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Most Common Airbnb Expenses

Most Common Airbnb Expenses

In every industry, we need to keep an eye out for a lot of expenses. When it comes to the hosting industry, some people think that everything is about income—opening the doors and waiting for guests to book. And while in some cases that happens, it isn’t always a rule. Spending money on a property is key to increasing your earnings in the long run. Today we list the most common Airbnb expenses for all hosts. It is essential to keep them in mind before opening the doors of your property. Keeping tabs on every expense can make organizing your Airbnb a lot easier and faster.

Insurance

This expense is one that you are required to do. Not only for your property’s safety but for everyone inside it. You can prevent a lot of things by having proper insurance on your property. Amongst all Airbnb requirements, having insurance is one. You need to get it to protect your home and the people inside it. Should anything happen, dealing with that will be a lot easier. It is one of the most common Airbnb expenses but one that people are willing to pay.
 

Taxes

No one can escape them. Having an Airbnb property up there on the listings means you need to pay property taxes. These will vary depending on a lot of things. This type of expense is included in your mortgage payment. All of these expenses usually take a big chunk from your earnings. For some people, it can go as high as 60%. You can calculate your own taxes depending on where your property is. Every city is different but one thing is a fact, that you can’t escape taxes.
 
Most Common Airbnb Expenses

Utilities

Of all the things that guests needs, amenities are some of them. And with that, utilities go hand in hand. Internet, light, water, and all that. The price you pay for utilities will vary depending on what you offer. The speed of your internet service, the number of bathrooms you have, and even the number of bedrooms. All of these things will add up to your monthly expenses and will always vary. There are some things you can do to save money on your Airbnb. However, keep in mind that these expenses are unavoidable.

Lawn Care

Almost all Airbnb properties have a yard. People love going to a place that has a big garden. It has become quite trendy. Most hosts hire Landscaping Services to get some cool things out there. And while this is all to make the place look a lot better and nicer, it also implies a cost. Another big expense for any property is lawn care. Keeping a garden in its best conditions requires a lot of attention. It is important that you mow the lawn every week. As we mentioned, guests love staying in a place that has a beautiful garden with an even more beautiful lawn.

Home maintenance

One of the things that can take a lot of money to do is maintenance. Keeping a house in top condition requires some time and money. There are a lot of stories of people clogging the toilets, breaking furniture, or even staining some walls. This is a risk that every host has. We recommend leaving some money saved to fix anything that happens inside the property. If you do have some money around, paying for maintenance will be easier. There are some things you can prevent though or even make the guests pay. Some people don’t recommend cameras for Airbnb, however, you can install some in public spots. This will give you the chance to see if something is out of place or gets broken. Thus, saving some money on maintenance.
 
Most Common Airbnb Expenses

Cleaning

Cleaning costs can go as high or low as you want them to. Why? Well, some people really like doing the cleaning by themselves. And while that is totally fine, we recommend hiring a recurring Airbnb cleaning service. Sometimes we clean up to the standards of our own home. And while that isn’t bad, we recommend getting specialized help. An Airbnb cleaning service can help you a lot more. You will end up saving more money by hiring help. And this is something that all hosts are looking for in the long run.
 

Furnishing

Earlier this month we mentioned the benefits of renting furniture for your Airbnb. As you know, part of what makes an Airbnb property attractive is the inside of it. Most guests love when all the furniture matches the rest of the room. If you are having a hard time finding out which style to go for, rent some furniture instead. It is faster, it is accessible and you’re stylizing your property with little effort. This makes the furnishing process a lot faster. Now, if you do like shopping for furniture, that is fine. But, we always recommend renting some for a property.

Supplies

In our 5-star rating guide, we mentioned one important thing. Supplies. A property with no supplies can be something really, really bad. Why? As soon as guests arrive they are looking for two things. Relaxation and an almost-close-to-home experience. The latter involves having all amenities in place. Things like supplies are important. Supplies such as shampoo, soap, and even cleaning things. All of these are paramount to enhancing your guests’ experience. So, remember to always be stocked on things before letting guests inside.

Airbnb fees

Now, another thing to keep in mind is the fees. Fees are something that you’ll get charged by Airbnb. While this platform is amazing, using it doesn’t come for free. You can check their website to find out all the costs. Some of them are accessible, while others might require some savings. Either way, it is important that you plan ahead of time before spending money on other things. One of the most common Airbnb expenses is the Airbnb fees themselves. So, save some money before listing your property and prepare for any last-minute fees.
 

Local taxes

We mentioned taxes above, but there are other types of taxes. Local ones. These ones will depend on the place where your property is located. It is important that before listing your place, you do your research. Taxes can take a huge chunk of your saved money. So, if that is the case, try to always investigate which taxes apply to you and your property.

HOA fees

Almost all Homeowners Associations do not allow short-term rentals. You know, these places can be picky. However, in the odd case that they do allow you to list your property, you will be facing some fees. These fees will depend on what people agree on inside the HOA. So, just make sure that you have some saved money in case you have to pay for some hidden fees.

Sanitation expenses

Last but not least, is sanitation. As you know, nowadays, people are looking for places that are clean, safe, and sanitized. If you want your property to get some good reviews, you’ll have to get some sanitation stations. This has become a requirement in the past years. So, remember to put some money aside to invest in them.
These are the most common Airbnb expenses out there. Yet, some might change depending on the property. So, always do your research before listing your property and remember to manage your money. Investing in your property in a smart way will get you a lot more guests in the long run.

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