Tags: Real Estate, Propery, Aribnb, income
As a homeowner, there are a myriad of responsibilities that you must attend to. Things like maintenance of your home, plumbing, appliances, and your furnace are all items that you need to stay on top of that were maybe less of a priority before you owned your own property. To help you offset some of these costs, one option we have previously looked at is renting out your basement as an apartment. An alternative to renting out your basement is renting out your house or condo, or a portion of your house or condo on Airbnb.
Today we are going to look at the pros and cons of listing your property on Airbnb. With more and more listings being added to Airbnb weekly, and with their recent offering of Airbnb Plus, Airbnb is no longer just for Millennials and Gen Z – there is a time and use-case for everyone.
Listing your house or condo on Airbnb is an opportunity for you to make some extra cash on your property with little to no additional investments. For some, renting out the basement of your home is not a feasible solution for extra income, but a temporary rental of your home through Airbnb could be.
When does it make sense to list on Airbnb?
A perfect time to list your property on Airbnb is when you will be heading out of town for a vacation. Think about the last time you went away for a week or two and you left your house empty for that entire time. Now think about having the opportunity to make some extra cash while you were out on vacation. To many people, this is a great freedom to have and one that many people want to take advantage of.
If you do not have any vacations on your horizon, that’s okay. You can always rent out your home for a week or for the weekend even if you are in town. How does this work? Well, if your home is large enough, you can opt to rent out a single room of the home all the while staying in the home yourself. Some individuals seeking a place to book for a stay in your city don’t require your entire home and would be happy to pay you to stay in a single room with access to a washroom.
Additionally, you could also rent your entire home or condo for a week or weekend and then spend that time staying with family or friends or spending some of the money you are making and stay at a hotel.
Things to know before getting started
If you are a condo owner, you need to check if your condo allows for short-term rentals. Many condos in Toronto and the GTA do not allow you to list your property on Airbnb. If you are on the market to buy a condo you should check with your realtor to see if this is allowed at any particular buildings that you may be looking at, especially if listing on Airbnb for extra income is important to you.
Homeowners won’t have the permission issue, but home and condo owners alike should consider the following,
Know the market value of the type of listing you will make. A one bedroom listing in the middle of a city could garner more per night than a house in the suburbs. It really boils down to supply and demand. Before listing your property, be sure to check similar listings in your area and use that to help you set your price. Once you have a few bookings you can get a sense of if you can raise your price by the number of inquiries you are receiving. And if you are not receiving any, you may need to lower your price.
Take great photos. Airbnb can send a professional photography to your property to capture high-quality images of your listing. People will be judging your home based on the images and you want to make a good first impression.
Know that this is not for everyone. Greeting guests and providing little perks like bath soap, coffee, and tea is not something that everyone enjoys doing. To many, this is a great opportunity to meet new people and have some great discussions all the while earning some extra income, however, for many, these type of interactions are not welcomed.
If you’ve got an extra room in your home, are going away for vacation, or have a friend or families place nearby that you can occasionally crash at, consider renting your home on Airbnb to help you earn some extra income on your property.
