Whether you’re years into Airbnb hosting or you’re still thinking about becoming a host and you’re asking- “Is being an Airbnb Host worth it?” I’ve asked myself the same question, and here are the reasons why I’m moving on from Airbnb hosting.
This is an emotional post for me to write, because honestly- I’ve poured my heart, soul, years of time, and an unmentionable amount of money into my Airbnb business. And the truth is- it’s not working out.
Those of us who’ve been on Airbnb since the beginning will remember where it all started. I remember staying in my first Airbnb. It was a room in a shared home and I think I paid $25 as a broke twenty-something who wanted to spend a weekend in Niagara Falls. But I remember it was so simple, yet SO charming and it immediately made me want to be a host!
After 6+ years of being an Airbnb host, it’s just not the same as it was then and I’m here to share why.
This post is all about “is being an Airbnb host worth it”
10 Reasons Why I Quit Airbnb:
Unkind Guests
Of course, in any business, you’ll experience difficult people. But what’s so disappointing about this in the Airbnb space is to see the major shift in the type of guests we host. If you’re a host who’s also traveled on Airbnb since the beginning, you’ll recall that at its heart, Airbnb was a way for hosts to share a thoughtfully crafted space (be it an extra room, an apartment, what have you) often at a fraction of the cost of a hotel room.
Guests, (like myself as a traveler), were the carefree type, thankful for a comfy bed to sleep on, and appreciative of the unique “local” experience that you can only get at an Airbnb. They often had a passion for travel, were more concerned with experiencing the local surroundings, and were happy to have a comfy bed to crash in after a full day of events.
It was a community of mutual respect between guest and host.
But now, frankly, Airbnb hosting feels like being a customer service agent. I find that many guests traveling on Airbnb now tend to compare our listings to a hotel. Some guests are completely intolerant of normal property-related mishaps, i.e. a slow running drain, sightings of a few ants, etc. and we get many nasty grams from guests as if they don’t realize we are human beings on the other end of the line- NOT nameless, faceless customer service agents.
Even with the thickest of skin, these types of communications can beat you up over time.
RELATED: What to Know Before Starting an Airbnb: 14 Tips
Late Night & Overnight Messages
Secondly, more and more guests expect you to respond instantly upon receiving their message, no matter the time of night. There comes a time when you wake up to one too many messages in the middle of the night where a guest was having trouble checking in (whether it’s your fault or theirs).
That kind of pressure is a lot on a person. If you’re scaled to a point where you can take on a team member to handle communications- it’s absolutely possible, but still doesn’t bullet-proof the potential overnight issues.
The truth is, being an Airbnb host requires being available 24/7.
Market is Saturated
In my market, the number of Airbnbs has skyrocketed from when I first started hosting. Because of this, occupancy has struggled, and nightly pricing has been driven down. As a host who’s kept up with the design of my Airbnbs, having great photos, and optimized listings, I’ve still seen declines in occupancy. There’s simply an oversupply of Airbnbs in our area.
If you need help optimizing your listing, read this post next- it’s essential to getting bookings coming in!
RELATED: A Beginner’s Guide: How to Start an Airbnb with NO Money
Not Profitable Enough
When demand decreases and nightly rates are lowered- you guessed it- profitability takes a hit. Airbnb requires a lot of overhead expenses to operate:
- Up-front Furnishing Costs
- Utilities (gas, electric, propane, etc.)
- Internet
- Turnover cleanings
- Deep Cleanings
- Property Management Software
- Regular Property Maintenance
- Lawn Care and Snow Removal
Market Shifting (more long term housing needed)
At the time of this post, there is a housing crisis throughout the country, and although I can’t say for sure whether Airnnb has anything to do with that, what I can say is that the long-term rental rates have been driven up. Hearing our investing colleagues talk about their long-term rental rates really has made me start to ask myself is being an Airbnb host worth it anymore. Its starting to make sense to convert to long-term rentals, especially since there are much fewer expenses associated.
Difficult to Find & Manage Cleaners
Another reason having Airbnbs is difficult right now is because it can be hard to find good cleaners and manage them effectively. Most really good cleaners tend to gravitate toward residential cleanings- and I don’t blame them.
An Airbnb cleaner never knows what they’re walking into, whether it was a good guest, a messy one, whether or not the guest left any damages, etc. They often don’t know their cleaning schedule ahead of time due to last minute bookings. And finally, depending on the size of the Airbnb, they may need to pick up many more jobs to fill their schedule, versus larger residential jobs.
I find that my cleaners need to be managed really well in order to have success and keep my guests happy. This checklist has been hands-down the best thing I’ve created to maintain a sparkling clean space EVERY time.
Unsupportive Neighbors
If your Airbnb is in an area where there are mainly residential homes, your neighbors may not enjoy having a new, unfamiliar tenant every few days or so. Even if every guest you have is perfectly respectful, some people just flat out do not like living next to an Airbnb because it disrupts the community setting of their neighborhood.
RELATED: How to Write a Good Airbnb Description in 5 Easy Steps
Heavy Maintenance Load
Airbnb guests want a top-notch space. If you’re someone who has managed long-term rentals in the past, you’ll notice that there is much more pressure as an Airbnb host when something goes wrong at your rental.
Thats’ why it’s important to stay on top of things and prevent issues before they happen. Things like routine pest control (never a good experience when a guest runs into critters), and hanging bathroom signs for guests to prevent any toilet issues.
Even with these preventative measures, things do happen. And when they do- you can be sure your Airbnb guest is going to put the pressure on having them solved-fast. And that means forking over some cash for expedited handyman services, leaving your day job to do it yourself, or giving the guest a substantial refund.
Complicated Bookkeeping
This one seems a little silly to write, because of course you can always hire a good bookkeeper. However, I’ve found that even with a great bookkeeper, we were always still struggling with keeping accurate books.
There are so many reasons for this including using and/or switching management software; keeping track of which income and expenses pertain to which property or unit, and also keeping short-term rental income separate from any long-term rental income.
Overall, it just seems like way more time, effort, and money is going into bookkeeping than is worth it!
Loss of Passion
For me personally, the passion to be an Airbnb host was always designing a really cute and charming space and to connect with guests to have a similar passion for travel as myself. However, as I mentioned earlier in this post, the community of Airbnb has really moved on from that alone and it’s so much more demanding to be a host!
Conclusion
If you’re an aspiring host wondering “is being an Airbnb host worth it?,” take these things into consideration, but take them with a grain of salt-this is my experience only!
All in all it’s been a great ride and I’m excited to continue hosting at our Guest House at our primary residence. More on that coming soon!
This post was all about “is being an Airbnb host worth it”.
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