How Much Can You Earn as an Airbnb Host? This is Part 5 of a 14 Part Series.
Wanting to know how much money they’ll make is one of the first questions on a host’s mind when they decide to get started as an Airbnb host.
The answer to that isn’t cut and dry.
The answer is that it depends on all the factors involved.
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Some people make a little bit and some rake in the cash.
You can do that by following a few steps that the big earners have implemented.
The type of space that you have for rent is going to factor into it as well as where the space is located.
High demand areas and entire spaces like homes or apartments stand to earn more than a private room in a home in a medium earning location.
Places that are booked steadily will always earn more.
Pay attention to your occupancy rate.
If your listing is always booked, then you need to up your nightly rate because it means that your place is popular and raising the rent by $25 a night will help you become one of the top earners.
You must deduct certain expenses when you’re trying to figure out how much you’re going to make.
So subtract your utilities, the cleaning fee and the cost of any items that you have to provide for guests.
Charge for the Extra’s
You earn more by making sure that you have all your costs covered.
Charge a cleaning fee for each guest and make sure that fee is enough so that it actually covers the cost of either cleaning the place yourself or hiring someone to clean it.
If someone wants to have a friend stay with them, charge for that extra person. If you decide that you’re going to allow pets in the space, then charge for the pets as well.
All of this is a way to make sure that nothing dips into your profit.
You can stand to make anywhere from several hundred a month to a several thousand – depending on the space, location and expenses that you have to pay out.
Is there a Downside?
Because hosting is easy, there’s not a lot of downside to renting your place out on Airbnb.
You won’t be investing much time interacting with potential guests.
Answer a few questions about possible bookings and that’s about it.
You don’t even have to meet the guests to check them in or out.
You can have a property manager do that or you can use a key pick up service if you don’t want to pay for a property manager.
Any questions the guests may have upon their arrival, you can pre-answer by creating a user guide for the home.
You can put in answers to questions like, “How do I operate the thermostat” or, “How do I connect to the Wi-Fi?”
Hosting on Airbnb is a great way to make some extra cash.
You can pay bills, save for your kid’s college tuition, buy a car.
Or you can pay for your own home with the money that you’ll make.