How to Hire an Airbnb Property Management
If you are considering to hire an Airbnb property management then you will find some helpful tipps in this article. For those of you who have recently invested in an Airbnb property or already possess several properties and are having difficulty managing time with the widespread multitude of tasks, you may be in a crisis situation. If this is the case, then the time has come to choose to hire a property management to free yourself and to scale your business more systematically.
What is an airbnb property management?
Airbnb Property managers are third parties who are hired to manage a real estate investment’s day-to-day operations. They can manage different types of properties, from single-family homes to multifamily units, depending on the property management. Many services will be turnkey operations, meaning the property management company will handle most issues from marketing your rental to collecting rent.
Who manages airbnb properties?
An experienced short-term rental property manager will come with vital skills and experience, as well as a wealth of legal knowledge. So finding the right one is the key to financial success and personal freedom!
How does airbnb property management work?
There are a host of operations and tasks that property managers need to do on a day-to-day basis. Following are a few amongst many.
Typical tasks of an Airbnb property manager:
- Listing creation and optimization
- Booking Management
- Guest communication
- Guest Screening
- Handling check-ins/checkouts
- Arranging cleaning
- Restocking supplies
- Advice on Local laws and regulations
- Handling of Taxes
The routine tasks you perform are essential to keep your business running smoothly, while other tasks are critical to scaling your business further.
Why consider hiring a airbnb management company for your property?
- There are several contributing factors that you can consider when choosing to hire a property management to manage your property.
- There could be a problem with being present and hands-on if you do not live in the place where your property is located and therefore cannot do the daily tasks yourself. Having an experienced local property manager can help tackle this challenge.
- You might not be skilled enough to perform all the tasks required to operate the business as a property owner. It is advisable to hire and consult a property manager if this is the case!
- Additionally, you may prefer to handle certain aspects of your business yourself and delegate only a few tasks to a property manager. Thus, streamlining tasks can contribute to a smoother process.
What are the benefits of airbnb property management companies?
Hiring an airbnb property manager is a challenging decision. There are there are a couple of things to consider when hiring a property manager for your airbnb property, depending on what you are looking for. However, it’s critical to know all the pros and cons before making this decision.
Here’s what you should consider when debating if you should hire a property manager.
A property manager brings a vast amount of experience from the vacation rental industry. When you hire a property manager most likely they have several years of experience managing homes. Depending on how long they’ve been in the industry, they would encompass a defined process as well.
They are Law Experts
A property manager’s job is to understand and stay up to date on the real estate laws of the properties they manage, this includes Airbnb Laws and regulations in various cities, states, or countries etc. This is probably one of the most valuable services a property manager can provide. Moreover, property managers bring a wealth of knowledge since some of these laws are very specific and without reading all of them, one could easily break them. So it’s a definite bonus point.
Airbnb property management services save time
Managing a property is a time-consuming task. You need to be available 24/7. Not only are you responsible for that, but also for payments, lease issues, repairs, etc. Property managers can handle all of these tasks on your behalf, which frees your time. You can rest assured your property manager will take care of everything and only contact you for emergencies.
Maintenance handled on time
You have to deal with maintenance issues when you own your own property. A problem can arise at any time and can be more serious than you are prepared to handle. Property managers are often able to address these maintenance issues quickly, and they usually have multiple vendors available to do the work. You can avoid the hassle of researching various vendors and determining which one is best for your needs. A property management company likely has someone that is a dedicated maintenance manager or has a manager that’s experienced in handling maintenance.
The biggest obstacle people see when determining if they want to hire a property manager is the cost of hiring an airbnb property management. The more trusted and established the airbnb management company is, the larger portion they tend to take from your rental income. It is common for property management companies to take a percentage of your rental income, ranging from 20% on the low end to 50% on the high end. The property management company may not be right for you if the fee doesn’t seem reasonable or if the income loss represents a considerable loss to you.
You should keep an eye out for these miscellaneous fees such as extra maintenance fees, renewal fees, etc when deciding on recruiting a property manager.
You will have to adopt a “Hands-off” approach
If you hire a property management company, the system works best with a hands-off approach. It’s unlikely that property managers will involve you in minor matters or maintenance issues so to speak.
Bound by the airbnb property management contract
When working with property managers, you will need to sign a legal contract and be bound by the terms and conditions outlined in it. Contractual commitments of 12 to 24 months are common.
No control over the guest experience
In contrast to you being the host and managing your Airbnb property, you will not be in charge of communicating with guests. You won’t know what is important to them and how you can improve their experience.
In spite of being an expense, property management has more pros than cons for most people. You’ll have less stress and more time for other activities if you can afford it.
Airbnb property management fees
How much does airbnb property management cost?
When hiring a professional airbnb management company in Florida there is a substantial amount of fees involved. An overview of the Property management fee breakdown is provided below to help you get started. You can use this as a guide to decide if they are the right fit for you.
The often asked question is: What do airbnb property managers charge? Let’s see how the fees are structured.
Usually the management company takes a percentage of your monthly earnings. The charges will vary based on the location and features of the rental property and the services it offers. Airbnb property management fees tend to range between 25-50% of the rent collected. Negotiate this fee structure with the property management company so that as many services as possible are included.
The following are the major factors that determine vacation rental property management fees:
If your vacation rental property is located in a popular neighborhood with high property management fees, there is no doubt you will have to pay for outsourced property management.
Property’s type and size
The smaller your short-term rental property is, the smaller the hassle and fees are consequently.
Condition of the property
When a short-term rental property hasn’t been renovated for a long time, there are more maintenance issues, which could result in frequent repairs and higher monthly fees. Make sure you get your properties renovated so you won’t be spending extra cash each month!
Services provided by the company
The price of hands-off property management, where all aspects of your business are handled by a company, will certainly be higher. These are, for example, tasks that are usually not thought of, such as the collection and payment of various taxes (e.g. tourist tax, transient rental tax etc.).
Initial onboarding fees
There may be a charge for registering with a property management company. You might be charged a fee for paperwork, listing creation and optimization, advertising, and inspecting the condition of your Airbnb rental property.
The Airbnb property management agreement could have a clause that says a fee will be charged for vacancies. This could be a fee per vacant unit or a one-time fee that is paid upfront.
Airbnb property maintenance involves tasks such as ensuring all appliances are in working order which includes the Wi-Fi, Airconditioning, Electrical appliances, Heating, water systems, etc. Understanding Airbnb’s maintenance process is important if you own an Airbnb property.
Here is a list of questions you could ask during the recruitment process of an airbnb property manager, as using these questions will enable you to determine if the property management fees are justified.
- How long does it take for a standard repair job to be completed?
- To whom do they outsource maintenance? If so what type of work is outsourced?
- Is the company staffed internally?
- Can guests reach an emergency number?
- If you are the owner, at what point do they need your input?
Cleaning service fees
Your cleaning fees will vary depending on the size and location of your rental. While some property management companies include cleaning fees in their fixed rate, others charge them separately.
When analyzing cleaning fees, here are some factors you need to consider:
- How is the cleaning fee calculated?
- What is the Turn around time?
- Are there checklists in place?
- Will you be able to get the rental cleaned between guests without losing bookings?
Professional photography fees
In order to properly stage the property on the booking platforms so that it is attractive to potential guests, professional airbnb property management companies take professional photos and use them for advertising. Many management companies charge homeowners for this service.
How to find the Best Airbnb Management Company in Naples?
Ask For Reference
Consider asking other homeowners who are currently working with an airbnb management company in Naples, FL or nearby. Learn what services they receive from the company. You could alternatively ask around in Airbnb Facebook groups for references too. Verify if there have been any issues or problems with their management company, and if so, how these issues have been handled. The more you know what you’re getting into, the more likely it is you’ll hire the best property manager.
Visit their Google page to see feedback from real customers by checking their Google Business reviews. Make sure you read each review thoroughly and don’t just rely on the rating. Reviews allow you to identify a company’s strengths and weaknesses, allowing you to make a more informed choice.
Transparency about your expectations is key
To make it easier for yourself and the rental property management companies you interview, make a list of expectations you have for the company you hire. That way, there are no unexpected surprises in the future because you’ve already outlined what the expected duties are.
Communication is Critical
Check how quickly the applicant returns your calls during the hiring process. Typically, how long does it take them to return your calls and emails? Make sure your needs come first when choosing a management firm. Look for a company that builds its strategy around guest satisfaction and communication. This will demonstrate how the company will handle your potential guests, so choose wisely.
Research and Review
How can you get the most value for your money? The price should be in line with the quality of the services provided by the company. Ensure that the company offers the best value for money. Comparing companies is the best way to find out which is the best value. Analyze the services and fee structure of all the companies you wish to review, as well as the potential outcome. Analyze how the chosen company can scale your business, while also giving you peace of mind!
If you sense that they are more concerned with making your money than providing the best service, keep searching until you find a property management company that will put your needs and expectations first.
How can VALIBERA help?
VALIBERA is an experienced vacation rental management company based in Naples, FL which is offering a full-service airbnb management. VALIBERA offers homeowners a comprehensive airbnb management service to free them from all the challenges of the airbnb business and still be successful in this segment and benefit from the advantages that short-term rentals in Florida offer.