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Updated almost 7 years ago on . Most recent reply

User Stats

35
Posts
49
Votes
Craig T.
  • Rental Property Investor
  • Seattle, WA
49
Votes |
35
Posts

Pillow for Airbnb management

Craig T.
  • Rental Property Investor
  • Seattle, WA
Posted

I'm house hacking in a duplex in Seattle.  The vacant unit is listed for long term rental, but I heard of this company Pillow.  Pillow manages your vacation rental through Airbnb, VRBO, and Homeaway.  Pillow handles all communication and schedules cleaners.  There's an upfront fee, 15% commission, cleaning supply fee ($9/reservation), and linen ($11/sleeping surface).  Has anybody used this service? If so, what are the pros and cons.

I have a W-2 job and can't turnover the unit on my own, the reason I'm looking into Pillow as an option.  

Most Popular Reply

User Stats

46
Posts
68
Votes
Jared Higginbotham
  • Investor
  • Tampa, FL
68
Votes |
46
Posts
Jared Higginbotham
  • Investor
  • Tampa, FL
Replied

Don't forget about the tax burden on this as well!

I run a small business here in Tampa that is essentially just like Pillow except we don't have individual line item charges like that. Just a simple percentage right off the top. I think what they are doing with line item charges is great for their business. It all boils down to this. A 1/1 efficiency will not rent for as much as a 3/2 as a vacation rental. The line item charges equate to sucking more cash from you. 15% of $40 per night is way less than 15% of $200 per night. That pricing structure was carefully thought out so they didn't lose money managing tiny rentals. If you have multiple properties that you want to utilize their services, I am sure they would bend over backwards to negotiate the fees with you. Hope that helps brother.

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