Becoming an Airbnb property manager is a business model simple to set up and scale to a six-figure income. To start, all you have to do is to find owners to rent you their apartment so you can rent it on Airbnb.
However, to make the model work, you need to know your way around the vacation rental industry. And, it is a plus if you are a person with an entrepreneurial mindset with some experience in hospitality. The game-changing advantage here is having a blueprint for Airbnb property management. Or at least you must have a plan to set up the property rental business.
Finances are also a major factor for Airbnb property managers. Nothing could torpedo your potential property profits like lack of funding. You may need Airbnb Loans to get started so you aren't struggling for capital. A strong financial foundation is essential to your future success managing short-term rental properties.
5 Steps To Becoming An Airbnb Property Manager
1. Understand The Vacation Rental Industry
Understanding the vacation rental industry is the first thing you want to do before becoming an Airbnb property manager. To get a complete understanding of the industry, you want to:
• Understand the role of the Airbnb property manager
• Understand how short-term rental works
• Understand how to set up a short-term rental business
The role of the Airbnb property manager is to manage a rental apartment and host guests. So, the property manager has to find a property and rent it out from the owner.
Then, they have to set up the rental and advertise it online. The whole business comes into place when you get guests and manage them along with the property.
To succeed with this job or business, you want to focus on being an accessible host and dependable property manager. Aside from that, check for the necessary permit and license. Once you get them, you have all you need to become an Airbnb property manager.
2. Airbnb Property Management Blueprint
The entrepreneurial mindset is critical to succeeding in the Airbnb property management business. So, both the benefit and the advantage of this business model is that you have to convince owners to let you rent out their property.
While that may sound easy, it can be quite difficult. The most common obstacle here is that owners may realize that they can go to Airbnb and rent directly. So, there is less incentive to hire a manager and let them take the commission from the real estate they already own.
At this point, keep a positive mindset, outreach to people, and try to close the deal. Here, the understanding of the vacation rental property may make or break your business.
Even though you may feel a need to close a deal as soon as possible, stay picky. Searching for a rental apartment with a good location and many amenities is a sure way to get high booking rates and a high-profit margin.
3. Guest Management Strategy
Once you find the apartment, you need specific systems to make this a viable business. You need maintenance management, rental management, and hosting management.
Maintenance management refers to the set of professionals that keep the rental property. These professionals include cleaners, plumbers, and electricians. If anything breaks down in the apartment, you have to be able to call them right away.
Next, you want to find tools to manage your guests. There are many rental management tools you can find online. Their primary use is to track guests leaving and coming from the apartment. That is even more beneficial if you work with a few rentals at the same time.
Finally, you want to have a procedure for hosting guests. Try to give them as much usable information without intruding on their privacy. If possible, let them sign in to the apartment alone. Let them rest and enjoy their space.
4. Rental Marketing Strategy
To make the venture profitable, you have to market your Airbnb rental. To do that, you need to list it properly and advertise it to a specific niche.
Listing is a much simpler process, and it’s essential to the whole venture. At this point, you may want to hire a copywriter and photographer. Copywriters help you to write enticing titles and descriptions. And, photographers help you get the best photos to make your rental more appealing.
Another thing you can do is to offer niche perks to the guests. For example, not all apartments are pet-friendly. If you have a pet-friendly apartment, you can use that to your competitive advantage.
So, the trick here is to find these competitive advantages and advertise them on the right platform. All that is left is to price your rental apartment.
5. Pricing
Pricing can be a tricky task. The goal here is to stay competitive but offer a slightly lower price to make the rental more appealing to guests. The philosophy behind this is to find an advantage that you can leverage.
Even then, you want to look at factors like:
• Rental location
• Services and businesses nearby
• Amenities
• Special perks
• Type of rental property
Here, you can get a quick estimate if you use a price calculator. You can find these calculators online. Or, to get a faster estimate, go on Airbnb and look for properties in your area. Their prices may be an accurate indicator of the median price for that location.
Become An Airbnb Property Manager
Now, you should go and try to become an Airbnb property manager. And, it may be quite a lucrative and exciting thing to do as a business.
Research and entrepreneurial mindset are keys to success. Stay positive and strive for success until you make it as an Airbnb property manager.
