How do you start a vacation rental business in 2027?

Honest 5/10 take. Startup costs: if you already own a property, $5K-$25K to furnish, photograph, and stock it (linens, kitchen, smart locks, basic decor, smoke/CO detectors). Buying a STR property is $200K-$800K+ depending on market, plus typically 20-25% down for non-owner-occupied financing. Closing costs add 2-5%. Licenses/zoning: this is the biggest risk in 2027. Many cities now require STR permits with caps, primary-residence rules, or have outright bans (NYC, parts of CA/CO/HI). Check local rules BEFORE you buy. Plus lodging/transient occupancy tax registration, business license, often HOA approval. Customer acquisition: list on Airbnb + Vrbo + Booking.com (multi-listing via channel manager). Direct booking site helps margins after year 1. Reviews compound; first 10 are critical for ranking. Revenue model: nightly rate * occupancy minus 15-25% in cleaning, platform fees, supplies, software. Dynamic pricing tools (PriceLabs, Wheelhouse, Beyond) help. Year 1: expect 50-65% occupancy in established markets, lower in new ones. Most hosts net 4-8% cash-on-cash on owned properties; many lose money year 1 once mortgage, taxes, insurance, and utilities are real. Regulation risk is real and getting worse.