08 Jun Are You Thinking About Becoming An Airbnb Host?
Being a host, especially in the realm of Airbnb Arbitrage is one of the best decisions I’ve had the opportunity to make. However, I had to learn the hard way that there are a lot of misconceptions and hurtles that I had to pass through in order to get where I am today.
I was worried about a lot of things: If it was safe or if I would be able to manage a rental or two on my own if the income would be worth it-
Spoilers: It definitely was.
With 100% honesty, I can say that it was worth the energy and personal time that I have invested in it. If you’re seriously considering this great opportunity, keep reading. This is my personal complete summary of how to be an amazing Airbnb Host.
Be Genuine, Honest, And Transparent
Have you ever had the opportunity to meet a celebrity that seemed fake? It’s offputting and uncomfortable. What’s even worse is not being upfront as an Airbnb Host.
While working on your profile, it may be tempting to photoshop or overly stage your listing. People know that they’re getting what they paid for. Just because you don’t have the most luxurious place out there, doesn’t mean that guests won’t be interested in trying to book.
A lower price range may even entice budget travelers. Sometimes all a person needs is a small, inexpensive place to rest their head for the night. Honestly, I find that these folks are the most often likely to leave the most detailed, and best reviews.
If I’m being real with you, most guests won’t bother to read through your entire listing. Yet, it can be incredibly vital when disputing bad reviews or claims. If you want one place where your guests can find all the information they need, consider creating an Airbnb guidebook. While not required by the company, it will guarantee you an easier time when trying to showcase your listing to a potential guest.
Looking Into Legailty
Making sure your business is legal is one of the first items you need to look into when starting a business. If you’re just renting out part of your apartment without letting a landlord know, it can actually get you into a lot of trouble. This is because even if the people are staying overnight, it still counts as subleasing the property.
For more information on finding out if your Airbnb is legal, check out my blog post here.
Another item you may want to make sure you have is the proper type of insurance coverage. Because Airbnb is a business, it’s technically not covered by your homeowner’s insurance or renter’s insurance. Slice and Proper are two of my favorite insurance companies to recommend for Airbnb Hosts for short-term rentals. They work exclusively with short-term and vacation rentals in mind.
Remember That Your Airbnb Is A Business
If you’re hoping to turn a profit from having a listing or two, it’s important to separate this endeavor as more than a side hustle. As an Airbnb host, your listing has become part of your personal business.
Break down the business into different factors and establish what can make your listing even better. The more of an experience that you create for your guest, the higher you can charge. However, this also means the more work you have to put into each booking.
While offering breakfast in the morning can make your listing even more enticing, is it viable to complete each booking? How much can you price your listing for? My biggest recommendation is to research the market in the surrounding area. How much do other hosts around you charge for a similar experience that you offer?
Whatever you do, ignore Airbnb’s price recommendations. Check them out, but don’t always follow what they guide you towards. Often times the company shoots a little bit lower than what you ought to be making.
Don’t Believe Everything You Read
There are so many Airbnb horror stories out there. But, it’s vital to remember that these are only a small amount of cases of the people that travel through the system. The biggest advantage to having a normal roommate to Airbnb guests is that they’ll act just like guests.
The people who come to live at my rentals don’t expect me to clean up their dishes or try to throw wild parties. Many of my guests are extremely polite and courteous and have even brought me a gift or two on occasion! (Those are the keepers.)
No matter how many clickbait titles like to try and draw you in, not ever Airbnb experience is going to be horrible. With that in mind, if there ever is a less than a satisfactory guest, the answer is similar.
Leave them a bad review. They’ll get what’s coming to them.
Keep Everything Within Airbnb’s System
From payment methods to communication, trust me when I say that it’s so much easier just to keep everything in Airbnb’s system. While the company does take a cut of your profit, changing systems ends up leaving you vulnerable to any guest mishaps.
Airbnb allows for a security benefit and limited insurance up to one million dollars. However, make sure to completely review Airbnb’s policy before relying on it. They don’t quite cover everything.
If there ever is an issue between you and your guests, Airbnb is often available to work as a mediator. They try to resolve the situation at hand to the best of their ability.
Ready To Start?
A huge question that I get asked a lot of the time is “How do I do it?” or “How do I Start?” The answer is a lot simpler than you might think. Just do it. If you want something, go for it.
Start today, right now.
Worried about not having the support you need to become a great Airbnb host? Join my Facebook group. We’re a growing community of like-minded Airbnb and Short-term rental entrepreneurs that support each other by linking relevant pages and answering questions.
Bonus: check out my 121+ most profitable ideas that you can start from home.
Olivia BernardPosted at 18:22h, 18 June
I am a college student (only one year left yay!!) and I would love to do something like Airbnb Arbitrage but I wonder if it’s for people who are not making a steady income. I work a part time job and my other friend wants to go into this with half in. Do you think this is smart or should I wait until I graduate and become a future nurse with a steady and higher income? BTW, I would be doing Airbnb Arbitrage in probably Atlanta since this is where I live.
SamPosted at 03:29h, 19 June
Congrats on almost graduating!
I think that’s awesome because the journey of becoming an entrepreneur is always more fun when you have someone to share it with. I have a student in my course who is 18 and dropping out of college to do this. But he’s in the UK, so a little bit different (and I’m definitely not advocating for you to drop out!).
It’s up to you. But you’ve got the right mindset, so whatever you decide to do, I’m sure you’ll be successful!
Here’s a good article for you to check out to find out more on costs: https://www.passiveairbnb.com/how-much-will-this-airbnb-business-cost-me-to-start/
Hope this helps!