Build the budget that survives a year without rent.

Three buckets keep the decision honest

Acquisition and setup: cash to close, inspections, initial repairs, furnishing, equipment and opening supplies. Annual ownership: financing, taxes, insurance, association dues, utilities, ordinary upkeep, snow and any contracted oversight. Reserves: repairs, replacements, deductibles and cash for interruptions.

Use a quoted, documented or explicitly assumed value for each line. Blank means unknown, not zero. Ask how current taxes and any special assessments may change after the purchase.

• Record amount, monthly/annual basis, source, date and confidence.
• Ask whether a fee is fixed, per stay, per visit, seasonal or usage based.
• Separate cash flow from appreciation and tax outcomes; consult the relevant adviser.

Your worksheet

• Annual fixed ownership cost: ______.
• Expected maintenance and service costs: ______.
• Annual reserve contribution: ______.
• Total annual cash need before rental receipts: ______.
• Cash available after closing and setup: ______.
• Months of no-rent carrying capacity: ______.

Add rentals as a separate scenario

Potential guest nights equal the year less owner use, maintenance blocks and nights unavailable under applicable rules or operations. Occupancy assumptions apply to eligible available nights. They are not a prediction.

For each season, model booked nights and collected nightly amounts, then deduct platform/payment fees, taxes as applicable, cleaning, consumables, utilities and service costs without counting the same item twice. A guest cleaning charge and the invoice owed to the cleaner are separate entries; one is not guaranteed to cover the other.

Use the existing Deal Analyzer to explore assumptions, then reconcile any result with this full-cost worksheet. The tool's defaults are illustrations and do not establish market performance.

Insurance and association questions belong early

Tell the insurer exactly how the home will be occupied and rented, including periods when it is empty. Ask about freeze and water damage, wildfire, liability, deductibles, loss-of-rent provisions and any conditions for maintaining heat or inspections.

For associations, obtain current dues, budget, reserves, special assessments and master-policy responsibilities. A seller's historical bill is useful evidence, not a promise of your future cost.

Sources: NAIC — Insurance Coverage for Home-Sharing Rentals · Colorado DHSEM — Wildland Fire Insurance Preparedness