How To Rent Out Airbnb Without Owning Property

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You may be thinking that the only way to succeed in Airbnb is to own properties yourself. But this is not the case all the time. Many Airbnb businesses thrive without ever owning a property. It’s one of the reasons why an Airbnb business is so versatile.

What Is Airbnb?

Airbnb is a revolutionary platform that transformed the hospitality industry. Traveling usually entails difficulty finding a place that strikes the balance of comfort and value for money.

However, Airbnb made it possible for people to rent their homes for people that visit their area. This meant that finding a good place to sleep was more accessible than before. The platform benefits its two general types of users:

  • Hosts
  • Guests

Hosts are assured that a large company will handle their payments and even provide the necessary support when issues arise. And this is on top of advertising your property to the entire world without incurring too many costs for advertising and marketing.

The prices offered for homes listed on Airbnb are generally lower than hotel rates. So, you can find a good balance between comfort and budget if you search well enough. On the other hand, guests will have access to a wide array of options for properties that they want to stay in for a while.

So, how to be an Airbnb host without owning property?

Making Money on Airbnb Without Owning a Property

Let’s say you want to build an Airbnb business but lack the property to start. Is it still possible, then?

The quick answer to that question is yes. There are a few ways to make money out of Airbnb without owning a property. Let’s explore some of these hacks and get your business up and running.

Becoming a Property Manager

This is the first way to be an Airbnb host without owning a property. All you have to do is find properties online and encourage property owners to list them on Airbnb.

Now, you may be asking how exactly you can find these properties.

You have Airbnb as your first lead source. Search through the platform and find hosts managing multiple properties at once. These people are likely to have their hands full already with all the properties they handle. This is where you can offer your service and help them manage and rent out properties.

You will have to do booking confirmations, marketing, monitoring check-ins, and even inspecting the property. Your tasks will depend on how much the property owner will need from you, so ensure that you are educated enough in property management to avoid being overwhelmed.

You have to remember, though, that some states require a real estate license to allow you to manage properties. While this is not an absolute requirement for every state, it is crucial to keep this in mind to prevent any legal issues in the future.

The lead source would be real estate websites such as Craigslist and Oodle. The process is essentially the same:

You will need to contact property owners, convince them to list their properties on Airbnb, and manage their properties on behalf of them. Becoming a property manager is a great way to start your business in Airbnb without owning a property right from the start. This is only made possible if you have the skills to leverage your skills in property management.

Co-Hosting a Property

Co-hosting is very similar to managing a property in Airbnb. But being a co-host means that more tasks will be delegated to you by the property owner. In effect, you become their assistant in hosting properties with them.

Many hosts who know how to run Airbnb remotely employ co-hosts that assist them in dealing with their guests, including all the responsibilities of a property manager. However, you will also have to write reviews for guests, restock items, and attend to the needs of the property host.

While you are still making money in Airbnb without owning, your profit is still less than that of a host since you earn between 10-20% of each confirmed booking. However, you can increase this to as much as 25% if you are willing to take care of the entire process. This includes:

  • Listing your homes
  • Managing communications with guests
  • Handle reservations
  • Maintaining the property
  • Attending to your guests
  • Updating the calendar and prices

Co-hosts are usually employed by hosts that are managing many properties. This makes co-hosting an excellent start for many people that wanna know how to be an Airbnb host without owning a property. Furthermore, co-hosts are in demand on Airbnb since many hosts are looking to take a lot of the pressure off their shoulders.

Rental Arbitrage

The last hack on this list is rental arbitrage, which means that you’ll rent a property in the long run and then re-rent the property with your landlord’s consent.

How does this exactly work?

Well, the process isn’t as simple as it sounds. It would be best to make sure that the profit you generate from rental arbitrage is enough to compensate for your business-related expenses such as rent, furnishings, maintenance, and marketing.

This means that you have to make sure that your Airbnb business is as efficient as it could be.

This is the best way to earn money on Airbnb without owning a property. You have to look for spaces around your area and research the prevailing rates. This way, you will have a reasonable estimate of your earnings.

After that, determine the costs of the application, deposit, insurance, and other expenses such as legal fees. You can only make this business successful if you can cover all these costs with your revenue and exceed them. You can achieve this by optimizing your profile and securing a high place in Airbnb listings.

Final Thoughts

Starting your own Airbnb business shouldn’t be so hard. Airbnb knows that. There are many ways to run Airbnb remotely or even grow your Airbnb without owning a property. Try one of these proven ways to get your business up and running in no time.

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