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Hosts with the most: How Airbnb is booming in Belgium

10:50 03/05/2016
One of the leading lights of the sharing economy, with bookings doubling in a year, property rental site Airbnb is gaining in popularity. We meet some local hosts and look at the financial implications

What does it take to become an Airbnb host in Belgium in 2016? With the authorities now clamping down on the home-sharing business – by demanding registration, licensing, deeds, contracts, extracts, abstracts, income tax – we talk to a few hosts about their experiences.

Jolanda van Beek, from the Netherlands and a Brussels resident for 27 years, has hosted for more than a year. She furnished an entire floor of her townhouse for short-term stays. “I used to travel a lot but don’t any more and this way I get to meet people,” she says. “We’ve had wonderful experiences. I’m always surprised by how clean guests leave the place.”

By her own admission, she may not be a typical host. Certainly her first hosting experience wasn’t. “I accidently published my Airbnb profile before I was ready. Five minutes later – bing! A Kazakh woman married to an Englishman living in Dubai wanted to rent for seven weeks, as she was coming to give birth here. We were still decorating when she arrived a few days later. We became like her aunt and uncle, and it was a really wonderful experience.”

Van Beek is one of the few people willing to talk about her business. “It’s because they’re afraid of waking up the government and paying tax,” she says. “I don’t mind talking to you; the money goes into my business, I report the revenue and pay taxes on it and charge 6% VAT. I think that’s where the government will go, imposing tax on all hosts. Government regulation would help renters avoid surprises and increase security for both parties. Besides, my main target groups are expats, business people, exhibitors and conference attendees, so they need an invoice for their expense reports.”

She says prospective hosts shouldn’t underestimate the work required to deliver a decent service. Quick replies are paramount, both to initial inquiries and the many questions posed before and after a reservation is made. Having a landlord who provides and collects the key in person is a plus for renters, and providing a good cleaning service is also important.

Cecile Berecz agrees. “It’s not about just throwing a mattress on the floor. It’s about anticipating the guest’s needs,” she says. Describing herself as Dutch, English, French and Israeli, she has rented out three floors of her house, with her landlord’s permission, for over a year and racked up a total of 150 guests, most of them tourists. “But ‘one’ guest usually means two or three people,” she points out. “It was easy to get started, and Airbnb itself helps you. The site is well designed, making it easy for the uninitiated, and the process is secure.”

She had first considered having tenants on long-term leases but decided to use Airbnb because it was more lucrative. “A bad tenant is a major headache,” she says. With Airbnb, a guest stays days or weeks, and if he’s troublesome you list a complaint on the site and it’s bye-bye. It’s a convenient way to avoid non-paying, noisy or problematic tenants.”

Not that she hasn’t had a problem or two, such as guests cooking meals on portable stoves in their rooms. But even these experiences she chalks up to the value of Airbnb. “It creates cultural encounters: people you never imagined meeting and who never imagined meeting you. Before Airbnb, you interacted with a hotel receptionist, then braved an impersonal city.” Airbnb makes travel more affordable, and better, according to Berecz. “Now you’re welcomed into the home of someone more knowledgeable than any guide.”

She attended an annual host convention in Paris last year, attended by thousands of people from all over the world, sharing their experiences and learning how to become better hosts. She’s also a member of a Brussels Airbnb host group.

“Everyone’s asking: When are we going to pay? The hosts I know want to pay taxes, but lawyers and banks give conflicting information because the Belgian authorities don’t know how to deal with Airbnb.”

Briton Ros Weemaels took advantage of retirement and a new home to launch an Airbnb venture in March this year. She and her Belgian husband have converted one wing of their Sterrebeek villa into a double/twin suite. She says that they are currently “testing the waters” with Airbnb but so far have been impressed by the organisation. “They have been very easy to deal with, excellent from A to Z,” she says.

But the regional authorities are trying to control the shared economy. Flanders and Wallonia are taking a different position than the Brussels-Capital Region. Although there are exceptions, the latter now requires hosts to register their dwelling and submit copies of the title deed, insurance contract, judicial record extract, fire safety certificate and floor plan. The conditions imposed may require the installation of a separate bathroom. Renters also require owner consent.

The majority of hosts simply let a spare room occasionally or their apartment while they’re away. A French host, who wishes to remain anonymous, rents his Brussels apartment when on holiday. He’s had no hassles and neither the government nor the taxman has come calling. “I called the commune two years ago to check the legal obligations and see if I should declare the income and was told, ‘It’s legal, do as you wish.’ Maybe that’s changed now, but I’ve received no notice.”

He is unlikely to receive notification, as it’s the host’s responsibility to notify the government, by registering and providing paperwork, declaring income. As one nervous host said, “This year I’m definitely going to start declaring.”

Landlord’s lowdown

To become a host, first check out the new Brussels law, Flemish law or the Walloon Tourism Code to see if your home requires registration and licensing. When converting your home, turn it into a place in which you yourself would stay. You will need to install a first aid kit, smoke detector and fire extinguisher and purchase the necessary liability insurance as either the owner or tenant – the Airbnb Host Guarantee replaces none of them.

To learn more about declaring income, contact the Belgian minister of finance’s call centre. Go to the Airbnb site to create a free online listing, post photos and set your criteria: price, availability, reservation requirements. You decide who stays: check prospective guests’ profiles and the reviews they’ve received from other hosts. Hosts pay a 3% service fee for each confirmed reservation. Need help? Airbnb provides 24-hour support.

www.ejustice.just.fgov.be
wallex.wallonie.be
www.vlaanderen.be
www.finances.belgium.be

This article first appeared in The Bulletin Newcomer - Spring 2016

Written by Lee Gillette