Due to the coronavirus pandemic and travel limitations, Airbnb hosts have experienced a drop in bookings and are scrambling to find new guests. To keep their businesses afloat, many of them are turning their property into Airbnb long-term rentals.
Airbnb has decided to make long-term stays a permanent feature in their portal. They introduced several new tools to help push the platform along in the direction of long-term stays during the coronavirus crisis.
Are you looking to host long-term Airbnb guests? Keep reading to learn how Airbnb works for long-term rentals.
Airbnb Extended Stay Feature: Why Are Long-Term Rentals Popular?
Airbnb long-term rentals are becoming more popular among guests due to the coronavirus pandemic that interrupted different spheres of everyday life.
Work-from-home professionals are looking for vacation rentals that offer a home office to have a quiet place to work.
Seniors need safe accommodations to shelter in their own communities.
College students and interns who move to another city to study, and workers who have far-from-home missions are also choosing Airbnb rentals as they offer more privacy than hotels.
Monthly and long-term rentals can help a lower occupancy rate, providing hosts with a reliable income stream at a smaller workload. This solution does come with a price: a significant decrease in the cost per night.
Of course, as a host, you can earn more from short-term rentals. But you can also use the Airbnb extended stay feature to lend your property long-term. This approach can help you sustain your rental business during quieter months. Short-term and long-term rentals are a slider between revenue/operations overload and safety/peace of mind.
Have conversations with your guests even when you sleep
Airbnb Monthly Rentals: Pros and Cons of Long-Term Rentals for Hosts
Both short-term and long-term renting have their advantages and disadvantages. You should take them into account when deciding whether to offer Airbnb monthly rentals to your guests. Let’s take a look at the pros and cons of Airbnb’s long-term rentals.
Pros:
Steady revenue throughout a year (even during low season);
The most beneficial type of cancelation policy;
You will have fewer operational responsibilities.
Cons:
With a fixed monthly fee, you won’t be able to adjust the price during a high season to maximize your profit;
You’ll have less freedom to manage your Airbnb rental property as you like.
How to Rent Out Your Property on Airbnb for a Month or Longer?
There is no difference regarding the online listing of your property for renting short-term or long-term. Still, you need to optimize your Airbnb listing and encourage guests to book your property for the long term:
Enable longer bookings for your rental;
Offer monthly discounts to attract bookings;
Consider different needs of long-term tenants vs. short-term guests.
When preparing your place for long term rental, consider the following tweaks:
Offer a well-equipped kitchen, a fridge, a washing machine, and other essential supplies and amenities.
Offer stable and strong Wi-Fi and create a workstation to attract working professionals.
Provide your guests with a detailed house manual with additional instructions and recommendations for day-to-day living. For example, on which days the garbage is collected.
You should also update your welcome book and provide your guests with more useful information about your area to help them enjoy their stay.
Make sure to tick off all points in our list of solutions to prepare your place for rental. This will save you a lot of money in the long run.
Maintain healthy communication and support your guests during a longer stay and help them feel like a part of the local community.
The choice is yours. You can play it safe with a long-term rental or continue betting on higher short-term rental margins.
With Hospitable, you have better chances of winning short-term rental guests.
Although long-term renting is not as profitable as short-term renting, renting your property on Airbnb for a month is a reliable alternative for current situations where travel is restricted or bookings are low.
Conclusion
Airbnb facilitates the hosting of long-term rentals on its platform, by introducing several new tools to give hosts the chance to offer local accommodation in these challenging times. That provides advantages for hosts because Airbnb holds the funds, and you don’t need to go through a real-estate agency or advertise the property yourself outside of Airbnb.
Still, Airbnb long-term rentals are a serious commitment for hosts, and you should have a good understanding of your local Airbnb regulations. However, if done right, making your rental property available for longer terms can be incredibly rewarding.
Be sure to prepare your place for rental. We have pulled together a comprehensive list of solutions that will save you from excessive operational costs. Download now for free!
9 Solutions to Reduce Operational Costs
