Table of Contents,
- 1 Overview
- 2 Things to Consider Before Listing Your Home on Airbnb
- 3 How Does Airbnb Hosting Work?
- 4 How to List Your Home on Airbnb
- 5 1. Sign up on Airbnb
- 6 2. Create a Listing
- 7 3. Include What Comes Along with Your Listing
- 8 4. Take Some Attractive Photos of Your Home
- 9 5. Wait for Bookings to Roll in
- 10 How to Start an Airbnb Business If You Don’t Own Property
- 11 1. Decide on Your Budget
- 12 2. Choose Your Rental Market
- 13 3. Name Your New Airbnb Host Business
- 14 4. Form a Legal Business Entity
- 15 5. Get Your Taxes in Order
- 16 6. Choose a Location
- 17 7. Sort Out Permits and Licenses
- 18 8. Open a Business Bank Account
- 19 9. Acquire Business Insurance
- 20 10. Look at Properties on the Market
- 21 11. Buy the Property
- 22 12. Create an Airbnb Business Plan
- 23 13. Create Your Airbnb Listing
- 24 14. Be Successful Small Business Owners of an Airbnb Business
- 25 Types of Accommodations on Airbnb
- 26 The only restrictions that Airbnb puts in place on its listings are the following:
- 27 What Are Airbnb Host Requirements?
- 28 Is it Worth it to be an Airbnb Host?
- 29 How Much Can You Make As an Airbnb Host?
- 30 Airbnb FAQ
Airbnb is a website that connects people who want to rent with people who have places to rent. Most renters are seeking short-term rentals but long-term rentals are also available.
An airbnb property can be as small as an “extra space” rental of one room, with bathroom or shared bathroom. It can be an RV site, an apartment or a huge entire home.
No matter the size, an airbnb can be a profitable option for anyone hoping to earn extra income. You can run one, hoping to earn extra money, or run more properties and make it your full-time job in a full-time rental business.
By becoming an Airbnb host, you’re able to make a more than decent amount of money from letting out your uninhabited room, apartment or house to those who are looking for somewhere to stay. You can even list your home while you’re traveling, as long as you have your space sorted out and have made arrangements for guests to be taken care of while you’re gone.
While you may think it’s complicated to become an Airbnb host, it’s actually a fairly straightforward process. Here’s a breakdown of how to list your place on Airbnb and some tips to help you become the best Airbnb host possible.
Things to Consider Before Listing Your Home on Airbnb
Since Airbnb is all about hospitality, you need to make sure your space is adequately prepared before guests start staying.
Cleanliness and lack of clutter is the top requirement for any Airbnb listing. It’s fine for your house to look homey, but no one needs to see your dirty sweatpants on the couch. So it’s best to clean up personal items and clutter, especially in the room they’ll be staying in as well as any shared areas. Don’t forget that they’re paying guests, not friends or family just staying over for a night or two.
You should also think about what kind of experience the guest will be getting when staying at your house. Some people may be looking for something slightly upscale and private while others are seeking somewhere inexpensive to rest their head for the night. What type of stay you offer is entirely up to you, but whatever you choose, be sure to prepare for it.
Also, consider logistic issues associated with having guests. How will the guest enter the home? Do you have a spare key and plan to give it to the guest? Is it complicated to find your apartment or difficult to get parking? Think about these and plan accordingly, whether it’s you meeting the guests to show them the spot or leaving detailed instructions.
Taking care of logistical details will ensure a smooth check-in and a better overall experience for guests.
A final thought is whether you need to invest in anything to get your space ready to offer guests the best experience possible. Maybe a matching set of bed sheets or fresh towels? Small toiletries are always a nice thing to have in the bathroom as well. Don’t forget the simple breakfast items either! You can also mention these on the listing to draw people in.
How Does Airbnb Hosting Work?
Being a responsive host is a key to customer satisfaction. As part of the check in process, Airbnb hosts can meet their airbnb guests, or provide remote check-in and check-out information. Payments for airbnb rentals are made through the airbnb site.
Airbnb hosts who are clear about expectations from renters, and quick to respond to questions, get positive reviews from guests. And airbnb hosts can provide positive, or negative reviews about an airbnb guest.
Important factors for the success of any short term rentals is having a reliable cleaning service. Presenting an ultra-clean house, and following Covid-19 protocols, is currently a must in the airbnb business.
How to List Your Home on Airbnb
If listing your property is something that’s attractive to you, it’s super easy to get started on Airbnb. Here are the simple steps and a few tips to follow to create the ideal Airbnb listing.
1. Sign up on Airbnb
The first step to listing your home on Airbnb is to sign up on the website or app. It’s free to create an account and only takes a few minutes to get started.
You’ll begin by filling out personal information and creating a personal bio, so be sure to write something that reflects you and your personality in the best light possible! Be honest, charming, and personable because guests are more likely to book with someone who seems friendly rather than the alternative.
Next, you have to verify your account with details like your phone number and photos of identification documents. You’ll have to upload a clear photo of yourself as well so get those pearly whites ready.
2. Create a Listing
Now that you’re signed up, it’s time to create a listing to show off what you have available to guests. Airbnb pretty much guides you through this entire process on the platform, but here’s a breakdown of it so you know what to expect.
First, specify the type of property you’re listing. Is it a home, apartment, treehouse, yurt, or something else? Whatever it is, list this first.
Then you’ll say whether the listing is a shared space or an entire place. If it’s a shared place, you can list a private or shared room, but if it’s a whole home or apartment, the guests should have the entire place to themselves.
Next, you’ll get to set the price of your listing. Airbnb has a suggested nightly rate for you according to what you’re offering, the dates you’re listing, and where you’re located. They take all the different factors into account and even compare with Airbnb listings in the surrounding areas.
As mentioned, you can change the price of your listing at any time so you can bump it up for a weekend or holiday, too.
After pricing, you can select the dates and block out times the listing will be unavailable. You’re able to list as little as one time a month or for the entire duration — it’s up to you! You can also change the calendar at any time, according to your personal schedule and preferences.
Now that all the logistics are taken care of, it’s time to give some details. Here, you’re given the chance to write an honest and enticing description to give guests an idea of what they’ll be getting when staying at your place. List all the lovely features guests can expect and let them know why your place is special. Including the latter part will make all the difference when it comes to choosing you instead of other listings!
In the description, be sure to include things like: the sleeping space, bathroom set-up, general access to the place, and anything special about the location. People love knowing that there are coffee shops, restaurants or shopping just steps away! You can also point out local gems if you’re located in a more remote setting.
If there are any downsides to your space, it’s essential that you address these in the description as well. Guests are likely to be understanding if you’re upfront about anything undesirable such as a noisy location or a shared bathroom. But if these details are never mentioned, you’re going to rack up bad reviews and be hurt from not disclosing these details ahead of time.
When describing said downsides, you can always put a creative spin on them.
While still being honest, you can give reasons for the issues. For example, a listing in a noisy location can be described as being located in a lively district that comes alive at night. Places in more remote areas can be described as charming, peaceful and tranquil. A small space can turn into something “minimalist” and chic, which is totally in these days. You get the idea.
Also, always let guests know if there are any pets on the property because you never know when someone’s allergic to cats or dogs.
3. Include What Comes Along with Your Listing
There are some basic amenities and features that most successful Airbnbs have, and the platform gives you the opportunity to let guests know if you have them on your listing.
Some of these are things like WiFi, bedsheets, a kettle, and towels. But you can also go above and beyond by providing guests with basic toiletries, breakfast items, snacks, tea, and coffee.
It’s the little things that count, and who doesn’t like a nice muffin in the morning?
You also want to give guests some extra information about the listing’s surroundings.
Be sure to mention the most popular activities and attractions in the area, that way if guests are visiting for something specific, they know that they can choose your place to be close by it. It’s also highly recommended to list public transit options because being near a metro or bus stop is a huge selling point for many visitors.
Finally, add a personal touch. You’re opening your home up to visitors, so it’s nice to know that someone is looking out to make sure their stay is enjoyable and goes smoothly. Let guests know that you’re available for recommendations across the board, whether they’re looking for the best eateries, getting around or finding nightlife.
During my most memorable Airbnb stay, the host left an annotated map of the area with suggestions of everywhere to go! It made all the difference, so just know that something small and personal can make a world of difference.
And there you have it, everything you need to include in your Airbnb listed description.
4. Take Some Attractive Photos of Your Home
Photos are everything when it comes to an Airbnb listing so you need to be very particular and pay attention to detail when it comes to photographing your place. An attractive space draws people in, so make sure that you have some eye-catching, charming details that can help guests envision themselves staying there.
Before taking the photos, be sure to clean the space. This may seem obvious, but in case it needs to be stated, get rid of all your extra junk that may be lying around the house (or hide it in storage), mop the floor, vacuum the carpet, make the bed etc. Give it the five-star treatment so guests can have a sparkling clean impression of where they could be staying.
Then, be sure to have some decent lighting. Natural light is best! If you can catch the sun streaming through the windows during daytime, you’ll have some awesome pictures. The room should look bright and airy, making it more attractive to those who are browsing listings in your area.
Now that it’s time to actually take the photos, be sure to accurately portray the size of the space. Try to take pictures that show the entire room by standing in the doorway or even on a chair.
Be sure to also take pictures not only of the room that guests will be staying in, but the accommodation as a whole. Show off that kitchen, living room, and of course the bathroom because people will certainly be wondering where they can shower after a long trip. You can also write crafty captions under each photo to let interested people know what’s what.
Remember that “a picture’s worth a thousand words”! It’s in your best interest to make sure that your photos are high quality and accurate because they’re the prime selling point when it comes to your listing.
To make it easier for hosts to get high-quality photos of their home, Airbnb has a photography service that can match you up with a local photographer. With the photographer’s help, you’ll get photos that better showcase your listing and attract guests.
The best part? The costs will be deducted from your future payouts, so you don’t have to pay upfront for the service.
And there you have it — a top-notch listing! That wasn’t too hard, was it? Just remember that honesty is key when listing your home on Airbnb. You want people to know exactly what they’re getting, so they can feel right at home while inhabiting your charming space.
5. Wait for Bookings to Roll in
Now that you’ve got your listing set up, it’s time to play the waiting game while guests search for somewhere to stay.
If you’re not receiving any bookings, it may be a sign that you need to tweak something about your listing to make it more attractive to potential guests. Perhaps take clearer photos or give more details about what makes the location so special.
It may also be helpful to offer your first bookings a discount as it gives you a higher chance of a positive review which will prompt more future bookings.
How to Start an Airbnb Business If You Don’t Own Property
Your search for an airbnb property should start with local zoning regulations. In some areas, “short term rentals” are not permitted.
Once you’ve cleared that hurdle, do your market research. What’s the competition? What are monthly rental rates for apartments and houses in the area?
1. Decide on Your Budget
If you’re purchasing a property, you should know your limit on a listing price. You’ll be able to calculate all the costs for the property, including mortgage, homeowners’ insurance, taxes and utilities. At the same time, you’ll also need to calculate other factors, such as the cost to furnish the property, including linens and towels, and outfit the kitchen.
Increasingly, a real estate investor may delve into the short term rental property market of airbnb businesses. Think about it. If you’re in an area where the vast majority of apartments rent for $2,000 a month, wouldn’t you make more money renting a property for $200 a day? Even with the cost of cleaning services, you’ll make more money even if the property is not rented every day of the month.
2. Choose Your Rental Market
Who are your customers? Are you seeking business travelers from the corporate world, or is your property near local attractions such as an amusement park or historic site?
3. Name Your New Airbnb Host Business
Before naming the new business, savvy hosts check to see what names are currently being used in the area.
For example names such as “mountain retreat” or “Beach Escape” describe the location, but are commonly used, especially for vacation rentals. You may want to add a personal touch such as “Laura’s Mountain Retreat” or “Jimmy’s Beach Escape.”
That will make it easier for happy customers to spread the word, specifically, about the amazing experience they had renting your airbnb. You’ll get more bookings.
4. Form a Legal Business Entity
The majority of hosts choose the Limited Liability Company (llc) as the legal entity. An llc is a good pick for an airbnb rental, as it protects your personal assets. If you’re a real estate investor with a personal residence and multiple airbnb rentals, you can put all the rentals under one llc umbrella.
5. Get Your Taxes in Order
You’ll of course pay real estate taxes, along with everyone else who owns real estate. You’ll also pay sales tax and a local occupancy tax (often called a hotel tax.
You can arrange for airbnb to collect and pay the hotel tax. You’ll have to pay the sales tax, which should be calculated monthly. You can pay sales tax monthly or quarterly.
Make sure you carefully keep track of expenses, such as the cleaning, any repairs, or replacement of aging furniture, linens, towels and kitchen supplies. If you keep track of expenses, filing taxes at the close of the year will be much less time consuming. You’ll file information about profit from your airbnb rental on a schedule C.
6. Choose a Location
Potential guests want a peaceful airbnb rental experience, and having easy access to parking is important. It may also be important that entrance to the property is easy – no long staircase, for example.
Another factor for successful airbnb hosting is having your rental in a nice neighborhood.
7. Sort Out Permits and Licenses
Air bnb businesses can’t operate in areas where local zoning does not allow you to use a property as a short-term rental.
You’ll need a business license to operate a business rental. The license might be called a TOT certificate or a Lodgers Tax License. You’ll need to register your small business with the local county agency that collects hotel tax.
8. Open a Business Bank Account
If you make more than $20,000 a year, or conduct more than 200 transactions via the airbnb site, you’ll get a 1099-K from airbnb. Having a specific business bank account makes all the involved accounting easier.
At tax time, you can deduct expenses such as fees charged by airbnb, such as a reservation fee, which can range from 1-20%, depending on the nightly cost for your rental.
9. Acquire Business Insurance
You’ll need homeowners insurance on the property, to cover it on the days it is not rented. Airbnb provides a $1 million damages insurance policy.
You’ll also need business insurance to cover general liability and property casualty. Additional insurance you may need is workers compensation insurance if you hire people to clean the property.
10. Look at Properties on the Market
You can look at other airbnb real estate available in your area, checking out the amenities they offer and their costs.
That will give you an idea of how much you can charge per night. As with any startup small business, you may not have a strong rental rate when you’re getting started.
When you look at properties, make a list of improvements that the property may need before it can be offered as a rental property. How much will it cost to make your rental space attractive? Although it costs money, you may want to hire a contractor to provide estimates.
11. Buy the Property
Every real estate transaction includes extra costs such as transfer taxes, real estate commissions and filing fees. You’ll typically need a 20% down payment to purchase a property, and should expect to pay mortgage origination costs.
12. Create an Airbnb Business Plan
One of the best features of having your listing stand on the airbnb website is that hundreds of people will see it. You won’t have to devote a lot of time to marketing.
If you or a group of people are running the airbnb here are some more tips:
Describe the business structure. Who is the host, who is in charge? Who is going to respond to complaints?
What is the preferred customer base for the property?
What are the income predictions?
How will we receive payments?
What are the recurring costs (cleaning, utilities, furniture and equipment replacement).
13. Create Your Airbnb Listing
You’ll need high quality photos to make your property stand out, especially if you have special features such as a fireplace, or a great view.
Hiring a professional photographer is a good choice. With a professional taking images, paying attention to lighting and other details, you’re property will be shown off to its greatest advantage.
You’ll also list amenities, which can be kitchen gear such as coffee maker or air fryer. You’ll list the number of bedrooms and the number of people you expect to use the rental, and if you’ll allow extra guests.
Many business travelers won’t choose a property if it doesn’t have high speed internet.
Will you allow pets? If so, what are your rules regarding pets? Will you require an extra deposit, or put a limit on size – for example, no dogs over 40 pounds.
14. Be Successful Small Business Owners of an Airbnb Business
Hosts get ratings based on how they respond to customers. As any small business owner knows, one bad review can be very damaging.
In any house, things break. The water heater can fail, a storm can knock out power.
To be a successful owner, you must be a responsive host. Remember that reviews of hosts, and renters, are public. Be responsive to customers, and be available without being intrusive, and you’ll have a successful airbnb business.
Types of Accommodations on Airbnb
Airbnb accommodations fall into three categories: the entire place, private room, or shared room.
If you list your entire home or property, guests are allowed to stay in your home without you or any other guests being present.
This typically means they have access to a bedroom, bathroom, and kitchen.
If you list a private room, guests will have their own private living quarters, however, there will be shared spaces with either you or other guests.
Lastly, if you decide to list your property as a shared room, guests will be sleeping in a shared bedroom with you or other guests.
Airbnb not only lets you rent out your home or apartment, but the doors are also open to traditional accommodation options as well as some off the wall property listings.
This includes anything from an air mattress in a spare bedroom to a tent in the backyard.
Airbnb allows hosts to list all of the following options, plus any other types that hosts can dream up:
- Private Rooms
As long as you’re completely transparent with guests in your listing, there shouldn’t be a problem with your accommodation.
The only restrictions that Airbnb puts in place on its listings are the following:
The space must only be used for lodging.
If the property is a mobile vehicle (RV, boat, yacht, etc.), it must be parked in a semi-permanent location and in a privately owned space.
The property is accurately portrayed online, in the same location as described, and is bookable by the host.
Mobile vehicles that aren’t semi-permanent and in one place, like boats and RVs, aren’t allowed.
Listings that aren’t primarily used for lodging are also not allowed.
Now that you know whether or not your property can qualify, let’s go over some basic requirements that you’ll need to fulfill in order to be a successful host on Airbnb.
What Are Airbnb Host Requirements?
Lucky for you, pretty much anybody can become an Airbnb host.
All that’s required is providing a safe and comfortable accommodation, follow some basic hosting requirements, and abide by all local laws and regulations.
Airbnb is a global company that connects travelers and homeowners from all walks of life in every corner of the world.
Airbnb is available to residents in almost every country in the world besides Crimea, Iran, Syria, and North Korea.
Signing up and listing your property on Airbnb is completely free and easy.
Is it Worth it to be an Airbnb Host?
In short: yes, it is certainly worth it to list your home on Airbnb. Our team at Adventure in You is all about helping you create unforgettable experiences and if you can do this through the extra moolah that you earn renting out your space, even better!
There’s a lot that goes into being an Airbnb host. It’ll cost you time, money and effort, but it will also lead to a huge payoff by providing a good income while utilizing an unused space.
How Much Can You Make As an Airbnb Host?
It’s difficult to make generalizations about income. As I said, you decide what you charge. And you charge different amounts based on length of stay and time of year or not. It’s up to you.
But what I like is that Airbnb is there to help you find a price that will be profitable for you and competitive for the market if you want their input.
Since they know what people are actually paying in your market, I think this is a huge plus.
If you want to get a rough idea of how much you might potentially earn, simply go to the Airbnb calculator, plug in your zip code and the number of nights to want to list your place.
Another way to do this is to search the site itself for listings which most closely resemble yours and get a nightly pricing estimate.
Of course this will be a rough estimate but it will give you a good idea of whether or not we’re talking about pocket money or get-out-of-debt/save for retirement money.
If you want to outsource the pricing decisions, Airbnb has you covered.
They have a service called Smart Price. If you elect to use it, the algorithm will automatically adjust your rate based on supply and demand at the time.
If you opt in to use this free service, you set a minimum and maximum price and the whizzbang program does the rest.
Of course, you don’t have to use this. It’s free and it’s available, but it’s not mandatory.
So, it’s difficult to know exactly how much you will earn until you actually give it a try and then decide how much you want to list your space. But I am convinced that as a host you can make serious dough.
According to some experts, you can earn 81% of your rent if you list one room in a two-bedroom home using Airbnb. Not too shabby.
Even after reading our extensive beginner’s guide to Airbnb hosting, you may find that you still have a few questions. Below you will find the answers to some of those more commonly asked questions along with a brief recap of what you have read above.
- How many steps does it take to begin hosting on Airbnb?
There are only three easy steps to follow after deciding that you want to host an Airbnb. First, list your space for free. You then need to decide how you want to host. You have the opportunity to choose your own schedule, your prices, and guest requirements. Finally, you can welcome your first guest. Once the listing is live, qualified guests can begin reaching out to you for bookings.
- Can anyone be an Airbnb host?
It is easy to become a host in most areas and creating your listings is always free. To see if you would make a good fit as an Airbnb host, you should review their community standards and guidelines to learn more about what they expect from their hosts and Airbnb users. You will also find valuable information pertaining to safety, security, reliability, and more.
- What if there is property damage?
Airbnb offers something called their Airbnb Host Guarantee. This host guarantee provides the host with protection for up to $1,000,000 and this will cover any damages to the property in the case that those damages exceed the security deposit paid by the guests.
However, there are some exclusions you need to be aware of when it comes to the parameters of their host guarantee and host protection insurance. These exclusions can be found on the host protection insurance section of the Airbnb website. You can also find a list of eligible countries there as well.
- Why should we host on Airbnb?
Still on the fence about hosting your place on Airbnb? They make it an easy process that is secure and easy to follow. They also let you maintain the control when it comes to the availability of your space, the rules, the prices, and how you choose to interact with your guests.
- Are the guests booking on Airbnb verified?
Yes. All Airbnb booking guests are required to provide specific information when making their reservation at an Airbnb rental property. This information includes a confirmed phone number and email address. A verified ID, as well as recommendations from other hosts from a previous Airbnb stay, can also be requested
How much does an airbnb host make?
On Airbnb, a host in the USA earned $44,235 as a host.
How do I start hosting airbnb?
In order to comply with the law, you must add the pending permit number you obtain as soon as you register your listing with the relevant City to it.
Is becoming an airbnb host worth it?
Yes, it is worth hosting on Airbnb.
How do i become an airbnb host with no money|?
Using your own vacant property, making an effort to contact open rentals in your neighborhood, joining an affiliate programme, and then providing Airbnb.
How to become an airbnb host without owning property?
You can collaborate with a landlord to rent out their house and then lend it out again on Airbnb. It enables you to earn passive income without a significant investment.
How to become an airbnb host for others?
You must be added as a co-host by the owner. To invite a friend, click the listing, select the co-host, and then press the “Invite A Friend” option. then accept the invitation, and you’ll start hosting guests on Airbnb.
Airbnb host salary?
An hourly wage of $26.94 is typical for Airbnb hosts.
Airbnb startup cost
The approximate launch cost for Airbnb is $3,000.
Airbnb host calculator
By multiplying the annual occupancy rate by your average daily rate, you can quickly determine your Airbnb revenue.
Airbnb hosting tips
Make check-in simple and safe. Keep in touch with them, always make up for anything that suddenly goes wrong, Maintain a straightforward, spotless home and show responsiveness.
Airbnb host login
Click “Log In” on Airbnb.com or the Airbnb mobile app. Along with your phone number or email address, enter your Airbnb password.