Why airbnb can kiss my butt

Why airbnb can kiss my butt

Investor · Atlanta, GA · Member since 2013 · 3k+ posts · 3k+ votes

Ok, so I understand that everyone's situation, property, location is different and thus I'm stressing that this was just my own personal experience and I'm over it - after only 2 weeks ;-)

Beginning of the year I decided that I wanted to do airbnb on some properties that I was renovating. I was so excited and read every discussion thread on various websites and joined local airbnb meetup etc. I had so much fun coming up with themes and decorating and finding all of the item to fit the themes etc. and was looking forward to interacting with travelers from all over the world. 

Now, my 3 properties are in a transitional neighborhood, but within a fenced block that is an artist community. We are incredibly central (2 miles from downtown) to everything in Atlanta, that's intown. I have explained that all in my listings, as well as in the welcome email with details of codes etc. 

First I did everything you were supposed to do to get as much exposure as possible: Instant booking , smart pricing . I had a professional photographer. Smart pricing was very low and I think that attracted the people that soured this for me. 1 bedroom apartment for $ 35 and 3 bedroom for $ 65. Well, I went with it, because I knew that I needed good reviews. 

First booking was for 1 week. Person had no prior reviews, told me that he was in between apartments and has several service animals (sorry, but nobody has more than 1 service dog, because it costs about 10K to train one0. I actually allow dogs, so this obvious lie set up a huge red flag for me. I Did some research and found a bunch of evictions for him. His profile says that he's in Missouri, but he's been living in Atlanta for years, so obviously not a traveler. I got really worried, as I didn't want someone that would turn into a squatter and called airbnb and they agreed to cancel the reservation. The guy then threatened to have me thrown off airbnb. 

Had my first guests arrive Friday, 2 weeks ago. It was raining and she texted 'we're here'. I looked out the window and didn't see anyone. Went outside of our compound and see their car further down the road, facing me. I'm standing in the middle of the street, in the pouring rain, waving my arms. There's no way they didn't see me. They turned right, away from me and towards the main street again. I'm running after them, yelling, waving my arms, but they don't stop. They get stuck at the main road, because there are cars and they can't turn. I finally catch up with them and they agree to turn around (only hit me later that they really were leaving and were not lost) . Anyway, I walked them through and then they said that they'd go to dinner. 30 minutes later they called and said that they wouldn't be back. I told them that I'll get them a refund. Was my first guest and I didn't want to start off as a bad host. They cancelled and I made the mistake of after canceling them on my end, thinking that that was the process for them to get their money back. Turns out that I was then being penalized, because this cancellation on my end would have made it impossible for me to become super host for at least a year. I called airbnb and they said 'don't worry, everything's fine'. But I could see on my stats that because of this cancellation I was at 75%, when I would have required 100%. 

2nd guests were awesome. They loved it so much that they came back the 2nd week and rented my other unit. And they just came back for the 3rd time. 

3rd guests was a young couple, that seemed to fit right in. He's a musician, she had dreadlocks and they both worked as bartenders. Both told everyone there how much they loved it. They actually contacted me at 2pm and asked, if they could check in at 3pm. I told them that I didn't expect anyone and would have to clean first and that the unit wouldn't be ready until 5 or 6 earliest. Would that still work for them? They said that that was fine, but would there be any way for them to just stop by at 3 and drop off their stuff and come back at 6? I agreed. So, the boyfriend came with his things and then went into the bedroom and closed the door and stayed. Ok, no big deal, we cleaned the rest of the apartment, as we had had a plumber there earlier. And since these were the first guests in this unit, the sheets were new. 

Being bartenders, they worked nights, so, we didn't see them much. Check out was 10am on July 5th. Sent a message, asking if they had checked out at 10.10. No answer....Tried calling at 10.45...phone turned off. Tried several more times to call..off.  At 11.30 I finally knocked on the door. They had still been sleeping and were clearly upset. I told them that check out was at 10, they insisted that it was 11. I pointed out that it was 11.30 now and that they had still been sleeping and that I had another guest coming at 3pm and needed to clean. I was still on the property when they left around noon. I waved good bye and they didn't acknowledge me.  Got a scathing review how terrible it was and how there was noise all night long and they couldn't sleep and that this was a dangerous neighborhood (I did describe that this is not a neighborhood for walking around in and they didn't have a car and walked around in the middle of the night, coming from their bartending jobs), that I was late and wouldn't let them check in until 6pm, instead of 3pm, that I loudly woke them up at 10am, when check out was at 11 and so on and that they wouldn't recommend anyone to stay here. I had given them a 5* review, because it wasn't such a big deal with the check out - even though in retrospect I Wished I hadn't. Guests in the neighboring unit told me that they didn't come home until 5am, when their dogs loudly welcomed them, so, they hadn't even been there when there was supposedly all of this noise. Besides, even if they had, it was 4th of July and I'm sure there were fireworks and parties all over the U.S. 

I contacted airbnb in tears, told them that I have other airbnb guests that are willing to vouch that these people hadn't been there at the time they claimed and that my email trail through airbnb shows that I told her ahead of time that she couldn't check in at 3pm...they opened a case, but never did anything. 

Then I had this couple with 4 children that booked for 4 days over July 4th. I tried to explain to her that our artist community property is for common use for everyone, but that it's somewhat raw, with walls and places where children could get hurt, if not supervised etc. She said that was fine. Again, the neighborhood was explained in text and email. No problem. 2 days before she writes that they had a death in the family and whether they could cancel. I told her to just go ahead and cancel through airbnb (I had the easiest cancellation policy). Next day the reservation was still there. I asked her to please go ahead and cancel, as I was now in limbo land. She then changed her trip to 2 days. Came on the 3rd. She and her husband walked through the main area of the house and walked back out. She came back and said that her husband didn't like it and they were going to leave. That she had no problem with anything, but that she had only shown him the pictures and he didn't like the area. She wanted a full refund. I said that that really wasn't fair to me, but that she needed to contact airbnb. She never cancelled, so I could never open it up again to anyone else. 

A few days ago she asked for the refund and gave me a scathing review: the pictures must have been 10 years old (were taken 1 week before by a professional photographer, no editing and nothing was changed since) and all of the walls and floors were dirty. That there was a man on the front porch (this is a duplex and I have a painter living in the other unit) that must have been the community bum. That I didn't look like my picture (sorry, but I was cleaning the unit all day and didn't wear make-up and had my hair in a ponytail). 

Then I had some great guests, who didn't write a review, so, I couldn't balance it out. Got a few good or great reviews. 

Yesterday morning I got a letter that said that I was suspended, but that I still needed to host the current reservations and if I got my average back up above 4 stars they would reconsider. I was going to hang in there, but then I got a call from a guest, that had come the night before, who told me that she couldn't stay there, because the lighting wasn't bright enough for her to put on her make-up and that she found a piece of trash under the sofa and why I wouldn't check the place before I let guests in. 

That was it. I sort of had a break-down and called airbnb and told me that I was done. Those past 2 weeks were so stressful. Every guest I was worried that they'd find something wrong. I felt I was being held hostage by potential good or bad reviews. You're not allowed to turn down too many inquires or you get penalized. Almost everyone I booked had no reviews. You can only put a contingency of having had good reviews, if you do instant booking. 

I met every guest myself, even those arriving at midnight. I had water and snacks in the fridge. I walked them through everything and told me to call me if there's anything wrong, missing, even if it's 2am, since I just live 2 blocks away. 

Basically, I feel really relieved today. I'm a great landlord, but I don't want to feel that I'm held hostage by guests like this. This was not for me. But at least I don't have to look back some day and wished that I had.....

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Investor · Sparks, NV · Member since 2015 · 63 posts · 51 votes
9y

Look into renting to traveling nurses or other medical professionals. They do 13 week contracts, pay really well, and rarely complain. 

See this reply in the discussion

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  • Investor · Chicago, IL · Member since 2009 · 1k+ posts · 1k+ votes
    9y

    Sounds like your property is fine and this customer has some kind of issue.  Airbnb is great, although not for me, because I don't like temporary "tenants."   

    I like Airbnb more as a consumer.  It allows me to get cabins and other offbeat properties that were less available in the past.

  • Specialist · Northern, CA · Member since 2017 · 182 posts · 34 votes
    9y

    @Michaela G.

    I used to sell on eBay both after Wall streeter 1 (Meg Whitman) and then foolishly again later on, when John Donahoo took over and it got far worse. I see very similar parallels with Chesky's 'mentoring' by Donahoo, the "word on the street" of a 2017 or '18 IPO since 2014ish, and after viewing the speech Brian gave at the Aspen Institute. Much like eBay (or any global 10,000 public livery corporate system subsidiary, under the Crown empire) the founders either "toe the line," or are soon replaced with a Meg or John type. (i.e. an establishment autonotom, focused on 'theft' performance bonuses, perks, stock price, quarterly reports and undeserved, "golden parachutes!") 

    I suggest you instead (sandwich or cooperatively) 'lease option' those properties, make considerably more BANK than "renting them out," then when the "economy tanks" again in 2018- 20ish... you will have capital to REINVEST at or near the BOTTOM of the market 'S' curve! Thanks for sharing your (parasitic) 'hosting' story, in so much detail. Sounds like you also made the RIGHT choice. Keep smiling, and kind regards :-) Scott

  • Real Estate Agent · Grand Rapids, MI · Member since 2017 · 1 post · 0 votes
    9y

    Thinking about hosting; I will definitely take all of the above info and insight into consideration. What cut does AirBnB take? Or is it just the service fee that is charged upon booking? I'm unable to find that information. Thanks!

  • Property Manager · Wisconsin and Florida · Member since 2017 · 346 posts · 227 votes
    9y

    I have been on AirBNB for a little over a year and haven't had any issues. I own 2 properties I've listed on there and manage 7 others. A couple of thoughts come to mind... not every property is suited as a STR. I mainly reserve them for vacation locations, places that corporate travelers would want to stay and families. They are a lot more work than long term rentals and you really want the right clientele there because they will not only be in your property but also using your furniture. Second, I choose properties that will command a high enough nightly rate. I don't want to be a low budget place and with the work involved, the ROI needs to be there. The higher the price my properties are, the better they seem to take care of my place. I never use smart pricing. I do not want to market myself as the lowest priced place out there. I wouldn't throw in the towel forever but maybe try to find a property that would be better suited for STR. Hope that helps!

  • Real Estate Investor · Sanford, FL · Member since 2016 · 8 posts · 10 votes
    9y
    Can you post photos? How can I view the listing? Very curious. Thanks!
  • Investor · Atlanta, GA · Member since 2013 · 3k+ posts · 3k+ votes
    9y

    keith...are you talking to me? My listings are no longer visible.

  • Investor · American Fork, UT · Member since 2014 · 28 posts · 4 votes
    9y

    If you ever change your mind check out Zeona McIntyre and her excellent podcast on AirBNBing.  She does consulting and I believe management at 20%.  You could have her help you get it started.  Just a thought.

  • Investor · Atlanta, GA · Member since 2013 · 3k+ posts · 3k+ votes
    9y

    @Patti Royster , as reiterated several times, I'm not interested in it any longer. After having made the experience I have, I saw that it's way more work than I"m willing to do and the money isn't worth the aggravation.

  • Specialist · Northern, CA · Member since 2017 · 182 posts · 34 votes
    9y

    @Wendy Schultz

    Well stated... I know several people (some of whom I made the initial suggestion) that rent- out their entire abode (while they stay at a friend's, lover's, family's, etc. place) for around +/- $500. a night, here in Sonoma, Napa and Marin, etc. county "wine country." They also tend to utilize VRBO and one realtor friend plans to 'specialize' in managing these places. (Her 2500sf condo overlooks the main park green, in Windsor... and it right next to shopping, a grocery store, eateries, bars, entertainment, etc.) 

    I's venture to say that it wouldn't be worth doing the 'lower- end' with fewer than three bedrooms rented, and the people I've noticed doing so indeed had three or more rooms allocated... Unfortunately this doesn't consistently attract the 'right clientele,' and also tend to upset the immediate neighbors. (Especially in ruraldom!) As for 'area...' that's generally more about "safety" and "things to do within walking and driving distance," than the actual space itself, at least for shorter- term guests. If I were Michaela, I'd offer those on "lease to own" agreements for $5k. - $10k. down, and target the mid higher- end (full space) rentals, or not bother?

  • Investor · Atlanta, GA · Member since 2013 · 3k+ posts · 3k+ votes
    9y

    So, doing some numbers. 

    Let's say I would have had an 80% occupancy rate with airbnb (sure, we all hope for 100%, but that's not realistic)

    The 3 bedroom at $ 89/night @ 24 nights would have been $ 2136/month

    Both of the 1 bedrooms @ 65/night @ 24 nights would have been $ 1560

    So, a total of $ 5256/month

    I already have the 3 bedrooms rented out , all in, for $ 600/month. 1 moved in last night, the other 2 before end of month . That's $ 1800/month

    The 1 bedrooms I'm asking $ 995/month. 1 is already filled and the others I have a few people that want to see it. 

    So, now I'll have a total of $ 3790/month .........difference of roughly $ 1500/month. 

    $ 1500/month would have been very low pay for having had to give up every evening, because I'd be sitting for people to arrive. Maybe announced at 7pm and then they decide to eat dinner on the road and it ends up 10pm. Not being able to make any plans for myself or having to cancel things, because guests run late. Not counting the stress of worrying about ratings.

  • San Francisco, CA · Member since 2016 · 42 posts · 25 votes
    9y

    @Michaela G.as someone else said, thank you so much for sharing your story. It's really sobering and eye-opening! 

  • Dawn AnastasiPro Member
    Rental Property Investor · Milwaukee, WI · Member since 2013 · 6k+ posts · 4k+ votes
    9y

    @Michaela G. sorry to hear that it wasn't a good experience for you. I've had some bad experiences too, while real estate investing, but it's only because I've tried many different things. I've found what I like, what I don't like, and what works for me. At least the positive outcome is that you can say you did it.

  • Marietta, GA · Member since 2013 · 202 posts · 118 votes
    9y

    @Michaela G wow what an experience. But it is good you are trying out all the different options. I'm still going to have meet up someday when you have spare time.

  • Investor · Atlanta, GA · Member since 2013 · 3k+ posts · 3k+ votes
    9y

    hey..kevin..myes let's. I'm not as busy these days as my artist community is finished

  • Real Estate Investor · Renton, WA · Member since 2017 · 2 posts · 1 vote
    9y

    I'm interested in the Nursing/Professionals renting as well.  How do we find them?  I currently am doing airbnb, but winter is an upcoming concern as vacationers don't rent as often. 

  • Real Estate Investor · Renton, WA · Member since 2017 · 2 posts · 1 vote
    9y

    I have 2 STR's and am still trying to figure out if they are worth it.

  • Investor · Atlanta, GA · Member since 2013 · 3k+ posts · 3k+ votes
    9y

    Lol.....today I'm getting an email from airbnb stating that they've conducted a review of my complaint about the retaliatory review and they agree and are deleting the review. Sorry it took so long......

  • Brooklyn, NY · Member since 2015 · 47 posts · 22 votes
    9y

    @Michaela G. - You go the most important point right. This is not for everyone. It's great for others. I'm going to play a little bit Devil's Advocate because I care about your success. I've had multiple AirBnB properties since 2013. I've experienced every shade of crazy, in the beginning it was similarly overwhelming - but - what I started to do was I started to - crazy proof - my SYSTEM and plan for crazy. Most if not all of the problems you mentioned are either preventable by immaculate screening standards, well very thought out home guides, home rules, record keeping, deposits and upfront clear communication of what not to do and what the consequences and have people agree with them BEFORE they stay. You will learn many small things that can change your experience. Lower prices = lower quality guests. More compromise on your standards on your part = more demand from them. etc. etc. 

  • Deland, FL · Member since 2017 · 2k+ posts · 1k+ votes
    9y

    So sorry to hear your horrible experience

  • Investor · Mableton, GA · Member since 2013 · 78 posts · 43 votes
    7y

    HI Michaela,

    I have been to your complex in Pittsburg subdivision. I know you disclosed but on airbnb about your neighborhood.

    What airbnb suggest in pricing can be too low and will attract clients you may not want nor need.

    I advise anyone using airbnb to get on all the fb groups and google email groups and meetups as much as possible. You will learn a lot more from some excellent Airbnb Superhost in Atlanta. This information is INVALUABLE.

    I have been told that you or/and your cohost must work on your airbnb site consistently..almost daily. You cannot put your listing up and hope and pray for people to come. The longer a property sits with no bookings, reviews or wishes the further down the rabbit hole it goes. Always be doing something to your listing on airbnb.I find airbnb to be very one sided in regards to leaning toward the guests more than equally with landlords. The whole system of the review can drive any host in to misery from a bad review or getting someone in your property that is paying too low and/or do damage to your property or worse.

    Make sure to put your house rules together and be very clear about them. Remember this is still your house. If you have an issue and a guest damages your property and you did not have that in your house rules you will not have a leg to stand on with airbnb. I had 4 guests with no identification or many house rules. I received 3 positive reviews and minimal loss when I was doing self check ins. Jason helped me get started. I felt it impartive to have a cohost bc if I would have communicated with guests i would have driven them away bc of long term landlord experience and what I require from long term possible tenants.

    More things I have learned: Have surveillance equipment outside of your property (this can affect your listing bookings) . You will know who is coming and going..and can probably discern who is "authorized" and who is non-authorized. I will now ask for full name and all names and ages of all booked guests. If I don't know who is authorized how can i know if they are unauthorized? I understand you cannot ask for someone's license before they receive complete information on the property after booking but a lot of hosts have changed from self check in to now meeting guests at their properties to obtain a driver's license and walk them thru the property initializing the house rules to confirm everything is clear and guest know where things are. People will not book if there is a required check in with host.If you have lengthy house rules they may not check in either but again this is your property. Every decision you make and implement in regards to your listing can affect your listing.

    You must ask yourself what is your expectation for this property on airbnb and see if your expectations are realistic: what do i need monthly from my airbnb? Do I like turning a property around every 2 to 4 days with guests? Is the monthly income what I expected to start off with?

    Know when the very slow seasons are. For what I understand Jan to March can be slow seasons and great time to update property if you need to. Sometimes from Thanksgiving to March can be slow. I thought you start off build momentum and you were good.

    There are a lot of people who have done very well with airbnb and wouldn't want to do it any other way. They enjoy the social aspect of people coming from all around the world. They have housing for people needing to relocate for short term. When an airbnb host travels they can have their whole family together on a trip that they could not afford thru a hotel.

    Good luck to all who do airbnb. Kudos to Curt and Jason.

    Best,

    Johnna

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