fbpx

The Risks and Rewards of Making Money on Airbnb

Using Airbnb to make a living is a choice worth considering, but it does have its risks. Making money on Airbnb has been lucrative for many. But at the same time the bane of others, so it’s wise to weigh some of these risks and rewards.

Risks of using Airbnb include, but are not limited to, poor housing that requires hidden maintenance, bad guests and risky investments but the rewards are typically high return on investments and great work freedom.

Keep reading to dig deeper into some of these risks and rewards of Airbnb.

The-Risks-and-Rewards-of-Making-Money-on-Airbnb

The Risks

Horrifying guests

The scariest and hardest part for any Airbnb host is putting their trust in strangers. So when that trust is broken and property is destroyed, it’s devastating. 

Thankfully, this doesn’t have to be as great a risk as people think. There are a number of things you can do to screen guests to be sure these things won’t happen, such as requiring ID verification on Airbnb. That will at least give you the guest’s personal info.

Large investment

Being an Airbnb host takes a great deal of your time and money, if you want to have a hope of outperforming your competition. This can require upgrading your appliances, redecorating, and security, but could still result in a small ROI. 

Rewards

Almost Guaranteed income

While being an Airbnb host can be a gamble because of the immense competition, when you do everything you can to score a guest the ROI can be incredible! In early 2021, new listings were rented out within 4 days because of the trend of people just wanting to get a change of scenery after being stuck at home. This caused the average earnings of the year for hosts to reach $9,600! This wouldn’t be difficult for you to reach!

Flexible Work

One of the good things to come out of Covid was the massive spike in people finally being able to work from home and balance their work and home lives. Being an Airbnb host can allow you to do just that as well as make your own hours, and become your own boss when you are able to manage more than one property.

Conclusion

Keep in mind these are only a few of the risks and rewards Airbnb comes with and offers. It can be a tricky business, but we at Whistler Bolld Real Estate Management can help you understand property management risks.


Resources: