Security Deposit? Thoughts?

[Jen15]

Hello, I am just wondering if we should keep a security deposit on our listing or not?  I have had several people inquire about why we have it on our listing and a lot of people say no thanks if you have a security deposit we won't stay with you.  What is your take on security deposits?

Thanks!

[Kip0]

I personally have two listings one in a major city and one in a resort area.  I do not have a security deposit requirement on the major city one but i have it for the resort area one.  In resort areas it's a common thing so I think doesn't make me uncompetitive and those bookings tend to be longer duration where more damage could occur.

On the one in the major city I decided not to have one because I felt like the guarantees from AirBnB were sufficient and I wanted to experiment with the trust we're all trying to establish here.  I have not had any problems.

Also, I could be wrong about this but it doesn't seem like AirBnB even actually charges people the security deposit.  I think it's just like AirBnB has the right to charge the guest if a legitimate claim is made against them by a host.  I have been a guest on a number of listings where a security deposit was listed but I wasn't charged up front so I think that must be how it works?  So if that's true then your response could be that you believe it fair to set the expectation but that they should check AirBnB's policy on Sec Deposit as it's not paid to the host unless a claim is made.

[Ed-and-Hugh0]

@Jen15 It's never been an issue with our guests. If a guest is turned away because they don't want to be responsible for paying if they break something, then I think it's a good thing...that's not the type of guest we would want anyway. Legitimate guests know they won't be charged up front, and will only have to pay if there is a claim. Those that want to trash the house without having to cough up some extra money for damages are the only ones who would think the deposit was a bad thing.

[Danny9]

It is your house - you decide. 

I am very much in favor of the Sec Dep. 

Airbnb does NOT charge the guests any amount of the Sec Dep. But they do 'block' the amount specified from the guests' credit cards to possibly pay for the damage if reported AND documented by the host within 24 hours (?) after the check out. 

I have a very strong corporate travel background. All my hotel accommodation is paid in advance in full. I have been staying at the same 5 star hotel chains for couple of decades now. Honestly, they know more about me than I do:). Yet, they, too, always ask me if they can use the credit card info stored with them for all 'the extras'? They also mean all the damage that I may cause to their property. (Not that I have ever done anything of the kind whatsoever...)

A Sec Dep is a default in hotel industry even for the most senior loyalty members.

A guest who plans to treat your property in a responsible manner and with due respect will have no problem accepting a reasonable amount of Sec Dep as a perfectly usual part of the deal. 

I doubt that any host would start writing and documenting damage to the property that is worth much below say, USD 100.00. But if a guest really damages expensive items, a host will have a good chance of getting compensated for his out of pocket expenses if not for the time he needed to spend organizing the repairs. 

Equally so, a guest who knows that he is financially liable for the possible damage he may cause to the property is very likely to behave in a more prudent manner. The very idea that say, your negligence may cost you a few hundreds makes people think twice before taking it too easy... 

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