Four different price points, four different property types, four different reclassification outcomes. Names are changed but the math is real. If you haven't yet, start with the underlying STR tax chain — the three rules that make any of this work.
Reclassification rate isn't about luxury — it's about what mix of components sits inside the purchase price. Here's how four factors move the needle. Common questions about reclass rates are answered in the FAQ.
| Driver | Pushes rate ↑ | Pushes rate ↓ | Effect on a $500K basis |
|---|---|---|---|
| Furnishings & kitchen kit | Fully stocked, replaced on turnover cycle | Minimal — tenant brings own | ±$35K–$55K |
| Outdoor improvements | Pool, hot tub, fire pit, decking, landscaping | Condo or townhouse w/ HOA common areas | ±$25K–$60K |
| Finish level | Custom millwork, tile, decorative lighting | Builder‑grade, rental‑spec | ±$15K–$35K |
| Site work | Long driveway, fencing, retaining walls | Shared lot or minimal site features | ±$10K–$30K |
For a market-specific look at how these drivers play out in one city — STR competition density, local FF&E intensity, state tax interaction — see Austin-specific reclass math as a worked example.
The calculator uses the same engineering benchmarks we built these from. Get a property‑specific estimate in under two minutes.