You have the space, an airbed, a supply of breakfast cereal and are heading for Airbnb Rentalpreneurship. The winning question is, how much should you charge. What you charge is important, as guests need to have a fair-deal and a host, needs to make enough money to cover costs.
What To Charge For Your Airbnb Rental
Do some thorough research. Evaluate your local market and discover how much your place is worth as a successful, profitable short-term rental. Airbnb has a flexible booking system that lets a host set different prices on certain days to get maximum income. However it is the property value that holds income potential, its appearance, location and amenities. Extra income is generated from having an effective Airbnb pricing strategy. What you charge should take into account the fluctuating demand for your property.
The Price You Charge For Your Listing Is Up To You
- Before deciding what to charge, consider the following:
- Study the Airbnb market reports for your area. They include best performing properties and daily rental demand.
- Identify comparable properties in the same neighbourhood on the Airbnb site. Review Airbnb pricing in your area.
- Incorporate into the charge additional fees such as cleaning. If you charge other fees, like a late check-in fee, pet or bike rental fee, these must be disclosed to guests.
- Incorporate the Airbnb service charge of 3% that is deducted when a reservation is completed. There are VAT charges on service fees. Rental charges should include local taxes and VAT.
Make Your Pricing Competitive
When starting out you could discount your nightly rate then gradually increase it as reviews increase. Know what is going on locally and up your rates for special events. Local tourist offices will give you a calendar or search Eventbrite. Find what big weekends prices other properties in your area are charging. Many revellers make last minute plans so hold your prices.
Enjoy profitable Airbnb hosting. Know that you have a property that guests will enjoy and that they are paying a fair price for renting.