This is a guest blog post from Vayoo a wonderful service to help you get the best price and highest occupancy rate for your Airbnb property.
There is no doubt that Airbnb is one of the most popular websites for establishing connections between hosts and travelers who are interested in renting their properties. As the popularity of this online platform is increasing, hosts are dealing with fiercer competition. That’s why you should do your best to optimize your listing. Obviously, the price plays a very important role and in this article, we will provide you a few effective tips on pricing your Airbnb property.
Get familiar with the competition
Start by visiting Airbnb (and even some other similar holiday rental websites) and look for properties that share similar characteristics with your property. Of course, they have to be situated in your area. The reason is simple – you must find a way to stand out from the group of rental properties that have the same or similar amenities, location and bed and room counts. Look for their rates per night. Check whether they are changing their prices depending on the season. Look for some special events when they are increasing the rates. The good news is that it is quite easy and simple to search for properties via Airbnb. Most of the listings have rates calendars.
Start low
Generally speaking, this is a good advice for every newcomer on Airbnb. It is the best option to price your rental property low. So, once you do the research that we’ve mentioned above, you can set a price that is between 10% and 15% lower than the average. Without any doubt, you will get bookings fast in this way. The reason why it’s smart to do this is the reviews you can expect. As you probably know, the reviews on your listing can be a deal maker or a deal breaker. If you don’t have reviews at all, many people will skip your listing. So, you need reviews quickly and the best way to do this is to offer an incentive in the form of a low price.
Be Realistic
No matter whether you are a new host or an established host, this advice is always useful. You have to be honest about the type of property you have and its characteristics. It’s common for people to love their rental properties, but this should not affect your decision when you are setting a price. In case you want to be sure that you are realistic, it is the best idea to ask some of your close friends. Think of a rate and ask your friends whether this rate is high or low. Ask them whether they would pay to stay in your place if they were an Airbnb user. Getting external feedback from a person close to you can be quite helpful.
Don’t forget the seasonal rates
Only a small number of places are equally attractive throughout the year. In addition, even if the place is great all year long, most people are traveling and using their holidays in the summer or winter period. This means that you should modify the price of your property depending on the period of the year. Do you know what is the low season or the high season for your area? Is it the summer period or maybe winter? Of course, it is possible that your area is most attractive in autumn or spring. Luckily, changing the rates on Airbnb is very easy and you can do this with a few clicks. Before making changes like this, it would be best for you to develop a price strategy. Changing the price every day will make you look unprofessional and even suspicious. Create a plan and strategy for the entire year and stick to it.
Use a third part tool like Vayoo
We have built a powerful algorithm that takes many factors into account to deliver the best recommendations when it comes to pricing. In addition, we have a strong community that can help you learn more about the pricing trends.
Watch out for the big events
Every hotel manager is aware of the fact that travelers are prepared to pay more when there is a big event close to the hotel. Obviously, people want to attend that event and they don’t have another option other than paying more. This last tip is closely related to the previous. As an Airbnb host, it would be smart to increase the prices for the New Year’s Eve, major sporting events, concerts, festivals and other major holidays. Remember that you should not be too greedy because you can create a counter effect.
We hope that these tips will help you set the right price for your Airbnb rental property. Don’t forget that you can always change the price of your property.
