Are there risks to hosting an entire apartment?

[Geoffrey37]

Hi everyone.

For the past year I have listed a private room in my apartment-condo unit, and overall it's been a great experience. I am looking at the possibility of renting out the entire unit, but a few things make me nervous...  When people stay with me, I am able to meet them, and check if they bring extra guests that are not part of the booking (it's already happened two or three times), and generally people are on their best behaviour while guests in someone else's place.

I'm not sure what to expect if I rent out my entire unit, and aren't able to monitor what's going on. Does anyone have any experience they can share regarding this?

Thanks

Geoff

Edmonton, AB, Canada

Geoff

[Gerry-And-Rashid0]

@Geoffrey37

The bottom line is you can vet guests as much as is feasibly possible, you can have extensive lists of house rules, and you still may get a bad apple as you are not on site to keep things in order. Only you can be happy with that risk. 

The second area to consider is local regulations and the law relating to shorthold tenancies. You need to have a very good understanding of these and in particular how long a guest can stay before they acquire 'accommodation rights' (it's usually around 30 days).

Think about who your property will attract and how many it will sleep. Will your desription read like and invite to party? Is it in a very popular location? If so, avoid 1 nighters, don't cram in too many people just for a few bucks (ask why someone is happy sleeping on an uncomfortable sofa/pullout bed for example).

Finally - as with any booking or enquiry, if it doesnt feel right then avoid. Oh, and don't forget to have the right host insurance!

Good luck - it's a big step moving from a room to an entire property. But many people do it very sucessfully

[Geoffrey37]

Hey, thanks for the excellent response..

Lots to think about... I am hoping too that I can reclaim at least the amount it would cost to rent it out... In my city there are so many listings now, and when I look at many of them they have calendars that are wide open - it makes me wonder how it can be worthwhile for the hosts.

I haven't heard of accommodation rights... I will have to look it up - or perhaps you have something to fill me in with here.

thx

Geoff

[Kate-Mary0]

Hey Geoff @Gerry-And-Rashid0 made a very valid comment regarding the regulations. You should definitely first check if you're allowed to rent out your entire apartment. Every city has its own regulations. Also, as it's an apartment, you'll have to check with the HOA too. I assume you're the owner of the apartment, otherwise you'll have to get permission from your landlord too. I don't want to sound like a wet blanket, I've just lately read too many stories about hosts getting fined. I haven't read any articles specific about Edmonton, but maybe this blog post will help: https://www.airgms.com/airbnb-regulation/

[Geoffrey37]

Thank you Kate.

As far as I know our city and province haven’t put in a lot of regulations except requiring us to collect a business tax.  We own the unit and the building managers said they can’t stop us from renting it through airbnb although they didn’t seem too excited about it. Unfortunately airbnb gets a a bad rap (in the media) but to me it’s a much more reliable way if finding good renters than advertising on our own. 

[Sarah977]

@Geoffrey37 It depends on what you mean by "a much more reliable way of finding good renters". It seems to me that finding good renters is more reliable if you are able to vet them yourself, require personal, employment and past landlord references, personally interviewing them, and all those types of things people do when they rent out a place long-term. Airbnb does little to ensure that hosts are protected from "bad" guests. Renting out a space in the home you live in, where you have interaction with your guests and can quash unsuitable behavior in the bud is a whole different ballgame than entrusting your home to strangers who can set up an Airbnb account with a few clicks.

[Geoffrey37]

@Kate-Mary0  Tagging you this time! Still learning this.

[Kate-Mary0]

It sounds as if you don't have too many hurdles then. I agree that Airbnb has gotten some bad press. When I sense that a landlord/HOA is against Airbnb, I try to downplay the risks by explaining that there are certain steps that you can take such as screening the guests, asking a security deposit etc. 

[Geoffrey37]

@Sarah977. We had some bad experiences with renters in the past. My experience with airbnb guests has been much more positive. Of course, they don’t cause too much trouble if they are staying just a few days.  And they are held accountable when it comes to reviews. Maybe that’s a limited perspective, and it could be that renting an entire place will attract different types of guests. That remains to be seen...

[Sarah977]

@Geoffrey37 Entire place listings will definitely attract a different type of guest. It's important how you market it to ensure you have as few problems as possible. If you haven't already, you might be interested in checking out this thread- https://community.withairbnb.com/t5/Host-Circle/Knowing-your-target-market-and-why-it-matters/m-p/92...

It may give you some ideas.

[Geoffrey37]

@Sarah977 It's a good point. ... We don't want to just be the cheapest option in town. (For that reason I don't follow the price tips, but that could be the topic of another thread). I have a friend who is starting up an airbnb... He had one guest who brought a woman with him (not part of the booking), and only stayed for three hours... it turns out he was just looking for something equivalent - but cheaper - than a cheap motel.  It's nice to be chosen for a reason other than that. And it's true that sometimes the guests who get the best deal don't always give the best rating.