(Publication found on Jamaican Blue Escape 2016/2017)
For some, it might be unthinkable to let strangers holiday in their home – but others are making serious money from this crowdsourcing site, writes Rachel Smith.
If you’ve ever sat on the couch, looked around your home and thought you should put it on Airbnb and make motza, you’re not alone. The online community has lured 2 million-plus listings worldwide since launching in 2008, and love it or hate it, there’s no doubt the platform is a money-maker for many.
“I’ve absolutely seen people make a living from Airbnb,” says Host My BnB www.hostmybnb.com.au think those who do it have either been established a long time, or care and understand the guest experience.” And, probably lucky enough to have access to several properties they can bounce between during bookings!
ARE YOU SITTING ON AN AIRBNB GOLDMINE?
Success as a host comes down to a range of key factors – good location for starters, Lee says. “You’ll have a higher rental yield if you’re based in the city or by the beach, and you’re close to transport, Your property doesn’t have to be brand new; homes that are a bit eclectic or have character can do very well.”
And while personality is good, too much of it deters guests, so you’ll want to declutter, remove personal photos and ditch the floral sheets. But it’s not just down to your funky Danish couch and 300-thread Egyptian linen. “Providing a good service, building trust and having great reviews are more important,” Lee adds.
3 WAYS TO FAIL….FAST!
- 1. Dropping the ball – “People underestimate how much work is involved in being a good host,” says Hostmybnb “If you decline too many bookings, don’t have enough reviews, it’ll affect your rankings.”
- 2. Being sloppy – “It has to be hotel standard cleanliness. Say you open the cutlery drawer and it has a fresh crumb in it. Even if the cutlery is clean, those crumbs could mean bad rating from a guest.”
- 3. Operating in a saturated area – ‘The increasing popularity of Airbnb has some hosts worried, but good location and providing a good service will always help,” Hostmybnb says. “Even better if you can offer something unique”
INSURANCE: DO YOU NEED IT?
Absolutely. Your home insurance won’t cover short term letting Airbnb’s $10 million limited liability insurance is notoriously hard to claim on. If you pay an agent to manage your listing they may have insurance or consider IAG’s Share Cover, which costs between $3-6 a day during the booking. For extra peace of mind, it’s something many hosts consider a no-brainer.
WANT TO DO IT, BUT NO TIME?
It’s not just about the perfect property; you have to communicate with and greet guests, manage bookings and clean, Don’t want to do all that? Airbnb Property managers can step in and even generate more bookings for you.
“We took over one property in North Sydney where the host was making $2,000 a month on Airbnb and we ended up generating about $2,200 for him after our management fees,” he recalls. “So we helped him make more money and took 100 percent of the work away from him.”
“In a good month, I can make $10.000 from it”
Property: Manly Beach Pad
Lonely Planet photographer Mike Taylor and his wife Olivia were early adopters to Airbnb and their Heritage-listed art deco pad in Sydney’s Manly Beach continues to be super popular. “People love having a fully stocked kitchen, all mod cons and being just a block from the beach and the ferry. If we get a month’s booking we can make $10,000; more in peak season. Were big on the guest experience, with little touches like beers in the fridge, a bottle of wine, a Lonely Planet guide of Sydney. My advice to anyone thinking of doing Airbnb is talk to people who have success on it, get your pricing right, get good photos taken and be a good communicator, Oh, and make sure you and your partner are on the same page about it – if you’re not I reckon you could lose a marriage over it!”
