Airbnb was originally created for people to rent out a spare bedroom or the granny flat to help pay the bills, but more recently the airbnb industry has merged with the property investment market. Research shows more home owners are listing their entire home for rent on short-term rental platforms – such as Airbnb and Homeaway, which is creating demand for professional host management services.
Renting out your whole property short-term can potentially earn more income than a long-term tenancy if the property is well-managed. Thanks to Airbnb, the home owner ‘host’ can self-manage their rental property and save money in property management fees. However, not every host has the time or expertise to manage a short-term rental property.
Hosts need to consider both the administrative tasks involved in managing guests, in addition to the physical aspects such as key exchange, housekeeping and maintenance. These tasks are time consuming and eventually, it will make sense to outsource some of the property management tasks to free up time. It is these busy hosts who gain the most benefit from hiring a host manager or co-host.
A host management company usually works like a traditional property management agency by offering to manage all tasks for a percentage of rental income. Fivestarhost have a different model: we have separated the tasks of a full service property manager to offer ‘on-demand’ services. This way, a home owner ‘host’ can choose which property management tasks they need assistance with.
The benefits of professional host management far outweigh the costs and hiring experienced property managers can maximise your income potential. They do this a number of ways:
Listing Management
Your property manager will create your property listing, conduct a rental appraisal and monitor the local market to ensure your rents are competitive. They may do background checks on guests to make sure they have no negative reviews or history of property damage. Your property manager can communicate with potential guests on your behalf, post reviews and answer enquiries.
Marketing and Presentation
Some host management services extend to professional photography and staging. Your property manager will arrange professional photography or interior design to increase the success of your Airbnb listing. Professional photographs and staging will attract more attention from potential guests than listings with average pictures.
Guest Management
Your property manager is responsible for managing keys at check-in, explaining the house rules to guests and provides a concierge service for the duration of your guests stay. Your property manager will collect the keys at check-out and ensure the property is in good condition before a bond deposit is released back to the guest (if applicable).
Housekeeping Management
Your property manager will arrange housekeepers to attend the property for cleaning and laundry service, ensuring the home is spotless for the next guest. Any issues identified by housekeepers should be reported to the property manager – such as property damage or maintenance issues.
Property Condition Report
An inspection should be completed periodically, usually every 3 months to ensure there are no major issues with the home. The condition report provides notes on the internal and external condition of the property, including photographs and recommendations for repairs.
Maintenance/Repairs
Your property manager will arrange for professional tradespeople to carry out maintenance and repairs. Most issues consist of leaks, electrical fault, cabinetry repairs, bathroom rail or tile repairs, balustrade repairs, patching/painting and gardening. These are small expenses and are a normal part of owning property, however they may happen more often when you have a large number of people staying at your home.