EL PASO, Texas (KTSM) – Summer is in full swing, which means many families will be traveling and turning to Airbnbs as an alternative to hotels.
According to Airbnb, El Paso residents who rented out their homes or apartments through the service in 2018 earned a combined $3 million dollars in income.
The community of El Paso welcomed 35,000 guests at local Airbnbs last year as well.
According to the company, they have not impacted the hotel market negatively, but rather complemented it. The City of El Paso agrees.
“Short term rental of homes/rooms can provide extra income to a property owner which in turn can impact the El Paso economy,” said Bryan Crowe, the Director of Destination El Paso.
Currently, there are now more than 30,000 Texans who share their homes through the service.
The State of Texas started an agreement with the Texas Comptroller’s Offices that allows Airbnb to collect Texas State Occupancy Tax.
However, El Paso has not yet begun this collection. The city says they are still looking into Airbnb State Occupancy Taxes. However, some local Airbnb hosts fear it may cause them to raise prices.
“As long as it was benefiting El Paso, that would be fine,” Airbnb host Patricia Rockoff explained. “Airbnb already takes out a lot of fees, so we as owners might have to raise our prices.”
According to Airbnb, its hosts delivered $15.3 million in tax revenue to the state in the first year of the tax agreement and more than $24 million in the second year.