My husband and I have been successfully running an Airbnb in our primary in NY for almost two years now ( what @Ben Leybovich now enjoys and promotes in his book). We confidently purchased another luxury home in FL for a few investment reasons, including STR using mostly Airbnb and self-manage that from out of state. All is well with both styles.
My question is this: I am going to be the local go-to person for a host who has 4 units nearby us in NY but who lives out of state. They are mostly for longer stays ( 5 day minimums - up to a few months). She will continue to operate her calendar and bookings. I will manage her Cleaner’s and be available to arrange maintenance, as needed.
What do you think is a fair arrangement? I was thinking - $100 flat monthly fee for being “on call” plus hourly for house checks and visits of $30. Can anyone offer feedback or your experience with this?
@Nancy Bachety your time is so much more valuable then that. I would ask for a portion of each rental. A quality person like yourself is very hard to find.
@Nancy Bachety Why not charge like a property management company? 10-15%. Since the STR is more attention, 15% will be fair plus if you need to go there, 20-25/hr for the visit.
4 units. I'm guessing they rent for $500/week. That's $2000 per week, or about $9000 a month 100% occupancy. So in real life it's probably $4500 to $6000 per month in rent. A flat 15% with no fee for visits or house checks seems fair. That's $700-$900 a month to you. Or 10% with a fee for visits and house checks.
Depends on the market and the extent of services you will provide. For total turn-key, I am seeing 20% - 35%. I am thinking 25% or less is fair for TK. Good luck, Nancy :)
$3000- $4000/ month. It seems her occupancy is light at this time, maybe 25% at those prices. Guests pay $90/ cleaning fee.
They used to be LTR but she’s changed them over. Tends to be corporate, business, traveling nurses. You’re right, people like us are hard to find, apparently. I would probably estimate her monthly income at 25% occupancy to be $$3500 -$4000 based on what I know so far. I’m meeting her next week and want to give her my proposal.
From owners perspective, I’m checking on cleaners at each turnover, let’s say 8 times a month. I’m arranging as needed maintenance, calling my contacts, taking that worry and responsibility away from her.
I am not handling calendar or talking to guests. From my perspective, I’m onsite after cleanings and making myself available, using my contacts.
Let’s say 10% is $400 and it’ll include turnover visits plus $40/hourly as needed beyond that for maintenance or whatever calls. I can view this from both sides but it’s too personal to see clearly so I appreciate your feedback.
Hey @Ben Leybovich , last time We were in Chandler, there was a law prohibiting public dancing! Have times changed? Great podcasts on Cash Flow Guys and Kathy Vetke. Good luck to you too.
@Eric A. Our house is in Davis Shores and our builder is from Ponte Vedra. Awesome part of the country!
@Nancy Bachety very cool on Davis Shores. Our BnB's are in Vilano and I think you may have tried to do a meetup this summer. Anyway, congrats on getting set up in Davis Shores. St. Augustine is an awesome place!
Nice. Yes, didn’t you come to the first meeting? We’ve met about half a dozen times, mostly when I’m in town. It’s a great group of knowledgeable hosts. Our meetups are random but we stay in touch. Reach out if you want to join our list.
What are you doing at Bnbguy.com? Sounds like something I’d like to hear about.
@Nancy Bachety sorry I didn't make it this summer. We spend summers in Maine so I most likely was not around.
Bnbguy.com is something I have been thinking about for a long time. I have been in the STR business for 17 years and have seen the good, the bad, and the ugly. I have definitely learned how to develop a system, and exactly what NOT to do. Screening indicators on potential guests etc. etc. So, all that being said I decided to start writing an ebook because of all the questions I receive all the time. I see some of these guys hawking $5000 courses which is fine, but I think you can help prospective hosts for dramatically less or nothing. This is a wonderful business that can allow people to earn extra money, travel, or give back to their communities.
Sorry for the long response but that's it in a nutshell. No, I will not be hawking a late night infomercial any time soon! Take care!
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