6 things to know before becoming an Airbnb host
Whether you’re looking to supplement your income or just put together a little extra cash to pay for your next holiday, renting your house out as an Airbnb provides a great option.
Whether you’re looking to supplement your income, meet new people or just get a little bit of extra cash, renting your house out as an Airbnb can be quite a profitable venture. Here are six of the most important tips and tricks every would-be Airbnb host should know.
1. Set a competitive price to attract guests
Greed is not necessarily good, and you don’t want to price potential renters out of the market (particularly when you’re getting started). Make your price competitive. A great way to gauge this is to have a quick browse on Airbnb and figure out what similar rentals in the area are going for. Once you’ve attracted some guests (and hopefully a few positive reviews) you can set your price higher.
2. Understand the laws and pay your taxes
Airbnb provides a great way to earn a little extra cash, but don’t spend it all at once. When tax time comes around you’re expected to declare your extra income when you file your return, just as you would for a normal rental property. On the plus side, you can claim some neat deductions including portions of your internet, water and power bill, so long as you keep clear, consistent records.
3. Screen guests to weed out the crazies
You wouldn’t rent your home out to people who are disrespectful, so why should you treat your guest any differently? When someone sends you a Reservation Request read their profile thoroughly and have a proper look at the review section. Most Airbnb hosts won’t accept someone who’s had a bad review. Go with your gut, and if it feels like something’s up that’s generally a sign.
4. Review your guests
The review section is really the failsafe that keeps platforms like Airbnb honest, so make sure your review guests promptly. Positive reviews are crucial to staying in business as a host, but the most important thing is to be honest. Being mindful of mistakes that will inevitably occur, as well as little acts of kindness you can provide for your guests, are great ways to help you garner positive reviews.
5. Consider value-adding add-ons to raise your price
It’s possible to increase the value of your space by organising a few add-ons for your guests. It could be something like boogie boards and snorkelling equipment if you live close to a beach, or a basket and picnic blanket if you’re close to a park. These little extras won’t cost you too much, but you will find people will be willing to pay a premium to get them, and even leave a positive review.
6. Lots of detail and good pictures is key
The most important part of your Airbnb profile is photos so make sure your images are compelling. But also make sure you pay attention to the text in your profile. By explaining all the details of the place and your rea you can really make your Airbnb seem like a very compelling choice. It might seem like a chore but it’s really important to get it your profile right to get your place out there.