How To Make Money With Airbnb - Passive Income Wise (2024)

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How To Make Money With Airbnb - Passive Income Wise (1)Hi, Francisco here! Today, I’m happy to publish a guest post from Rowan Clifford from airbnbsmart.com. Rowan is an expert in Airbnb stuff and he will be sharing with you how to make money with Airbnb it ina practical and easy manner.

Owning your own home can be a blessing and a curse. The comfort and security of owning your own home, followed by the struggle to make repayments. Borrowed to the max we find ourselves with:

“More Month at the end of your Money, Than Money at the end of your Month”.

Sound familiar? This used to be me 🙂 Until I struck gold with the rise of Airbnb.

My house was an awful residential let, wouldn’t cut it as a holiday let, but was a freaking goldmine when it came to Airbnb.

With my passion for all things automated and an obsession for efficient systems, I turned my Airbnb business into an automated money making machine.

Here are my Airbnb Host Tips for making passive income

Guest access

Every guest that checks into your property will need a key for access. The done thing is to arrange to meet the guest to transfer the keys at a specified time. This sucks! Why?

Well, for starters I have a lifeand have got better things to be doing than waiting around all day to hand someone a set of keys.

How To Make Money With Airbnb - Passive Income Wise (2)

Plus, there are so many things that can go wrong; Delayed trains, traffic, got lost, or just plain bad communication. Your free time is valuable, and you are better than this.

What you need is a secure key lock box. With a secure key lock box, your guests can arrive at any time and let themselves into the property. All you have to do is message them the code (which will all be automated, more on that later…), and that’s it.

I am not going to go into too much detail here, because this subject is boring as F*#K (apologies to all you lock enthusiasts out there), but if you can just bear with me on this one you will be thanking me in the long run.

A secure key lock box will set you back anywhere from about $50-$300.

For less than $50you will get a lock box with a swivel code that you can attach to the wall outside your house.

Some good examples are:

$150 – $300 will get you a secure adeadly lock with accompanying mobile app that records all exits and entries, you can set unique codes for each new guest, and basically everything else you can think of in a smart lock.

Some good ones are:

Which one should you choose? Your budget, your choice.

The main point is not what lock you have, just that you have a system set up to avoid the need for you to be physically present to hand over the keys.

Automate communication to make passive income on Airbnb

Answering guest inquiries is a big part of running a successful Airbnb property. If you’ve read any of my other posts (you have, haven’t you?) then I’m sure your bookings are going through the roof.

All these extra bookings meanmore time glued to your phone responding to new enquiries, sending check-in reminders, parking info etc. etc. This sh*t takes up a lot of time. At least it used to!

I now use Smartbnb to automate over 80% of all communication with my guests. I have it set up to send the following messages to my guests:

  • Booking Confirmation – Thank you and touch base message.
  • 72 Hours Before Check-In – Parking and access instructions.
  • 12 Hours Before Check-In – House Manual.
  • 16 Hours Before Check-out – Reminder of Check-out time and procedure.
  • 3 Hours After Check-out – Thank you message and bum lick.

With this level of guest care, you are virtually guaranteed to get 5 Star Airbnb Reviews. I’ve spent a heap of time perfecting the content in my automated messages, if you’d like to steal my message templates, you can do that here.

I can’t tell you how much time, effort and stress I’ve saved by using Smartbnb App. It has had the single biggest impact in my pursuit to creating passive income through Airbnb.

Cleaner reminders

This might well be the reason for my receding hairline. These cleaner reminders are the bane of my life.

Running my Airbnb business from the other side of the world gives me constant stress in the event that a forgotten cleaner reminderwould result in my house looking like a sh*t hole for my next check-in.

Needless to say, I’ve forgotten on more than one occasion. Oops!

But that neverever happens anymore. I now employ a robot to do it for me 🙂

How To Make Money With Airbnb - Passive Income Wise (3)

I use the Smartbnb App. It’s super easy to set up, and unlike me, the robot will never forget to send the reminders again. Hooray!

Sync Airbnb Calendar with your cleaner

Your cleaner needs to know when your property is booked to organise their time for changeovers. Now, you could be old school and export your Airbnb Calendar to a spreadsheet and then email it to your cleaner every time a new booking comes in.

But quite frankly, this is too much like hard work. Instead, sync your Airbnb Calendar with your Google Calendar and share the calendar with your cleaner.

Not sure how to set this up? Find out how here.

Airbnb Reviews

For every booking you get, you must leave a review. When you get 100+ bookings a year, this soon turns into a chore. As a default, I always give my guests 5 Star reviews.

Why?

  1. I’ve never meet them.
  2. I never see the property when they leave.
  3. I’m a nice guy 😉

So in all honesty, I really have virtually no information to construct a valid review, so why not give them 5 Stars.

I have my Airbnb reviews automated to send out 2 days after check-out. I automate my Airbnb reviews with the help of these guys. I rotate x3 generic reviews to keep things fresh.

You can copy my Airbnb review templates here if you like.

So, to round all this up…

This used to be a full-time job for me, now it takes me about 10mins a week. I make money no matter where I am in the world from trekking in the Himalayas to surfing in Bali. And long may it continue.

If you’d like to find out more on how to maximise your income through Airbnb, check out my site airbnbsmart.comHave any questions? Hit me up in the comments.I’ll be answering everyone.

How To Make Money With Airbnb - Passive Income Wise (2024)

FAQs

How To Make Money With Airbnb - Passive Income Wise? ›

The best way to earn passive income with Airbnb is to automate as much as possible. The less direct involvement you have in being a vacation rental owner, the better. You can automate cleaning, maintenance, guest check-in and outs, payments, and more. Automation also allows you to scale your Airbnb business.

Is Airbnb a good source of passive income? ›

Airbnb lets you generate passive income from your home or spare room. Being an Airbnb host involves listing your property on its platform, which handles bookings and communications with guests. Hosts are paid out based on guest stays. Guests often find Airbnb is cheaper, has more character, and is homier than hotels.

Can you really make a lot of money with Airbnb? ›

Airbnb offers a platform for hosts to not only make extra money but also to capitalize on the assets they already have - their property. Success stories range from those making a few hundred extra dollars a month to cover bills to those who have turned Airbnb hosting into a six-figure income.

How many Airbnbs do you need to make a living? ›

To become a full-time Airbnb entrepreneur, you'll almost certainly need to grow beyond offering just one property for rent. It may take three or even 10 rentals, depending on how often you can rent out your properties and for how much, to become financially secure. Growing your property portfolio is not easy.

How do I maximize my profit on Airbnb? ›

Growing your Airbnb Revenue, ADR, and Occupancy
  1. Offer an Airbnb Experience.
  2. Price right.
  3. Optimize your listing.
  4. Elevate your amenities.
  5. Ensure cleanliness.
  6. Host more people.
  7. Become a superhost.
  8. Automate property management.

What is the 90 day rule on Airbnb? ›

Airbnb doesn't allow properties to be rented out for more than 90 nights per year. If your limit for bookings is reached, Airbnb will automatically close your property until the end of the calendar year. In addition to 90 consecutive days, the 90-day limit also applies to 90 days spread throughout the year.

What type of Airbnb makes the most money? ›

For Airbnb hosts looking to make a living on the hospitality platform, full apartment rentals are the way to go. Rates for full apartments are significantly higher than those for single rooms and income after expenses ranged from $15,000 to $31,000 in our analysis.

Is Airbnb hosting risky? ›

If you're letting guests into your home, there are also other considerations such as physical safety and property damage that you may want to think about too. However, with some simple precautions, Airbnb should generally be considered as a safe activity for many hosts.

Where is the most profitable place to Airbnb? ›

The Best Airbnb Investment Cities and their Metrics
CitiesRevenue
New York$4,187
Fort Lauderdale$4,560
Miami$4,062
Los Angeles$4,275
17 more rows

How much of a cut does Airbnb take? ›

How much does Airbnb charge hosts? Airbnb charges hosts a service fee for each booking. What percentage Airbnb takes can vary, but it's typically around 3% for most hosts. However, Airbnb's commission can go up to 14% or more for hosts who have a Super Strict cancellation policy.

How much does the average person make with Airbnb? ›

What Is the Average Airbnb Host Salary by State
StateAnnual SalaryWeekly Pay
California$37,509$721
North Carolina$37,432$719
Massachusetts$37,405$719
Oklahoma$37,372$718
46 more rows

How much does it cost to start an Airbnb? ›

How much does it cost to start an Airbnb? An Airbnb costs, on average, $6k to start — assuming you already own the property. Putting everything together, Airbnb costs include: Cleaning and maintenance (e.g., supplies, cleaner fees)

How much do Airbnb hosts make in 2024? ›

As of Jul 20, 2024, the average hourly pay for an Airbnb Host in the United States is $18.25 an hour. While ZipRecruiter is seeing hourly wages as high as $30.77 and as low as $8.65, the majority of Airbnb Host wages currently range between $14.42 (25th percentile) to $19.23 (75th percentile) across the United States.

What every Airbnb should have? ›

Nevertheless there are a few Airbnb living area essentials that should always be offered:
  • Comfortable seating.
  • Coffee table/end tables.
  • TV.
  • WiFi.
  • Appropriate climate control (air conditioner/heater/fan)

How to make passive income with Airbnb? ›

The best way to earn passive income with Airbnb is to automate as much as possible. The less direct involvement you have in being a vacation rental owner, the better. You can automate cleaning, maintenance, guest check-in and outs, payments, and more. Automation also allows you to scale your Airbnb business.

How do I know if my Airbnb will be profitable? ›

Try a few tests to see if there's a market for you to profit from: Look at similar properties and check their Airbnb occupancy rate. Review their prices per night and guests and multiply by their occupancy rate. Get a third-party service like AirDNA or Jetstream to get an estimate of your yearly revenue.

Is Airbnb more profitable than renting? ›

Airbnbs have higher potential returns but are variable and management-intensive, while traditional renting has more stable income but potentially lower returns. Location, demand, amenities, and local regulations influence ROI for Airbnb, while economic trends and property features impact long-term rentals.

Is Airbnb still profitable in 2024? ›

Revenue increased to $2.1 billion in Q1 2024 from $1.8 billion in Q1 2023, primarily driven by solid growth in Nights and Experiences Booked, a modest increase in Average Daily Rate (“ADR”) and the shift in timing of Easter from the second quarter of 2023 to the first quarter of 2024.

What is a good ROI for Airbnb? ›

However, a good investor using a reliable Airbnb ROI calculator can easily find short-term rentals with cap rates above 8%. And 10% is seen as the sweet spot for a lucrative property.

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