Property manager fee/salary? How much do you pay someone to manage your airbnb property?

[Julian295]

hi there... a friend has a property and asked if I'd be interested in managing it as an airbnb...it's a luxury property and I'm guessing it'll be very time consuming,, but just not sure what to ask as far as compensation

thank you!

JP

[Paul1255]

Hi @Julian295 I hope you are well!

Sounds like it could be a very interesting project.

You should really sit yourself down and work-out what you'd be happy to earn on an hourly basis for the time you'd give to being a co-host/property manager.

I work as a full-time co-host and property manager, and work with various hosts in different ways depending on their needs- which varies from a overall % of the owners earnings to a flat rate for certain services that aren't required all the time.

It's really up to you to work out what you would be happy to earn to ensure it's worthwhile for you.

Bear in mind that large Airbnb property management companies will charge a fee so low that a single person co-host couldn't compete- but low fees often translate into low service which translates into low guest review ratings, so make sure you deliver amazing results for every single guest stay and really earn what you're charging.

I would also take care in terms of working with friends- a good friend isn't always a good work partner 🙂

Best wishes with whatever you decide to do!

Paul.

[Julian295]

thanks a lot Paul,, all makes sense and I really appreciate your take on the subject..I didn't know that there  are airbnb property management companies that already exist..I'm curious.  Either way I know it's a full-time job, so we shall see what agreement we can come to.

Cheers,

Julian

[Paul1255]

@Julian295 there are plenty operating here in London, I think most of them have an international reach- like Hostmaker, AirSorted and so on.

[Charles1232]

What if you're an Airbnb Property owner in another country like the Dominican Republic.  What are the risk of having Airbnb property in another country?  What protection should I have in place to protect myself from unknown risk?

[Scott1439]

Can you send me a list of sorts on how you break down your percentage charged? Im being asked to cohost... but need to know what to ask for remuneration 

[Lisa723]

In my area a property management service charges 25-35%. My local co-host gets cleaning fees plus 30% of rent. She is the primary point of contact for guests and does all on-site support, including maintainance of two hot tubs. I maintain the websites and we share responsibility for electronic communication with guests.

[Julian295]

Thanks so much Lisa,, really appreciate the info.  It helps in my assessment of what to charge..it seems that being accessible and available at all times can alone be worth a lot of one's time.

Best wishes,

Julian

[María304]

😲 So what’s left for the owner that pays mortgage, utility bills, property taxes, tourist certificate fees, a % of income earnings and Airbnb fees? 

[Lisa723]

@María304 I'm not sure if your question was for me, but the answer is 70% of rental income, plus equity in the property. I'm not sure what you mean by "a % of income earnings and Airbnb fees." Airbnb fees are deducted before the split and my payments to the co-host are tax-deductible business expenses. My previous manager charged 40%. My co-host works hard and she definitely earns her commission!

[María304]

Yes, Lisa! The question was for you. I’m kind of surprised with those fees.  Pretty much what a litigator would charge for a case. I guess every country has different Laws and we pay so many taxes in Colombia plus the US, this fee scale it’s not feasible for us. 

I have to even get trained by The office of tourism in order to rent our apartment in Cartagena and I have to pay a percentage to the ministry of Turism on the earnings. On top of that, I have to pay income tax here on those very earnings. You see what I mean? I’m glad it works for you. Thank you for your clarification. 

[Rob-And-Kim0]

Hi, Lisa:  I am being asked to manage several properties and see that there is a need for it in my area.  The one company that does service the area is not doing really well based on the reviews that they are receiving in several listings.  My question is, does your manager accept the money, deduct their fee and turn over the balance to you or do you pay them their percentage after you have been paid?

[Mery172]

@Rob-And-Kim0

I manage some airbnbs, and I chose to have the owner getting the money on his/her account, then they send the commission to me, for me is the best, makes everything clear. 

[Victoria1764]

Hi Mery, I'd love to know more about how this is done? a percentage? after fees? frequency? is the listing still under your account and then you place the owners card/bank details for payout? PayPal?

[Mery172]

Rob-And-Kim0

I manage some airbnbs, and I chose to have the owner getting the money on his/her account, then they send the commission to me, for me is the best, makes everything clear.