What is Airbnb property management?
Airbnb property management is where a property owner or investor partners with a professional Airbnb property manager to list and manage their property on Airbnb. It works because the property owner doesn’t have to spend time or have any of the hassles associated with renting a property and the property manager receives payment from the short-term rental income they help generate.
How it works
Airbnb property management involves the organised provision of services and processes relating to short-term accommodation using the Airbnb online booking platform (or other similar online booking services). It’s also about creating a great guest experience. These property management services usually include:
- Property listing for the online booking platforms.
- Property styling and photography to create the right look and attract guests.
- Pricing optimisation to maximise rental returns.
- Guest management and communication.
- Check in and check out processes.
- Guest reviews.
- Cleaning and linen services.
- Restocking consumables for bathrooms and cleaning.
- Organising minor maintenance.
Other services may include furnishing and interior design for properties that are completely empty. These may be new or recently renovated properties, or a long-term tenant has moved out.
Why not manage the Airbnb property myself?
Bed and breakfast or BnB properties have been around for a long time. Many people have enjoyed local hospitality during a holiday stay at a bed and breakfast property. It can provide a more intimate and friendly holiday experience compared to alternatives like large hotels, resorts or caravan parks.
Since Airbnb arrived about 12 years ago, the short stay accommodation business has changed. The use of the internet and online booking platforms has created a market for property owners and guests. Ordinary people renting out rooms and properties are competing in the travel and hospitality industry. As with any industry competition, creating value for the end user is what separates the winners and losers. And this is where professional property management comes in.
Some property owners choose to manage the short-term rental of their property themselves. This can work for those who have time and an interest in doing this. Anyone can list their property on Airbnb. This may suit homeowners renting a room or part of their house. BnB In Style offers a consulting service for these types of homeowners or investors looking to get a helping hand and advice on getting started.
One of the main reasons people choose to do the property management themselves is to save money. Interestingly, having a professional property manager partner with you will almost always result in greater rental returns and more money in your pocket. This is because the systems and processes for booking, cleaning and guest management are more efficient. And the list management and price optimisation strategies ensure maximum returns for your local area and help you lower vacancy rates. Plus, the property owner gets time back to relax and not worry about managing the property and guests.
How does good property management benefit guests?
There are a range of guests that use online booking platforms such as:
- Overseas holiday travellers including families, couples or individuals.
- Interstate travellers or locals wanting a holiday or weekend away.
- Business travellers needing an overnight stay or longer.
Guests benefit from online booking platforms because they have a wide choice of properties in a range of locations and at different price points. All guests want to have a pleasant stay and this includes simple things such as prompt communication, easy check in and access to the property, and a clean and secure property as shown on the property listing.
Good property management ensures a consistently good guest experience. Professional cleaning after each guest, fresh towels and bed sheets, well stocked bathroom consumables (and basic kitchen consumables), cooking facilities with pots and pans, guest manual and information on places of interest, easy internet and TV, secure car parking – all these things make the stay comparable to or better than a hotel experience in terms of service and convenience.
Guests who enjoy their short-term stay will write a good review of the property and the hosts. This in turn helps other guests decide to stay there. Conversely, poor property management and a poor guest experience results in bad reviews and increased vacancy rates. A good property manager will manage your property like it was their own for the long-term.
Types of Airbnb managed services
The range of Airbnb managed services ranges depending on the type of homeowner or investor and their needs.
Some homeowners might be renting out a room, bungalow or beach house. This can be done themselves or with some coaching or advice from an experienced property manager. Or the homeowner could partner with BnB In Style to regularly attract the right guests, who are welcomed and shown friendly hospitality and learn tips about the local attractions.
For property investors it is likely to be more hands off as they usually engage a real estate agent to manage the property and sign up long-term tenants. Airbnb property management adopts a similar outsourcing principle for short term accommodation. There may be more systems and processes, but the returns can be much higher.
Partnering with professional property managers helps screen out unsuitable guests, reduces wear and tear. Investors and owners may choose to stay in the property from time to time.
For property developers having the right property management company could make a big difference to managing risks. A developer typically needs to sell most of the properties but may keep some for a private portfolio. This provides an opportunity to apply the Airbnb property management strategy at scale over multiple apartments or townhouses. Selling a property with an income stream in place is attractive proposition for developers.
Summary
To manage your property by yourself takes time, energy and may cost you money if you make mistakes. Good Airbnb property management works because it treats your property like a small business with its own brand. It takes into account guest reviews and host reputation, as well as highlighting what is special and unique about your property. BnB In Style partners with you to ensure all your guests experience the best of your property so they write rave reviews to let others know to come and experience it too.