Rent out a spare room AIRBNB
WHY WE CHOSE AIRBNB
A friend of ours become a host on Airbnb and had a great experience, so we thought it would be a great avenue to supplement our income and meet some terrific people along the way.
HOW IT WORKS FOR US
We have about two or three new guests each week – it’s been very busy over the past nine months. As we both have full-time jobs we need to be quite organised and change the room over in the evenings. We have a day of preparation time between guests. We like to always keep our place quite neat and clean even without guests, so that part isn’t an issue. It is a team effort though. We manage the bookings and messages through the Airbnb app, which is very intuitive and helpful.
WHY WE LIKE IT
We genuinely love getting to know our guests. They have come from across the world into our home and wanting to experience the way Australians live. We also love to travel so it feels like we are travelling when we are getting to know our guests, their home country and culture. This could be over wine, dinner or still in our PJs for breakfast.
LESSONS LEARNED
The biggest lesson we have taken from this experience is our personal appreciation, patience and acceptance of people. Each guest comes with their own routine, traits, quirky behaviour, values and beliefs. We have learnt to be very flexible and accommodating.
TIPS FOR OTHERS
A big consideration for people thinking of renting a spare room is whether you’re willing to share your space and belongings. Will you be OK if a guest breaks something or scratches a good pan? A big tip is to treat guests how you would like to be treated if you were travelling.
HOW YOU CAN DO IT
With the extra income we have upgraded our kitchen and done a bit of travel. Our next goal is to refurbish our bathroom.
You can rent out a room or whole home. Airbnb verifies the guests, including phone numbers. After a visit, you review your guest and they review you. You set the amount you want to charge. You can set the pricing, the highs and lows, or leave it up to Airbnb. You decide when you want to host and how often. For example, you can set a three-night minimum or block out times when you will be travelling or you want a break from hosting. Airbnb handles the money. It charges guests when they book and pays the money into your bank account once the guests arrive. Airbnb takes 3% of your earnings. To set up an Airbnb you want a comfortable, clean space for your guests and need clean sheets, towels and toilet paper. Guests typically want good wi-fi too. As your space takes off, invest some of the money back into the room and its amenities. Airbnb provides $1 million insurance cover for your home and contents at no cost. Also there is insurance in case a guest is injured. You need to include your Airbnb income on your tax return. And when you sell your home you have to pay capital gains tax based on what proportion of it, in floor area, is used to produce an income.