If you controlled the Host Guarantee, how would you calculate payouts?

[Alexandra316]

So this is only sort of related to Airbnb, but bear with me. It's a bit of long story.

I had a guest this week at my cottage. They stayed for seven days. They didn't book through Airbnb; they booked through a site that allows me to actually properly hold a security deposit. I had a bad feeling about these guests from the off. I don't know what it was: I just didn't feel good about it. Something about the communication put up red flags for me: they didn't seem very respectful. I even drove by a few times during the week that they stayed to make sure everything looked okay, and it did, so I told myself I was being paranoid. 

So they checked out this morning, and I went to clean with my heart in my mouth. It was the dirtiest I've ever seen my cottage, by far, and they did delightful things like leave a dirty diaper in the bathroom garbage... a garbage they had removed the bag from, even though there were lots of fresh bags to use. They were just bad, disrespectful guests, and it took way longer than normal to clean.

The piece de la resistance... they had put either something hot or a stripping chemical on one of the side tables in the sunroom. There are three solid wood tables that all match: a coffee table and two side tables. They were in excellent condition when the guests arrived. The damage isn't minor: it's about 3" wide and 8" long. It's extremely noticable. It looks like s%!t. The table is cherry coloured, and how it has a big blonde stripe straight down the middle. 

The good thing about it is that, unlike with Airbnb, I actually get to decide how much to charge them to remedy this! Do I take the opportunity to get a new set of tables? Do I prorate the value of the tables based on their age? I don't know how old they are: they came with the cottage and they looked brand new. I don't think they were super expensive, but they're solid wood and definitely not Ikea.  Do I try and refinish that one table? What would YOU do if you actually had the power to control your security deposit? What do you think is fair? Personally, I don't think that the pro-rating that Airbnb seems to use to dole out the host guarantee is very fair. Just because a table is 10 years old doesn't mean that it's 1/10th the price to replace it. I don't want this newfound power to go to my head :-). I want to make a fair proposal. However, I'm also pretty pissed off about the state of the cottage.

This all got me thinking: If you controlled the host guarantee, how would you calculate the payouts? We hear so many stories about what's unfair about the guarantee: if you had the control, what would you do? How would you ensure that people were getting paid a fair amount? Or would you just get rid of it entirely and let people rely on their own insurance?

[Alexandra316]

@Rebecca181Truth in advertizing? That's madness! 🙂

[Kelly149]

If I were calculating HG (or security deposit charge) I would consider replacement value for the damaged item. So, I wouldn’t charge for all 3 tables even though they were a set. But I don’t believe it is right to choose deprecated value either. You had a working, attractive, non-damaged item before the guest came and a claim should make the host whole. It is silly to offer a percentage value since you’ll have to go buy a whole new thing. And it’s not like any of us are getting rich off damage claims. I for one would much rather keep what I have in good shape rather than deal with broken/damaged items and the headache of replacing them when guests are careless. 

As for the claim I would find the nearest, most similar table readily available on Amazon, target or overstock or wherever your style dictates. Perhaps I would even show 3 examples for bolstering the point and then ask for that amount. After those funds were received then I would either go buy one of those items or see if a repair person could do better. 

[Alexandra316]

@Kelly149I totally agree: I absolutely never want to dip in to the damage deposit. It actually makes me feel a little bit sick. I already have the cash in hand: I have to decide how much (if any) to return to them. 

I really like your idea of finding a reasonably priced set on Wayfair or similar and making a choice based on that. I also hate furniture shopping with a passion. I don't want to replace only one piece: the set matched, and it looked good. The repair either has to match, or I'll get a new matching set.

[Pete28]

Assuming you care about tax, you are depreciating all furniture over 5 years ? If you are doing that then the value should be based on that, not some arbitrary period or new replacement value. I'm not sure you can have it both ways - same with floor coverings.

[Sarah977]

@Alexandra316   I agree with the others who advised having the top refinished to match the others. A qualified person should be able to create a match. 

And maybe consider putting some glass tops on the tables. Of course guests can break the glass, but not so expensive to replace as buying new matched sets of furniture or paying for refinishing.

And I'd charge the guest for any costs involved. Personally, if a guest told me they accidentally damaged something, I'd be way more inclined to take it in stride and either not charge them or reduce the cost. But guests who trash your place out, do damage and don't mention it- dock them the full price of whatever you decide to do.

[Alexandra316]

Thanks @Sarah977 that's a really good idea regaring the glass, at least for the side tables (the coffee table would probably be more likely to be knocked off). 

I agree, I can put up with a lot if people are generally respectful and contrite. The whole situation just really ticked me off. I will at least show it to a pro and see if it makes sense to repair.

[Sarah977]

@Alexandra316  You know, I was thinking that if a pro says they can't guarantee a color match, you could always just use a solvent to take all the finish off both the side table tops, then refinish them both to match each other. Wouldn't necessarily match the coffee table, but I don't think that'll garner any bad reviews (though you never know- "Side tables didn't match coffee table", 2* overall).

Or you could just make it really easy, find some attractive cloth, put it on top of the side tables with a piece of glass on top.

[Jessica-and-Henry0]

@Alexandra316

I'd look into furniture repair options first - get quotations, then decide whether to fix or just buy (sturdy, cheap, durable) replacements. Based on your decision, you can decide how much of the deposit to give back. And whatever decision I make, I'd probably send all the evidence with a brief explanation why I am charging XXX amount for damages/repair/replacement. I personally do not believe in factoring in depreciation for replacements.

Thank goodness the guests from hell were NOT airbnb guests!!!!!!

[Alexandra316]

@Jessica-and-Henry0Yes, knock on wood, my Airbnb guests have all been good so far! 

I'm with you on the depreciation. If I had a functioning unit before the guest arrived and a non-fuctioning unit after they leave, I think they should be responsible for paying a reasonable replacement value or the cost of repair so that whatever was broken is functional again. 

[Alexandra316]

Well, @Jessica-and-Henry0 @Donna240 @Sarah977 @Rebecca181 @Letti0 I got a message from the guest asking for their security deposit back, because they say it was an accident with a leaking glow stick, and they say that because it was an accident, they shouldn't have to pay for the damage. The mind boggles.

Annnyyyhooo... I haven't had an opportunity yet to get the  refinishing estimate done, but needless to say, their unapologetic and disrespectful attitude so far has done nothing to speed the refund along. I did look up similar sets on the Canadian Overstock.ca, Amazon.ca and Wayfair.ca, and similar 3-piece sets seem to be selling in the range of $500-600. I've also looked on Kijiji , but similar used sets seem to be in poor condition so far: scratches galore. @Sarah977 I thought your idea was really good: finding something to put on the surface then put glass over it. That may be the best solution. 

[Jessica-and-Henry0]

@Alexandra316

Not sure how much of a deposit you have but if it were me.......I'd probably try to keep as much of the deposit as I can,  not give back any of it at all~~~ they've got a lot of nerve!

[Letti0]

@Alexandra316  Document it all. I had a friend a while back tell me her daughter damaged a tabletop at a VRBO last year. She spilled nail polish remover on it. She went into panic mode. She arranged for the furiture repair store to pick up the table and refinsh the top for the owner instantly telling the owner. She said it was back the day she left, she had a two week stay. What a far cry from your guest. Whether it was an accident or not, they DID it.

[Rebecca181]

@Alexandra316 It seems that a mindset is arising that there is no responsibiity as long as one can justify and rationalize their behavior and actions - even if it harms people, places, and things. This is what concerns me about what is growing in the AIrbnb petrie dish as they 'experiment' with various kinds of lenient practices with guests - even when it appears to violate host's rights under their own terms of service. Reminds me of Reagan's infamous phrase, 'Mistakes were made'. I am glad that you are not letting this go, and I agree with @Jessica-and-Henry0 - Seek to retain as much of the deposit as you can. If nothing else, to make a point. Excuses are not enough in this world. Contrast this guest's behavior to the guest in the example @Letti0 gives. Responsible guest who took care of the situation so the host wouldn't have. I was a guest at a vacation rental awhile back: I broke one cheap Christmas ornament. What did I do? Told the owner, and bought an entire box of not cheap Christmas ornaments. That's how I was raised. And that's the right thing to do. Best of luck with this irksome situation!

[Sarah977]

@Alexandra316  Yes, it's an "accident" therefore they should be totally absolved of any responsibility and you should bear the financial brunt of their "accident". Unreal, the total lack of "I own this".

I'm the master (mistress, Ms?) of cheap, attractive fixes 🙂 Due to lack of financial resources- also I love the idea of making the best of a bad situation LOL. Maybe I should quit hosting and run a consulting service on how Airbnb hosts can deal inexpensively with guest damages 🙂 Altho some of the damages I read about on the this forum would be way beyond my "cheap fix" ideas.

[Donna240]

Unless you provided the glow stick and forced them at gunpoint to use it, I think the accident was theirs, not yours. Personally, I think making the surface whole at great cost is better than "settling for redesigning it for their benefit, to save money, unless your idea is much better , meaning you like it better than your original look. So sorry you have to go through this....still, a glow stick is better than urine...LOL