As a new host, how should I price my apartment?

[Chris1944]

Hi all.

I put my apartment online a few days ago and it went well, and then didn't go well.

I set the prices using the 'smart pricing' feature and followed the tips exactly. We got a flurry of bookings once it went live. Then a friend who is also a host told me that my prices were too low and she went into my account and put them all higher. She told me to negotiate higher prices for the bookings I got and to cancel them if they refuse to pay higher prices.

So a few cancelled bookings later, bookings seem to have dried up.

Should I just follow the smart pricing tips and put my prices a bit lower than what they should be to get some reviews and then put them higher?

[Linda108]

@Chris1944   I am sorry your friend gave you very bad advice.  First of all, you cannot change the nightly rate of a booked reservation as it is a violation of the Terms of Service you have with Air BNB.  Second, if you cancel a reservation there are several host penalties that are automatically levvied including a financial penalty and the automatic review advising of the cancellation.  Potential guests see this cancellation and will shy away especially because you have no other reviews to reflect on the positive qualities of your listing.

It is important for you to read all the information in the Help Center about being a host to become educated about this platform.  When you first post a new listing, you get a boost in the search to help you gain bookings.  You need to have low prices to start, get some good reviews and then increase your price as you have gained credibility for the potential guest.

Pricing can be tricky, but most of us looked at comparable listings in our area and discounted the price a bit to start.  

[Chris1944]

Thank you. I have set the pricing using the smart pricing calculator. The bookings are now coming back in. I thought raising the prices was a bad idea. Always trust your instincts.....

[Romana19]

Nechte si ceny stanovit od nápovědy a raději s nimi sám nehýbejte,čím vyšší cena,tím méně rezervace

[Chris1944]

I will keep using the smart pricing feature until I get some reviews then may consider raising the prices by 5% increments each month or something so see how my booking go.