======================================

The first time we experienced a king-size bed was about 30
years ago at the Hotel Bethlehem in Bethlehem, Pennsylvania.
The hotel catered to executives and customers of Bethlehem
Steel, and it was considered the height of luxury--not only
did you get a single fresh red rose on your table in the
dining room at breakfast, each table had its own highly
polished, old-fashioned toaster.

The Moravian sugar bread, made with mashed potatoes and
sporting finger-poked pockets of brown sugar and butter, was
divine. The king-size bed was not. It was comfortable
enough, but the two of us felt that on a mattress that
seemed to go on forever, we lost each other.

Bottom line: We're not big fans of king-size beds. But many
people looking for vacation rentals are. So much so that
we've actually lost bookings because we don't offer that
amenity. (We're not being stubborn. It's just that as it is
currently configured, our rental property doesn't have the
floor space or the maneuvering room to comfortably
accommodate a king- size bed.)

That's why we were intrigued to learn recently about a
product called Create-A-King. You may not know it, but a
king-size bed offers the same sleeping area as a pair of
twin beds. Create-A-King includes a strap to hold two twin
beds together and a "soft, poly sheepskin pad" to fill and
smooth over the space where the beds meet. JCPenney sells it
for $50. But if you do a Google search on "Create-A-King"
(or "Twin Doubler" as it's sometimes called), you'll find
stores selling it for as little as $34, plus shipping.

You'll have to invest in sets of king-size sheets and
bedspreads, of course. But then you'll be able to offer your
guests the option of having the bedroom set up with two twin
beds or a single king-size bed.

One word of warning, each sleeper might need a portable GPS
(Global Positioning System) device to find his or her
partner in the night. King-size beds really are that big.

-- Alfred and Emily Glossbrenner
FullyBookedRentals.com
http://www.rentors.org/redirect/glossbrenner.cfm

The Glossbrenners are vacation rental experts and best-
selling authors of *How to Make Your Vacation Property Work
for You: The Quick & Easy Guide to Advertising, Renting,
Managing, and Making Money from your Second Home.*

===================================
7 - Collecting and Paying Sales Tax
===================================

If you own a short-term rental, you are almost certainly
subject to sales, occupancy, and other taxes levied by your
state, county, township, city, or other governing body.
While renters pay these taxes as an add-on to the rental
cost, it's your responsibility to collect and remit them,
usually on a quarterly or monthly basis.

The trouble is, each taxing authority has different forms,
different requirements, and different due dates. Making a
mistake can cost you dearly in penalties and interest. (And
don't think that revenue- strapped governments aren't using
the Internet to identify owners of vacation rental property
who may owe back taxes.)

That's why Rentors.org has partnered with HotSpot
Management, a tax management service for vacation rental
homeowners and property managers. HotSpot takes care of
everything, charging $5 to $10 for each return it files on
your behalf, plus an annual $19.95 service fee. That means
that for about $80 to $120 a year, you will not only be in
full compliance, you will also make sure that you are
receiving all applicable rebates for timely filing.

If you mention Rentors.org and this article, HotSpot
Management will reduce your annual fee by 50% for the first
year. Call HotSpot at 877-589-0207 or see:

HotSpot Tax Info:
http://www.rentors.org/redirect/hotspot.cfm

==================
8 - Classified Ads
==================

Your classified ad can appear in the next issue of
Rentors.org News. Rates are $30/word (10-word minimum). URLs
count as 2 words. All caps are forbidden. Sorry, we do not
accept ads from vacation rental advertising services, and we
reserve the right to reject ads for any reason. Ads appear
in first- paid, first-listed order. Our next issue's payment
deadline is exactly 2 weeks from today. Contact:

admin@rentors.org

=============================
9 - More Vacation Rental Tips
=============================

If you would like to read more vacation rental tips, you can
refer to articles that were featured in previous issues of
this newsletter at:

http://www.rentors.org/archive/

====================================
10 - Rentors.org Sponsor Information
====================================

Rentors.org is sponsored by these experienced vacation
rental advertising services. As at least one authority has
said, "There are literally hundreds of vacation rental
advertising websites, but only four that really matter."
Those four are the founders of Rentors.org, and each will be
pleased to help you maximize the rental income your property
generates each year by advertising it on the Internet. All
charge a flat annual fee. There are no commissions or other
nonsense.

The Rentors.org Availability Calendar and Guest Book work on
all four sites, so you will have just one calendar and/or
Guest Book to maintain.

Great Rentals
Home: http://www.greatrentals.com/
Join:
http://www.greatrentals.com/adminpublic/members_area.cfm

VRBO - Vacation Rentals by Owner
Home: http://www.vrbo.com/
Join: http://www.vrbo.com/global/owner.htm

A1Vacations - A1 Vacation Rentals
Home: http://www.a1vacations.com/
Join: http://www.a1vacations.com/advertise/

CyberRentals
Home: http://www.cyberrentals.com/
Join: http://www.cyberrentals.com/signup.html

=========================================
11 - Please Refer a Friend to Rentors.org
=========================================

This "Tips for Vacation Rental Homeowners" newsletter was
emailed to members of Rentors.org -- which offers free
online availability calendars and guest books for vacation
rental property homeowners and property managers.

Please refer a friend to:

http://www.rentors.org/

==================
12 - How to Cancel
==================

To cancel your newsletter subscription, please log in to
your Rentors.org account and then select "Delete this
Account." Your free calendar(s) and guest book(s) will be
deleted, and you will no longer receive this newsletter.

==========================================================
Copyright (C) 2005 Rentors LLC, 95 Westlake Rd. Suite 205,
Hardy, VA 24101 USA Advertise: 540-375-3633
==========================================================

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