If you want to become an Airbnb host, there are many things you have to consider. What is the cost of running the space? How much time do you have for managing a short-term rental unit? And how often do you plan to rent out the unit? Most people get into the Airbnb business as a way of earning extra income when they are out of town or on vacation. For others, this is a full business venture with space solely dedicated to renting out throughout the entire year. Whatever the reason you have for renting out your space, here is what you need to know about becoming an Airbnb owner.
Determine where you stand
Before you set up an Airbnb host account, you need to understand your role from the start. Some of the hosts’ responsibilities include:
- Providing a clean space
- Providing all the necessary amenities
- Being responsive to guests’ queries
- Avoiding canceling on guests
- Addressing guest concerns
- Keep the property in good condition by doing the necessary repairs
Some hosts choose to be hands-on and handle finances and daily rate settings, while others prefer leaving this to a specialist. If you are going to handle the finance on your own, research what are the going rates for a property like yours. What are other listings in your area charging? If you are going to outsource help, first understand what their fee structure looks like. Keep in mind that if you hire a company to fully operate the property for you, they will charge you anything between 10-50% of your revenue. However, it will also depend on how involved you are in the property. If you want to make more money, be more involved.
Airbnb Etiquette: Ways to Become a Superhost💡Respond Quickly
💡Accommodate Requests Whenever You Can
💡Offer fast, stable WI-FI
💡Understand how guests want to interact
💡Provide personal tips and recommendations
Understand the operations
After deciding on the financial bit, next comes the daily operations. Determine who will be handling this part. For example, who will be in charge of property maintenance? Depending on how often you rent out your Airbnb, you need a handy person for the job. If you cannot manage maintenance issues or do the basic fixes when your primary handy person is not available, get a secondary handy person for emergencies.
The next step is coming up with a set of rules that your guests need to follow. If your rental unit is located in a quiet neighborhood, let the guests know this to limit their noise. You also need to inform your closest neighbors that you are using your home as a short-term rental. If you are renting, ensure that your landlord has no issues with short-term vacation rentals.
Rules and regulations
All Airbnb hosts have rules on how guests should behave when they book their space. What is your pet policy? Is the pool open till late? Can one have parties? These things may sound minute, but at the end of the day, if you have no rules, anything goes. You are the one who will have to deal with cleaning up after a party or noise complaints from neighbors. The guests will have paid and gone back to their homes. To ensure that guests have read all your rules, include a copy in the welcome guide and place it where it will be easy to see.
💡It’s essential for hosts to set clear rules and make sure that guests follow them. A well-defined set of Airbnb house rules can help you avoid all sorts of problems, like damages to your property or arguments with neighbors. It can also help you hold your guests accountable should they break any of your rules.
Before guests check in or after they check out, your Airbnb space will need to be cleaned up. How do you plan to go about that? You can choose to add a cleaning fee or not. But if you do, you will need to be strategic about the amount you will charge. Ensure that your cleaning fee is the same or not too high compared to what your competitors are charging. Most guests have complained that the cleaning fee is too high. You will find a cleaning company charging $300 for a 4-bedroom house and about $30 for a studio. It all depends on different cleaning companies. Either way, it is an integral part of your overall price. A guest will factor in the total price of your listing after adding the cleaning fee, Airbnb fee, TOT Tax, and any other taxes that might be involved when one is booking a space. Do not forget that one of the reasons Airbnb is popular is because it promises fair pricing to guests. When you are too costly, you lose potential guests.
Since its launch, Airbnb has been growing steadily. So if you are thinking of becoming an Airbnb owner, it is a good venture to consider. Just do your research first and see if it is something for you.