How to Save My Airbnb in Divorce – Buyout Options?

Question

Hey everyone,

I'm going through a divorce and trying to figure out the best way to keep my Airbnb property. My wife and I own it together, but i may be able to buy her out and keep it as a short-term rental without spending all my personal capital.

I’m looking for advice on financing options, buyout strategies, and any creative solutions others have used in similar situations. Has anyone gone through this before? What worked for you?

Appreciate any insights!

Thanks!

Jay Hurst · Answer

as mentioned the most common way is you do a cash out refinance to buy an ex out of a property. We do this all the time. It might mean giving up a lower rate but if you do not have the personal capital or do not want to part with it, it is the easiest way.

Tony Savage · Answer

Maybe your wife would be willing to take a lump sum based on the equity in the Air BnB. Afterwards set up a payment plan with her with a balloon payment in 3 to 5 years.

Devin Peterson · Answer

Refinance is one way to do it, if you want to avoid getting new debt because cash flow is high look into lease options to buy or executory contracts.

Ko Kashiwagi · Answer

If there's enough equity, you may be able to do a cash out refinance and use those cash proceeds to buy her out & change vested title in a LLC you only own.

Taylor Dasch · Answer

I think it depends on the other terms and obviously its negotiable. If it were me, I would pay her her half of the equity and do a refinance. Or if its not that much you could get some other type of loan and use a 2nd lien on the property as collateral. I think the most clean way would be to refinance her out of it.

How to Save My Airbnb in Divorce – Buyout Options?

How to Save My Airbnb in Divorce – Buyout Options?

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