Self-Managing Your Airbnb vs. Hiring a Management Company – What’s Best for You? 8 Apr
Airbnb is an absolute game changer in the tourism industry, offering travellers all over the world a vast array of affordable and unique accommodation options and hosts lucrative opportunities to capitalise on their properties. Yet, with great opportunity comes great responsibility – and that great responsibility is the task of managing your Airbnb property effectively. If you are fortunate to own a holiday rental, you’ll be faced with a big decision; Should I manage my bnb property myself or enlist the services of a professional management company? While we can’t tell you what to do, we can look at some of the pros and cons of both options to hopefully help you make the right decision for your situation.
Self-Managing
The Pros:
Complete Control – Managing the property yourself provides you complete autonomy, allowing you to make decisions regarding pricing, guest interactions, and property maintenance according to your preferences and schedule.
A Personal Touch - As the host, you have the opportunity to establish direct relationships with your guests, providing personalised experiences.
Flexibility – You have the flexibility to adjust your hosting strategy on the fly, whether it's implementing last-minute discounts, modifying house rules, or accommodating special guest requests without administrative hurdles.
New Hustle - If you love customer service, organising logistics and have exceptional attention to detail then working for yourself could be a great new career move.
The Cons:
Time Consuming - Managing an Airbnb property requires a significant investment of time and effort, whether it’s handling guest inquiries and check-ins to coordinating cleaning services and maintenance tasks, managing an Airbnb can take as many hours as a full-time job. You will need to be available 24/7 365 days a year to attend to emergencies at the property if it arises. If you’re a host with busy schedule or multiple properties to manage, finding the to dedicate to the task can be challenging.
Skill Requirements – Successfully managing an Airbnb requires a diverse skill set incorporating marketing, customer service, property maintenance and financial management. If you are considering self-management, you must possess or develop these skills or you won’t be able to get the most out of your property.
Skills Shortage – You will need to get your hands dirty (literally!) and be prepared to clean the property yourself if outsourcing to a professional cleaning company isn’t available for same day check outs and check ins.
Risk Exposure - Self-managing your Airbnb property exposes you to potential risks and liabilities, including property damage, guest disputes, and legal issues. Without the expertise and professional resources behind you, you may struggle to mitigate these risks effectively and find yourself in costly disputes or even legal battles.
Hiring a Management Company
The Pros:
Expertise and Resources – Good Airbnb property management companies bring a wealth of experience, industry knowledge, and resources to the table, streamlining operations and optimising performance for Airbnb properties. From marketing and guest communication to cleaning and maintenance, professional management ensures efficiency and quality service delivery.
Time Savings - By outsourcing day-to-day tasks to a management company, you can free up valuable time and energy to focus on other priorities, whether it's expanding your portfolio, pursuing personal interests, or simply enjoying a well-deserved break.
Scale and Reach - Management companies usually have access to larger guest networks and online distribution channels, enabling them to reach a broader audience of potential guests and maximise occupancy rates.
Risk Management - With dedicated staff and systems in place, management companies offer you peace of mind by handling potential risks and liabilities, such as guest screening, security measures and insurance coverage.
The Cons:
Loss of Control - Entrusting your Airbnb property to a management company means relinquishing some degree of control over its day-to-day operations and guest interactions. You must be comfortable with delegating responsibilities and trusting the expertise of the management team.
Quality Variability - Not all Airbnb property management companies are created equal, and quality of service can vary widely depending on the provider. When choosing a manager, you must ensure you select a reputable and reliable company that aligns with your expectations and standards.
Self-managing your property offers autonomy and profit potential, however, it requires a significant investment of time and effort. On the other hand, hiring a management company can streamline operations, mitigate risks, and free up time for hosts. Ultimately, as a property owner, you need to decide what is best for you and your needs. Whether you choose to go it alone or enlist professional assistance, letting out your property as an Airbnb promises excitement, challenges, and endless opportunities for growth and fulfillment.
If you’ve been searching or reputable Airbnb property management companies, Perth’s Executive Escapes is here to help. We have been managing Perth properties for over 35 years, during which time we have gained considerable knowledge in this field and built up a solid corporate client base. Our commitment to providing a great experience to our guests is matched by our commitment to consistently informing and updating our owners about their property! Get in touch with us today to find out more about our property management services.