Airbnb is an extremely popular way for people to make money by renting out their homes for a few days or a few weeks. People use it all over the world with great success. However, what can you make from using it and what factors do you have to consider? How do you list on Airbnb and what things do you have to keep in mind? We’re going to cover all of this information and more in this detailed guide to unlocking the secret of Airbnb success.
How to List on Airbnb
Airbnb streamlined the listing process for hosts to make it fast and easy for them to set their prices, home type, dates available and the maximum number of guests to three simple and straightforward steps. The three steps are:
1. Start by creating a free account on Airbnb. There are no signup charges, and you can pick whether you want to rent out your entire home, shared room or a private room. You’re now ready to move to step two.
2. You’ll gain access to Airbnb’s platform that lets you customise how you want to rent. For example, you can choose the dates that you’d like to make your home available for rent, your prices and any special requirements for your guests like how many guests can come, pet-friendly and any house rules you may have.
3. When you’re ready, click complete. Airbnb will now take your listing and make it live. People searching around Bondi Beach will be able to see it. They can block off periods where they like to rent, message you with any questions and pay for the stay. You can also ask for a refundable security deposit at this stage, deny bookings and more.
Before we get to how much you can potentially make, there are several consideration points that you have to take into account. They’ll help you set a fair price without worrying about anything eating into your earnings.
Area Rate – For properties in Bondi Beach or anywhere in the world, you want to do a little research before you list. You want to look at what properties in your immediate area have for pricing for daily and weekly rates and any fluctuations. Tourist season typically brings higher rates per day or week than the off-season. This will help you stay competitive for your location and house size.
Taxes and Permission – If you don’t own your own home, or if you have a Home Owner’s Association to deal with, you may need their permission to rent out your house or apartment for short-term stays. Additionally, your Territory or State may require that you have a business licence to do this, and this may subject you to more taxes.
Safety – Although we’d love to assume that everyone has your best interests at heart, it never hurts to take additional precautions. You want to consider locking away any valuables or items with your personal information on it and check into setting your home to only be available to Airbnb customers who went through the ID verification process.
Insurance – Airbnb does provide host protection worldwide; however, you should not rely on this as sole protection. Many insurance companies will offer insurance protection for short term stay and best to contact your favourite insurance company or Our firm have teamed up with ShareCover who offer a per night coverage see the link below https://sharecover.com/partners/homehost
Setting a Good Price for your property
As we mentioned, it can be difficult to select an exact price for listing your home or apartment on Airbnb, and you may have to adjust it from time to keep up with demands. However, there are several tools to help you find the best price.
One of the easiest ways to find out pricing and set a competitive rate is to search Airbnb’s site for your location. You pick your location and decide on the type of service you want to offer. Current prices per month for Sydney.
Entire House With Two Guests – $4,907 – $7,500 + per month
Private Room with Two Guests $1,057 -$2505 per month
Shared Room with Two Guests – $620+ per month
However, you should note that Airbnb tends to list pricing in their calculators as the low end of the spectrum, and this is why it’s important to search for homes or rooms like yours to get an accurate price range.
Smart pricing is a free service offered by Airbnb that allows you to input your maximum price and minimum price and the site will adjust the pricing based on demand automatically. This could be useful if you’re not sure what to charge or if you have prices that fluctuate depending on the season. This isn’t mandatory, but it can help you ensure that you get the best price for your area and that you stay competitive to keep earning bookings.
Eliot + Airbnb
The Eliot and Me calculator allows you to put in the specifics of your home and area to get a more exact pricing guide. It also shows you the average price per month for your specific home type. To start, you choose the number of bathrooms, number of bedrooms and your location. It’ll populate your results, and you’ll get a small and interactive map. You can click through properties on this map to get accurate results. For example, two people staying in a home with one bedroom and one bathroom could expect to pay:
Total for the Year – $29,860
Sourced from Eliot and Me in March 2019. Check with Eliot and Me for an estimate for your property.
As you can see, the price tends to fluctuate with the lowest months for Bondi Beach being in the low $100 range, and the highest amounts being in December and January around $200 range. These prices will fluctuate depending on the number of people, the bedrooms, and the bathrooms you offer, but you can customise it to suit your needs.
Airbnb is a Valuable Resource for Additional Income
Used correctly, Airbnb has the potential to help add a lot of extra money in your pocket. You could start an emergency fund, improve your home, take a long-needed vacation and so much more. The possibilities are virtually endless, and it’s so easy to start right now!
Using a Professional Hosting Company
A professional host like HomeHost can provide advice and support in setting up and managing your Airbnb property taking away any of the hassle. Including listing the property, cleaning between guests, supply of the linen and provide concierge services for both the host and the guests.
If you would like to talk about how Airbnb host management works, call us on 1300 17 17 18