Looking to AirBnb Your Apartment? Here’s Everything You Need to Know

You’ve probably at least heard of Airbnb by now, if not stayed in a few of their offerings already. But have you considered running one of your own? Airbnb has tremendously revolutionized the travel industry since its advent in 2008, enabling travelers everywhere to find safe havens customized to their unique likings and preferences. Airbnb can be a shared space with multiple rooms, a single space shared by multiple persons, or an entire property used by an individual or group. Whichever the case, Airbnb strives to provide a kind of “home away from home” experience to clients.

To most homeowners, Airbnb is considered a gold mine. According to the site’s official statistics, over four million hosts provide unique stay options on their platform, with each earning an annual average of $9,600. While ideally any homeowner can be an Airbnb host, regulations governing the practice significantly vary among states and jurisdictions. As such, you’ll want to consider a few critical questions before venturing into the business. For instance, what are the considerations for setting up your apartment as an Airbnb? How do you get your place on the Airbnb platform? What are the prospects and pitfalls running an AirBnb?

This piece has been tailored specifically to answer these tough questions. Read on to find out everything you need to know about renting your apartment on Airbnb!

Factors to Consider Before Starting an AirBnb

Several factors need to be considered before you venture into the Airbnb business. For example, you may want to know what the zoning laws in your area require, what property experts in the region think of the move, or what extra costs you may incur while renting out your place.

Local authorities usually use zoning ordinances to define how property can and can’t be used in particular geographic zones. New York, for instance, requires Airbnb to share information about local listings with the city government. Places like Denver, on the other hand, require that short-term rental hosts acquire a license before opening up their AirBnbs.

While your local zoning laws might allow for short-term AirBnb listing, your lease agreement can still put you at odds with your landlord or property manager. Certain leases forbid AirBnbing altogether and even consider it as grounds for eviction. It’s therefore critical to review your lease with your property manager before starting your AirBnb to make sure everyone’s on the same page.

Moreover, just like any other business, Airbnb attracts taxes you’ll have to file regularly with your local authorities. As such, you’ll need to track all the extra costs that come with these listings and account for them accordingly.

How to Set Up Your Apartment on the Airbnb Platform

Setting up your apartment on the Airbnb platform is a pretty straightforward process. First, you need to create an account on the Airbnb website and find the “Become a Host” button. From there, the site will prompt you to create a listing where you define your Airbnb, including all pertinent details like property type, whether the entire property is being listed or just a part of it, and basic amenities included. Be sure to stress any top features like high-speed Wi-Fi, streaming services, any anything else that will give potential clients the desired “home away from home” experience.

You’re also able to upload photos here to help attract guests to your listing. Professional photography at this stage is a sure way of securing a good first impression. And of course, you’ll need give your Airbnb a strong, catchy title to catch potential renters’ eyes from the very start.

You then need to set guest expectations, i.e., your expectations from guests and their expectations of the property. Use this section to clearly state whether or not things like smoking and noise are allowed, or whether or not guests should expect a parking space. After setting the standards of expectations, you’ll choose your preferred booking specifications for your guests. These specifications may include arrival time, duration of stay, etc. Always have a calendar on standby to keep track of your rentals, and to give yourself a better idea of when you’ll need to change your listing’s availability.

At this point, you’re pretty much ready to set your price. Airbnb has made this quite simple by developing a tool that proposes the minimum and maximum price by comparing your listing with others in the area. Once everything is set, it’s time to wait for your first guest. Luckily for us all, Airbnb allows hosts to screen their guests, including perusing their reviews by past hosts to ensure you’re comfortable enough to allow them into your rental.

AirBnb Pros and Cons

The advantages of Airbnb are plentiful: customizable search, the ability for hosts to set their preferred prices, free listing, and even a handy tool for guest and host protection in case of an unforeseen incident. However, Airbnb also presents some pretty significant risks.

To begin with, many hosts usually list their apartments as Airbnbs despite their lease agreements barring the very same thing. Such practice puts them at odds with the law and might also potentially cost them the lease. On top of that, the potential for damage is quite significant, with most hosts finding some form of damage to their listings after guests leave. In some extremes, the house is totally trashed, causing the host to incur extra costs that Airbnb may not cover based on its policy (e.g., damage to rare artwork and pets).

Like any worthwhile business, getting into the AirBnb game is a decision that requires careful thought and consideration. If well managed, an Airbnb can be incredibly lucrative – just be sure to exercise caution to minimize the risks involved.