AirBnB????
Peoria, AZ · Member since 2015 · 9 posts · 7 votes
Hello fellow BPs! As a new member this is my very first post on the forums; with many more to come I hope, I'd like to say hello!
With all that I have been learning about multi-family rentals, I came across AirBnB and got to thinking about it as a full time business as you would with any other real estate niche. Has anyone had success with it? I'd love to know what thoughts you guys might have on this subject. With all these P2P (peer to peer) business disrupting major industries, such as uber, I feel like it could open new doors to the investment world. However, scary and new at the same time.
My business is vacation rentals, it's my full time job, produces decent income and the start of a nice RE portfolio.
I use VRBO, HomeAway, TripAdvisor (Flipkey), VacationRentals, GlampingHub, Airbnb and even Craigslist for my rentals.
WARNING about Airbnb - their cancellation policies are very lax, not good for the property owner, so if someone gets sick or has a death in the family (or any "extenuating circumstance" they can cancel at the last minute and you will not get paid for the rental. This is not good business for our investment properties, we cannot afford to lose a peak week of income due to this policy (and we have!).
So - we use Airbnb ONLY for last minute reservations. It's more work updating the calendars on each of our listings, but we get quite a bit from Airbnb for dates that might otherwise not get booked. We lower rates for last minute availability, offer even lower rates for midweek dates, etc. Lots of strategy, but it's worth the efforts.
@Sean Walton What type of issues did you encounter living in your unit as well as renting it? I’m trying to see how much stuff I need to get rid of in my current place to make it worthwhile. Did you Create closet and drawers space?
@DeShaun Sellers yes I started by renting my NYC apartment which was my primary residence. Yes I had nice things stolen, although that was a long time ago and haven't had any theft in past 10 years.
To make guests comfortable I would remove your things, put them in a locked owners closet and let them feel as though the place is "theirs", not "yours". It is such a big business now that I beleive even "home sharing" guest expectations are much higher, they expect cleanliness and consideration on the scale of a hotel. Not necessarily decor, that is your own style that you bring to their experience, but definately make them feel that you thought of them.
I just came back from a $500 night airbnb in Tahoe and we were so dissappointed with the thoughtfulness aspect of our stay. The host had their personal belongings in the closets, cabinets were stuffed with mismatched and chipped dishes and pots and pans, spice jars and inside cabinets were filthy, no tin foil, plastic wrap, washer/dryer soap. Being an owner myself I am not leaving a bad review, but my friends are!
@Sherif Taher, you'd probably have better luck starting a new thread and not reviving one from 2 years ago.
That said, this is how I typically co host for people. (I do several)
1. Either YOU create the listing and then I make some changes as I see fit, OR (more often) I will create the listing using a new e-mail and airbnb account and give you the passwords so you can take ownership of them, then I add myself as a co host. It's important for the co host to have access to the main account since there are a few things a co host isn't able to do and it saves you the headache. If you already have the listings up; its a quick add to make someone a co host.
2. I use a running a google sheet to track every reservation and all expenses related to it.
3. You would be responsible for ensure the deposits in your account match the books. If you find a discrepancy we (or I) would figure it out.
4. I invoice monthly, within a few days of the first of the month for the agreed upon % and any reimbursable expenses.
Keep in mind AirBnB destroyed their Co Hosting feature by removing the ability to get paid through AirBnB. You now MUST pay OUTSIDE AirBnB platform, which makes no sense to me since AirBnB always preaches keeping everything in their platform but thats another discussion. This makes it more complicated but not impossible.
This would all need to be in writing so you're both protected. Shoot me a message if you have any other questions.
Hey Mike, (and anyone who is willing to share some ideas) I started co-hosting an Airbnb in NYC a few months back, it kind of fell in my lap and I make some extra cash doing it, so I'm trying to see if I can pick up some more. Do you have any tips you'd be willing to share on how to find more units to co-host?
Are the ones you manage from close friends or people who you found or sought you out specifically?
@Maura Paler I have a 3br townhouse that I will be making available. In your professional opinion should I consolidate my clothes into one closet and leave the others available for the guests? Also creat drawer space in all rooms?
@DeShaun Sellers Remove, hide or otherwise make inaccessible any and all of your personal things. Clothes, pictures, toiletries, mail, etc.
The only personal things I have in one of my STRs is a picture of my Labrador retriever. And that picture is mixed in with half a dozen other pictures of my friends hunting dogs in one particular unit.
Oh, another property of mine has several autographed 8x10's of me and local celebrities, former NFL & MLB players, national champion coaches from the college, semi famous musicians, radio personalities etc. I'm trying to get some autographed books from another celebrity that is a DJ on Sirius, but that is taking awhile.
Hello fellow BPs! As a new member this is my very first post on the forums; with many more to come I hope, I'd like to say hello!
With all that I have been learning about multi-family rentals, I came across AirBnB and got to thinking about it as a full time business as you would with any other real estate niche. Has anyone had success with it? I'd love to know what thoughts you guys might have on this subject. With all these P2P (peer to peer) business disrupting major industries, such as uber, I feel like it could open new doors to the investment world. However, scary and new at the same time.
Nick check this out https://www.biggerpockets.com/member-blogs/11961/84579-how-to-create-a-fortune-in-airbnb-without-owning-a-single-home
Hi everyone,
I’m looking to jump into the Airbnb business as a cohost for property owners. I came across James Svetec’s course. I personally talked to him on the phone, seems very legitimate and he himself conducts the course. He has over 14 properties he manages. But the course is $2800. Am I nuts? Or is this a good investment? Any advice for a beginner like myself?
Hello fellow BPs! As a new member this is my very first post on the forums; with many more to come I hope, I'd like to say hello!
With all that I have been learning about multi-family rentals, I came across AirBnB and got to thinking about it as a full time business as you would with any other real estate niche. Has anyone had success with it? I'd love to know what thoughts you guys might have on this subject. With all these P2P (peer to peer) business disrupting major industries, such as uber, I feel like it could open new doors to the investment world. However, scary and new at the same time.
Yes! You can be very successful with Airbnb and other short term rental strategies. In fact you can usually make a lot more cash flow with less money upfront than regular investing. If you have any questions let me know.
Good luck!
Hi everyone,
I’m looking to jump into the Airbnb business as a cohost for property owners. I came across James Svetec’s course. I personally talked to him on the phone, seems very legitimate and he himself conducts the course. He has over 14 properties he manages. But the course is $2800. Am I nuts? Or is this a good investment? Any advice for a beginner like myself?
@Maura Paler has this airbnb policy changed since your 2016 post?
Thanks
@Nick Jacaruso I have Airbnbs and Long Term Rentals.
Like someone mentioned, an Airbnb can be a lot more profitable than a long term rental, as an example my 3 Airbnbs bring in as much as 2x the rental income as 6 of my rentals but the Airbnbs are 10x the work.
In my opinion it's tough to compare Airbnb vs Long Term, there is so much more work involved in an Airbnb. Long Term rentals you have lower returns but much less work and much easier to scale.
You can definitely make a business out of it, just keep your emotions out of your decision and don't start buying short term rentals where you want to take vacations, run it like a business and pick the most profitable locations
I can only find insurance that allows a six month minimum rental for a beach cottage. Does anyone know where I can find shorter term coverage and for a coastal property in Florida?