Cutting costs

[Elisabeth1341]

Hello everyone, i am looking into ways to cut costs without changing the quality of my services any ideas??

[Karen114 · Accepted solution]

Good morning @Elisabeth1341 . For most of us our biggest expenses are utilities and property insurance. 

For myself,  I use wifi thermostats to have some control over the settings.  We set a reasonable range that heat and AC can be set.  Without this electric/gas/oil bills can spin out of control and cost to replace your mechanical systems is huge.  I replaced two AC systems before I realized that controls had to be put on the thermostat.  Setting AC too low will wear out the system very quickly. 

Some hosts in certain locales will charge for electricity usage, this is very common in Mexico as electricity rates are astronomical.  You would have to see if this is a common practice in your area.

Wifi and cable TV can be big expenses as well as paid for subscriptions.  All our units are wifi only and TVs run off wifi and guests can log into their own apps.  Cable bills can be as high as a car payment in some areas.  

Sheets and towels seem to be every host's bane of existence with constant replacing due to staining etc.  I did away with white towels about 5 years ago and haven't looked back.  I still use white sheets however they are not expensive and I buy them in bulk so when they get stained or ripped, they get tossed or donated to local shelters.  Leaving out a reasonable amount of towels for the number of guests is helpful.  Leaving all your towels out for guest usage with result in all towels needing to be washed at turnover.  If you leave 25 towels out, 25 towels will be used 😊

If you are providing single use shampoo, body wash etc this can add up.  I use a dispenser on the shower walls that can be refilled as needed with shampoo, conditioner and body wash.   For other needed items such as laundry pods, dishwasher liquid, garbage bags etc, we leave out enough for their stay or to get them through the first several days.  Giving guests cart blanche to these items often results in items going away very quickly.

If you are proving mid stay cleanings which is popular in some locales, make sure that cost is factored into your rates. 

Insurance can be very expensive and necessary to shop each renewal year.  

Hope this helps and if there is something specific you had in mind please let me know and I am happy to help. 

[Donna19]

 " I use a dispenser on the shower walls that can be refilled as needed with shampoo, conditioner and body wash."  Recommendation?

White sheets in bulk. Recommendation?   Do you provide bottom fitted and flat top sheets?

Thanks!

[Karen114]

@Donna19  This is what I use across 8 units as well as my own home https://www.amazon.com/Better-Living-Products-76335-1-Dispenser/dp/B000FGCW0A?pd_rd_w=yjiV1&content-... 

For sheets I buy on Amazon as well in bulk.  Bulk Fitted sheets, Flat sheets and King Pillow cases.  All beds are king beds across all units so it makes it easy. 

[Donna19]

@Karen114 Thanks for the information.  The dispensers look great - 

Is there a brand you prefer for your bed linen?  

Thanks for your help.  Donna

[Karen114]

@Donna19  Utopia and Arkwright.  No complaints and they are not expensive.  We are more of a budget accommodation, sub $175 per night so nobody is expecting 800 thread count sheets, well I take that back some do but that's another conversation thread.😀

[Bhumika]

Hi @Donna19 , did you get a chance to check out host Karen's recommendation for bed linen? We'd love to hear how's it going for you with finding cost effective options!

[Karen114]

@Donna19  This is what I use across 8 units as well as my own home is the Better Living Aviva Shower Dispenser 3 chamber found on Amazon.

For sheets I buy on Amazon as well in bulk.  Bulk Fitted sheets, Flat sheets and King Pillow cases.  All beds are king beds across all units so it makes it easy. 

[Karen114]

@Donna19     Here is a link  to shampoo dispenser     https://a.co/d/0bBH54SY

[Bhumika]

Wow @Karen114 ! I love learning something new from hosts in the community 😍 Thanks so much for these detailed tips!

How did you come across this cost saving checklist? Is it based on your trial and error with expenses and budgeting?

[Karen114]

@Bhumika 16 years of hosting 😁  Trial by fire lol.  Once you learn,  very rarely do you look back. 

[Bhumika]

Whoops haha, @Karen114  love this phrase "trial by fire" 🤣 Going to surely add it to my vocab!

Do you have more such unique learnings through trial by fire - something that you would never do again ( may be in terms of a decision, communication etc) ? 😉

[Karen114]

@Bhumika  Nothing really stands out with the exception of installing LVP flooring (Luxury Vinyl Plank)  in a flood zone.  

We installed LVP and ended up getting flooded in hurricane Helene,  so we lost 5K sq feet of flooring, among other things.  

So I would never install LVP in a flood zone and also will never buy anything in a flood zone ever again.  

[Bhumika]

Oh my @Karen114 , I am truly sorry to hear about the damages you went through during Hurricane Helene. I can't imagine the level of stress you must have endured during this whole situation.

After what you went through, have you found any flooring materials or ways to prevent damage in flood prone areas? Your insights on this can help a lot of hosts out there 💡

[Greystone0]

Hi @Elisabeth1341  - good question! I came here looking for new ideas, thanks for posting.

On our end, one cost saving method is we use 'second hand' as a source for items needed in our rental (which is a large home with lots of moving parts, some are guest facing, some are not). By default, items are 'used' and so we check thrift stores, garage sales, estate sales, online (like facebook marketplace), used furniture sites, etc.

We have added some really useful items: a pottery barn coffee table that I was going to buy anyway, found used and in perfect condition, a pair of snow sleds for $3 each (same exact model I paid $45 for new), wine glasses and more wine glasses (these break and so finding nice sets for a low price is meaningful), used tennis racket (we are walking distance to 5 public tennis courts and having several nice tennis rackets is meaningful but the price can add up), and so on.

Good luck!