Losing money on turo

I’m traveling three hours by train to get to the place to buy the car that will be my first step into hosting on Turo. Ryan M. Your GAP will not cover you if its on turo and turo also undervalued your car if its totaled so you will be under water kn your loan if it is totaled the first day. If you can handle all that stress, anxiety, and risk, then the ones that seem to do best are the shooters. In my area the Model 3 is going for $80-100 per day before Turo fees, I’ve figured if Turo is paying out 70% of the days rental that would be $56-$70 per day. when we rent a car in Turo from a person - that doesn’t involve the airport whatsoever. I bring in about $600 a month from hosting, which more or less covers the cost of my car. That’s an insanely risky business model. Feb 21, 2024 · 7. No replacement vehicle reimbursement during repair. Turo lets you cancel your rental up to 24 hours in advance with a full refund. Hey all. If rented 20 days out of 30 I’m cash flowing $320-$600 per month, I could go get another Tesla. It’s not affecting the airports whatsoever. 6 million from $469 million in 2021. The fairly new Cadillac CT5 and BMW Z4 could be attractive with guests for similar reasons. She takes approx 30% to manage, plus parking and cleaning. Jan 19, 2022 · They are the hosts whose accounts are being terminated by Turo. It seems like so many Turo hosts are not making any money. But it's really risky to allow strangers to spend $100+ just to joy ride a $30-50k car. Turo News Archive. 2. It’s greed. I have been working in the car rental space for over 5 years so when Turo came around I thought it would be a great opportunity to post some cars and make a little extra money and it was at first. So here’s how I make sure this isn’t a problem. com/hartrental May 12, 2021 · Advertisement. If not that another reason they lose money is because they are on a protection plan with a deductible anywhere from $250-2500 per claim then complain that the guest isn't paying their deductible for them. In my market most if not all cars are around the 100+ per day mark, and saw many that goes up to 3-400. A total of $1126. Rule #3, don't put a high end car over $40k as your 1st car. Jan 3, 2024 · According to Turo, owners of vehicles valued between $25,000 and $35,000 can make an estimated average of $10,516 (for one car) to $94,642 (for nine vehicles), not including vehicle maintenance According To Turo, Jeep Wranglers can pay for their monthly payment in just a week and make more than double the average price per rental making $851 a month. Turo, which is the largest peer-to-peer car sharing marketplace, says the average car listed on its platform earns $10,516 annually. They will send the repo order and your car and credit will be gone. I do maintenance on the cars myself mostly. Jun 6, 2024 · Unfortunately, Turo's research was cut short when he attempted to stop a territorial battle between the two Miraidon, defending the passive one and taking a mortal blow from the aggressive one. Doesn’t include loss of hosting income during repair. 86 in charges! On an app I didn’t even know existed! My banks told me to try and resolve the issue with the company to see if I could have them resolve this matter without my banks having to open a full scale investigation and Sep 21, 2023 · 👉🏼 Is TURO still worth it in 2023/2024??? 🤔📌 Turo is a peer to peer car sharing platform that allows you to rent out your vehicle to others people. I rent them in the summer, and sell them in the fall, typically to Jan 11, 2024 · 4. The loan is setup such that I can easily make the payments In many markets, model 3 are losing money. Minus tax, insurance, interest, etc. Please make sure you are not listing a financed car because there are no 3 strikes. Turo had impossible customer service and favors the host. The next step is to narrow down your search by price and distance from your location. Hello, Was on vacation using Turo and the transmission of the rental car (which was touted as an automatic) blew out and stranded me with several days left in my journey. Turo as a company is not profitable yet. Respond promptly to inquiries and complaints. That works out to me earning 35 cents per mile which means I lost about 9 cents for every mile driven when I take into account all my expenses. Jun 13, 2023 · In 2022, Turo’s revenue rose 59% to $746. Scaling your business and building a fleet containing multiple cars should be a part of your plan if you’re serious about making money on the platform. Predictions place Turo's current valuation at around $2. Is it possible to lose money as a Turo host? While Turo can be a profitable venture for many hosts, there is also a potential risk of losing money. You are taking on a lot of risk to rent with turo - that's why you make a profit if you do. 6 million, up 59% from the $469 million it brought into the business in 2021. 46, 12/04 for $197. They don't have the luxury of scale and multiple markets. They have to carry full coverage insurance because of there loan. My last Turo trip that I hosted as an example, someone took my car out for 4 days and I earned $190. $2,500 deductible2. Only invest money in the Turo IPO you can afford to lose. The host was confused why this happened as they said the vehicle was recently serviced and has an excellent rating. Car sharing is super expensive to do, that’s just reality. Cash in on the highest-risk, highest-earning plan. Well, you can do $600/month in a $3500 car so don't see the point in anything but cheaper cars. If the average annual income for a single car on Turo is $10,516, it’s $94,642 for nine cars. R8 V10 (K&N, Kline, VF ECU&TCU) Stablemates: 991. That's before maintenance. If its a lease they don't have to do the maintenance themselves so just normal wearable stuff, If Anything breaks while being rented out Turo picks up the bill as long as you document before and after. Earn 90% of the trip price. Turo is easy, I’ve definitely checked out craigslist and found some good cars 2009 suv good condition for like 2500 type deal with 100k but the income is good with minimal time spent. Ideally, you want a Turo car which retains its value over time, so you’ll recoup some money when it’s time to sell. You can not set a minimum age. Think DO NOT BUY A CAR TO RENT ON TURO RIGHT NOW! Unless you're comfortable with 200 miles/day, 1400 miles/week, and 6000 miles/month all while any over mileage fees will be less than 50 cents per mile (using your 2012 Jeep as an example if it were rented out for $100/day). You might think this is a simple basic car but people who just want to get from point A to B can help Fiesta owners earn an average of $497 a month. But that increase in revenue also came with higher spending, with operations and support expenses rising 92% I replied to another comment here, but after seeing 100 “not worth the investment” to 10 “worth the investment” I feel like I should chime in and state bluntly that we made like $50k in 2021 in Richmond renting cars on Turo. Am I eligible to receive loss of hosting income Eligibility US hosts Yoursquore eligible to receive loss of hosting income if you meetnbs In my market, it's really only in the summer that they get rented out on Turo. 00/mi over on a $20/day car? Head to the top of the page and click on the “List your Car” button. Black exterior, Grey cloth interior, CD player, Cold AC, Newer brakes, recently tuned up, aligned, two new tires, but all four have been mounted & balanced along with a fresh oil change to boot. You might be in the red if the rental income doesn’t offset depreciation and associated costs. 5 years now and usually the person saying "I didn't do it this is a scam" leaves out details when telling the story back. Jan 9, 2024 · Plenty of people have decided to get in on the Turo “side hustle” as a way to either straight up make money or to help finance their dream car. Nov 4, 2022 · Here I will show you how to make the MOST money on the Turo platform so you don’t lose money through the cracks! There are several things I wished I had known before starting from daily price, what liability insurance to choose, buying a new or used car for Turo, Turo Facebook group, charging guests for gas and late fees, achieving all-star host, extras, and so much more! Apr 19, 2024 · According to user data, you can generally expect to make somewhere in the range of $500–$1,000 per month for every vehicle you rent out on Turo. The mileage deduction is so big that it supersedes the rental revenue (negative profit by accounting). The model does depend on new blood and people being terrible at math and accounting. Great news for Turo hosts and car owners! We just launched a brand-new ROI Calculator. They pay the parking fees just nothing further. Turo pays 100% of eligible damage costs above the deductible2. I had rented a vintage Mercedes before and loved it and have had a dozen fine experiences but there is just too many variables in hosts to make it a consistently good experience and worth the money. I explain the best way to go about fixing it. They are probably on the 70 plan with turo. Turo is not a good faith company, be prepared to be ripped off and damage to your Tesla is when not if. Risk is that your car is totaled and then you are in a deep loss. The car started slipping gears a few Ones to which you have zero emotional attachment and that you’re not “underwater” on and don’t mind straight up losing one day and having your total loss claim denied by Turo because you screwed up a step. In 2021, he rented out five vehicles on the car-sharing app Turo to make additional income. Provide competitively priced Extras. However, the exact amount of money you can earn on Turo depends on the following factors: Plan type. My problem with Turo’s supposed earning potential Everywhere I look, there’s tall claims that people are making a killing on Turo. Apr 2, 2024 · Start this business with a car you ALREADY HAVE! - List it on Turo, get familiar with the business, put some systems and processes in place and then add more cars💰 - Cheap economy cars perform best on Turo due to fees, so no point in putting a luxury unit on Turo, you’ll end up losing money over the long term😅 - Luxury / exotic units are maximized best via private/ direct to customer Description. In your own financial analysis make sure you account for multiple scenarios and find out cash flow for multiple utilization levels. 7 billion, signaling a significant growth trajectory since its last valuation. Turo host and super dad Okey Obie discovered Turo when he was between jobs and now shares his car to cover his family's bills. GAP insurance will 99. Recently came across Turo and was thinking about purchasing a car to rent out. That logic doesn't make sense. Play this video. But I would limit cars to no more than 2 weeks because I often don't know what happens if a person uses over 2 weeks. Total depreciation is closely linked to mileage, so a one-year-old car with 100,000 miles is worth Aug 8, 2019 · Allow short duration trips. Remember that short trips can add up to big earnings in the long run. Turo was founded in 2010, so it’s promising that the brand is still doing so well after nearly a decade. Providing exceptional customer service. Turo car rental review from an experienced Host. ADMIN MOD. Dec 12, 2021 · 2. But if you want to keep your risks low and profits high, there Bring the car to me. As of September 30th, the company says it lost a cumulative $544 Mar 27, 2023 · Here are the broad strokes: In 2022, Turo’s revenues grew 59% to $746. Turo has nothing to do with your financing arrangement. Any equity in the car automatically defaults to the lender. •. Build a Fleet. This will give you an overview of all the cars currently listed for rent in your area. EDIT: I made a new post with an update. Factors such as vehicle damage, accidents, or breakdowns can result in repair costs and potential lost revenue while the vehicle is being repaired. Once you pick up The top-ranking Audi S5 Cabriolet is the sportier, convertible version of the two-door Audi A5 (the A5 Cabriolet ranks number six in this group), which surely draws guests looking for a posh top-down experience, without going overboard on the luxury. Last year Sep 8, 2023 · But if you have at least a three to five-year investment horizon and believe that Turo stock has the potential to keep growing, consider the investment against your specific investment objectives. Be the cheapest airport delivery in your area, if slow, do a free delivery for 7+ days. how long before the person who signs contract with her is losing money and needs to sell the cars. Feb 3, 2019 · There's a reason why exotic car rentals are so expensive, because they are. I intentionally offer unlimited miles so that people will use my car for longer trips. And that’s me being on the 30/70 plan. 2012 VW Passat. Turo is individuals with between one and a handful of cars, in one market. Turo gains more than the host. Earnings depend on vehicle type, rental frequency, and location. Dude I have a 2016 mustang convertible on turo… all rims scratched, condoms found in car, smoking fricking minor scratches and damages everywhere magically appear and oh they always hit the front lip… if you put it in turo it will make money but it will be destroyed This is a money-losing business. On a recent trip, I was in a As a Turo host, I In this heartfelt and candid video, I'm sharing my Turo journey and the reasons behind my decision to quit after one year of losing money. By accurately crunching numbers, it helps you make informed Transmission went out. You should also be aware that losing money consistently from your Turo business could cause the IRS to recharacterize your activity as a hobby. r/turo. However, recent movements and preparations for an IPO, coupled with substantial revenue growth, suggest a notable increase in valuation. thecarshari The Turo Carculator is an innovative proprietary tool designed to help car owners determine potential earnings renting their vehicles on the Turo peer-to-peer car sharing platform. And if the claims associate was lacking at some point, then you can point it out and get the case dropped. Ratings and reviews. Also, consider offering additional perks, such as free roadside assistance or a complimentary gas tank. The next step is to choose an insurance plan from the five Turo offers. The fees they charge are not a scam. Whether you're just starting out on your car sharing journey or you've been hosting for a while, this tool is designed to make your life easier and your business more profitable. Given that the average auto lease payment is $531 per month, or $6,372 a year, it’s pretty easy to make a car earn its keep by renting it out here. Everything is lined up, the time is set, and I’ve got the loan. Maintenance and repairs are another factor to consider. Gl. If you don’t have a license plate yet, you can put “Newcar” in the license plate field. I look at these people who bought there cars at a dealer for let’s say 10-20k. Trying to get started in Turo. ”. Pay cash on a car for $5-6k get minimum coverage and make your money back in a year of renting. Sep 13, 2023 · In this video I go over a major mistake people make on Turo. A model 3 LR costs about $0. I've seen screenshots of earnings from high end cars ($80,000) in Turo groups and they barely pull $1200 in a month, from what I've seen. This also led to the destruction of Research Station No. I still believe they lose money every year but it’s a manageable amount now, not damn near 100mill. The insurance plan you choose will determine how much of the booking fee you can retain. 45, and on 12/07 for $98. Before Turo my wife and I make about $165,000/year. Consultation Call: https://calendly. They built a fleet of cheap, high-mileage sub-prime vehicles with cosmetic, mechanical, even safety issues, targeting a sub-prime car rental customer, and the vehicles are now being unlisted because trips keep getting cancelled due to check engine lights and mid-trip breakdowns. Up to 1 mile. I’m buying my first Turo car today. There unfortunate circumstances make people who are financing there cars lose money while there cars are stolen or being repaired and wear and tear varies by Although the average daily rate is lower, the utilization rate is relatively high coming in at 80%. You should now see the “your car” drop down menu. That growth was powered, in part, by a large boost to spending Report damage and choose a resolution path You must report damage no more than 24 hours after the trip ends to start the resolutio To do this, go to the “Leasing” tab in the bottom left corner of the screen and click on “Rentals. It purchased a used Ford mustang only one year old with only 20,000 miles on it. Barry-Alex. We lose a few dollars they lose millions. The guest's Turo insurance policy and the host's Turo insurance policy are not related, and Turo looks at the accident as two separate events - the accident for the guest and the accident for the host. What about doing a 15k lease and having the rental pay 125% to 150% of the payments and sell it for the profit while the company only has you pay 32 to 38% of the value. It shows immaturity and ignorance. Nov 13, 2023 · When Turo must cancel a trip less than 24 hours before trip start due to a guest verification issue, the host will be paid in line with the terms of the table above. I wouldn't say everyone is losing money but it can't be a super sustainable business model in the long run without cheep leases. In most cases, you will be able to keep around 60 to 85 percent of the booking fee. Say the car got dented or minor accident the dealing with Turo and insurance is just too much headache and likely you will lose money if Turo or insurance find a clause to not pay you the amount to cover your damage. That extra money was really helpful when I was between jobs. And usually have problems. Anyways, for me, it's about $500/car per month. 23K subscribers in the turo community. I know it’s hotter during the summer months than the winter. 3. This disparity is concerning, as it affects the overall revenue generated by hosts and may lead to dissatisfaction among the community. This guide provides a comprehensive overview explaining how the Turo Carculator works, key factors it evaluates, and how you can leverage the Carculator when considering listing your car to You're very negative toned, and you remind me of the trolls on /Uber drivers who tried to convince me that I was losing money driving for Uber full time even though I was pulling in 6k a month lolol Reply reply More replies More replies More replies More replies Does so often it’s expected… but I totally agree with you with the whole turo fees. $35k+ in rentals and the cars appreciated in value by $30k while we owned them. Any advice is appreciated. Select an Insurance Plan. So I start buying cars in spring, focusing on $12,000 or lower. Enterprise can lose money in Cleveland but make it up in Las Vegas. Using a financed / leased personal car for commercial use is a violation and repo orders will be sent. Had a bad host and ended up losing a lot of money. Toyota Supra rented off Turo raced at the Texas Mile. Aug 4, 2017 · This, obviously, has worried me a lot too — and maybe more than a normal person, since I have a video to film with the Turo car in question, meaning I’ll actually lose money — subscribers, popularity, clicks to Ovesteer, advertising revenue, whatever — if the guy doesn’t show up. 50/mile to operate, which is $100/day at the 200 miles that Turo gives. One of the demos that rent on Turo are folks too young to rent anywhere else. Don't rent risky cars, reason I never buy expensive cars to rent on Turo because there's a risk of having somebody young mess up your car. Quality of your vehicle listing. For instance, depreciation is a significant concern, especially for new cars. A place for both renters and owners. With a 45$ per day rate and an 80% utilization, our vehicle will generate $1,012. ie Lambo, G-wagon. For instance, if a host has chosen the 25% protection plan, the total revenue that goes to Turo, including the Trip Fee, amounts to nearly half of what the host ultimately receives. Start with a vehicle selection, and build your custom 5-year business plan by modifying your operational costs to suit your business needs and financial profile. 44, 12/05 for $197. I just rented a Turo for 48 hours. uccess involves strategies like listing in-demand vehicles and maintaining consistent bookings. Jan 11, 2022 · Turo, the peer-to-peer car-sharing service, filed paperwork to go public. If you book through Turo, here are three tips to avoid stress, additional fees, and the possibility of your car breaking down in the middle of nowhere. Turo has lost money every year its been in operation. This is what I've done for a living for 5. Aug 23, 2019 · Is the brand really making money with this business model? RIght now, it seems to be. If your in the metroplex for a weekend or you need an efficient, inexpensive yet reliable vehicle because your daily Mar 24, 2023 · Turo’s 2022. $120. 5. It used to be worse. I was a lease portfolio manager for 7 years and back in standard sales for another seller group. 99% not cover you because of commercial use exclusions. Doesn’t include exterior wear and tear reimbursement. This can make renting on Turo profitable. The amount of money a Turo host can make depends on a slew of factors, including the number of vehicles a host shares, the rates charged for guests to use those vehicles, a vehicle's age, the Feb 7, 2017 · And they say after their car was crashed in a Turo rental, they’ve had one fight after another over compensation, and now they say renting your exotic out with the service may not be such a Apr 11, 2023 · After getting laid off, Lavell Riddle started driving for Uber and Lyft to pay his bills. 73. Rule #2, don't allow automatic booking. ’s Jeep Wrangler Unlimited for $135/day on Turo today! Rule #1, never put a car you love on Turo. Don't worry about too much just have 1 car on the platform. If the Turo cancellation is made more than 24 hours before the trip start or within one hour of booking for trips that were booked less than 25 hours before trip start, the host Uber, Airbnb, Amazon, Ebay, Turo, those all have no car by rent cars, no house but rent houses, no producues any items but sell everything, without competion regulations, Like if a uber driver drive 100 miles for $5 Uber still makes money when driver is abused, Or Turo if rent car $1 per day they still makes money when car owner lose money Use the Turo business planner to learn about all the factors that go into building a successful long-term car sharing business on Turo. The mileage tax deductions basically make my Turo money tax free AND help shelter some of my other income from taxes as well because my mileage deductions are so high that my Turo rentals “technically lose Dec 31, 2023 · How To Lose Money. Click on “Price” and set the minimum price at a particular This is simply the airports wanting a contract with Turo and to basically charge them an additional tax…. The guest's insurance policy from Turo will not pay out to a Turo host. In many markets, your take home will be less than that, before insurance, damage and other fees. 50. Make sure your employees are trained to handle all customer interactions with empathy and professionalism. 06/09/2023: Turo S-1 Filing Updated (again) Jul 14, 2023 · Airbnb Hosts are Losing Money | Are Turo Hosts Next?🚗 Learn How I Turned Car Sharing Into a Six-Figure Semi-Passive Revenue Stream: https://www. This modeling tool assumes that you are ⁴ Figures displayed represent the average Turo earnings among all US-based hosts with one or more active vehicles, where each such vehicle had at least seven trip days per month over no less than three months, between 10/01/2017 and 10/31/2021, for vehicles worth $10,000 to $75,000 and for manufacturer model years 2018 to 2022. The company claims that the owners receive 75% of the Apr 13, 2022 · Hosts typically earn $500-$1,000/month. 4, and Turo eventually passed away, leaving his AI to manage the remnants of his work in his place. They actually lose money but are trying to scale as fast as possible to turn a profit. So if Turo pays you ACV and that's less than what you owe, you have to come up with the money. Car type. Apr 21, 2023 · 1. And I do it myself, I prefer lower mileage guests. Running a Turo car rental business presents unique challenges that could lead to financial loss. If you rent them for anything less you are simply allowing others to take advantage of you. One of my renters was renting one of my more pricier cars and after all the fees the renter showed me they were charging him, Turo was profiting more than me. However, when I go to the app and start crunching some numbers based on number of trip, cost to rent the car, and how often it is rented (I know that sometimes it could have been rented for long I have charges on 12/02 for $197. You must complete Form 6198 and Form 8582 if you have a net loss from your Turo activities to determine that. A guest can hypothetically give turo the costs for a 1 day rental, and then cause an accident that costs turo 100k. You should see this modal pop up: Don’t worry. I have paid for economy cars that rent for 35-50 a day. Jan 24, 2024 · However, the At-Risk and Passive Activity limitations may restrict the losses you can deduct. . Nov 15, 2023 · Nov 15, 2023. Offer cheaper airport delivery. Next time you chose to be an asshole focus on understanding before you lash out. If you could make money, turo would be doing it themselves! instead, they are just the middle man instead of an Enterprise or Hertz. Choose the vehicle you want to rent, select insurance coverage, and meet the host to get the car. You can not accept the person but you are gonna suffer via your acceptance rate. And I get them by doing the following: Raise your prices (this deters 1-2 day rentals) Offer 3+, 7+ day discounts. However, some individuals using the peer-to-peer car sharing service have learned that thieves can use it to steal your ride and there isn’t much to be done about it. If the Turo pay out is more than what is owed, the bank Jan 6, 2022 · Cars lose value over time due to obsolescence and use. As of this month we have had a huge crash in prices, if you booked in advance please check the marketplace for different cars and I guarantee that you will see a 50%-70% drop in the rate you paid. Good way to do what you want. Porsche Boxter. You will be losing money after depreciation, maintenance, repairs, etc. In 2022 Turo generated revenue of $746. Say the guest had an accident and caused $1000 worth of damage to the car. Ford Fiesta. Home Rent SUVs United States - Aurora, CO Jeep Jeep Wrangler Unlimited 2018. I'm having a hard time believing how difficult it is to have taxable income with this Turo/ rental car business unless a person rents out something very expensive. To be profitable and account for all the bad behavior and BS they need to charge more. 2 billion. Need a SUV rental alternative for your next trip? Book instantly Tyler R. When corporations get hit in the pocket the adjust behavior. They could’ve driven the car for 800 miles without incurring a fee but drove it 542 miles. Here you will list the address where you are storing your car. Could you imagine being charged $3. “. Cars typically lose between 10%-20% of their value per year. 2 pts C4Sc. Nearly half (42%) of all trips are two days or fewer, so set your minimum trip duration to “Any” to capture more bookings. Imagine us host blocking rentals on a major holiday weekend in protest to turo fees. If turo is pursuing you for the money, proof was shown at some point. Did some math and calculated depreciation, monthly expenses should be Pro tip for renters to save money on future already reserved bookings. So if you own the car and after Turo tales 25% depending on plan selected and she gets 30% minus parking cleaning commercial insurance and accidents not too mention over saturated market . The company’s performance in the last two years represents a dramatic change from its This is a money-losing business. Turo deducts 15%-40% per booking, influenced by car type and rental duration, affecting overall profit. I'm also in a new market where the daily rate is $100+ even for Corollas. Free delivery to select locations for trips of 5 days or longer. That eats all your profit. 2 GT3RSWP / 430 Scuderia / 458 Italia / lp640 Performante Spyder / 991. This is the main reason idiot's like u/vision33r lose money on Turo because they end up getting damage claims denied. 6 million compared to $469 million in 2021. IAC recently invested $250 million in Turo, bringing the company’s valuation to more than $1 billion. RAC's have volume and multiple markets. Possibly breaks the terms of the lease. One of the more painful May 23, 2019 · While Turo is one of the best options to earn some money out of your spare car, you will still have fees or a cut to pay out of each rental. This is why financing new vehicles is usually a bad idea. I know I'm going to make $6000 or more in 4 months per car. Jan 18, 2024 · Turo's last known valuation in 2019 stood at approximately $1. SeeCowashit. Without host they have no income. xo fg ei qb xg gb dm xd pf gv