Long term booking

[Matu25]

Has anyone been approached by potential guest to rent their property for more than a year in short incremental?  Wants to know how much I’d be willing to offer the place to stay for one to two years. 

[Karen114]

@Matu25  No I have not and that is likely becuase the costs would be prohibitive to the staying guest.  You must ask yourself, do you want to be a host or a landlord?  Big difference.  

Also why woulnd't this person just rent a long term apartment and save themselves $$$.  I get the quaisi flexibility of renting short term but not for that lenghth to time.  

[Matu25]

Right @Karen114 ?! That’s what I thought. Why would you want to rent my place for so much. But on another note, they don’t have to pay for utilities, furnishings, and deposits required to rent an apartment - nonetheless I still think there’s something not quite right about this. They were asking me how much discount would I be willing give since it’s a long term consideration. I honestly enjoy the short term rental - come to my property, few or several days and you’re out. 

[Karen114]

@Matu25  Yes that's me too for sure.  I like them in and out, less damage and the unit stays clean all the time. I typically will limit to 28 days, sometimes longer in the high season for the snow birds but honestly I prefer not to have longer stays.

The snow birds think they are doing you a favor by staying for an extended stay and think a discount is customary.  I don't discount much for longer stays becuase the nights are going to rent anyway at likely full price. 

[Matu25]

Exactly @Karen114 ! If I may ask, what is your discount per monthly stay?

[Karen114]

@Matu25 Maybe 15-20% .  Just depends on when the inquiry comes in and what type of mood I am in. I am not giving a 20% discount in June for a February booking.  Maybe in January but it would likely be booked by then anyway. 

[Matu25]

Got it! I am a fairly new host and I'm yet to get a long stay (As in a week up to about a month). This is good information for me for when I do get one. I am also hoping that this June will increase bookings a bit. Right now my booking is only 24% occupency. I welcome any tip you or anyone may have to help. I appreciate your response(s).

[Karen114]

@Matu25  Check out what comps in your immediate area are priced at. Find the ones with the busiest calendars and see what they are offering.  

Don't make it a race to the bottom.  Often times you are better off being empty than renting for a song becuase you will get the wrong guest and it will end up costing you more in damage and probably a bad review if you try to claim for the damage.

I use a pricing tool, Price Labs and it is a big help.  You still have to do the work and adjust, it's not set it and forget it but gives you a birds eye view of your market.  

[Matu25]

Thanks for the tips @Karen114 ! Definitely going to try out Price Labs. 

[Marie8425]

I do a lot of contract workers..  Some stay with me six months  but  because a contract in short increments  just in  case.

I use the following rules to keep  me out of trouble.

1.  All bookings on Airbnb.  I just  blame this on my insurance requirement.

2.  My Airbnb has discounts for monthly and weekly bookings.  I  don't  have other discounts.

3.  I will make  best effort to extend a reservation or to  notify you I  am unable.  I  don't guarantee that I  can manage a Guests  calendar.

[Matu25]

Thank you!

[Alicia753]

Hi @Matu25 I have had long term reservations before but it's just months not a year or even 2 years. For long-term reservations on Airbnb,  Payments are generally charged monthly, making it easier for guests. You can give special offer for pricing for long stays and should clarify if utilities are included and must be disclosed on your listing description. To set the price, research local long-term rental rates and factor in all costs and a reasonable profit margin. Communicate clearly with potential guests about rates, inclusions, payment terms, and policies to ensure a smooth arrangement. hope this helps! 

[Matu25]

Thank you so much Alicia!

[Helen3 · Accepted solution]

Hi @Matu25 

I would never recommend using Airbnb for such a long term rental 

you will probably give the guests tenancy rights and they can give you one months notice and leave. 

Nor would I recommend you align with long term rental pricing as you are including all the bills. 

if you want to take such long term bookings I would advise creating a tenancy, carrying out tenancy checks, taking up references etc. 

[Matu25]

Thank you! I might as well become a landlord. I like hosting short term guests. I'll just keep it as such.