Airbnb rent way to make extra income from your property
enting out a property that you own is becoming more and more popular as a way of generating extra income.
Renting out your spare room on Airbnb is a popular form of getting a second income, with tens of thousands of homeowners across the UK now listing their spare room on the site.
But how much could you really be making on Airbnb if you decided to go down this route?
And how does this compare to the amount that an entrepreneur like you could make officially renting your spare room out on a more permanent basis?
Looking at 21 of the UK’s biggest cities, it has been calculated that the average amount homeowners could make by listing their spare room on Airbnb or renting it out permanently.
Out of the 21 cities that were looked at, Airbnb worked out as the more profitable option in seven of them. Homeowners in Bath, Belfast, Brighton, Cardiff, Edinburgh, Manchester and Newcastle could make more
Rmoney listing their spare room on Airbnb one night per week, than if they rented it out full-time. Using data from SpareRoom, the average monthly rental cost for a one room rental in a city centre property has been worked out, not including any additional bills.
This has then been multiplied by 12 to get an annual rental income figure.
To get a comparison for Airbnb, the average cost for a mid-week, one-night stay in a private room in a city centre property has been looked at.
This figure was then multiplied by 52, to calculate how much a homeowner could earn on Airbnb if they hosted a guest one night per week.
Cities looked at included Aberdeen, Bath, Belfast, Birmingham, Brighton, Bristol, Cambridge, Cardiff, Edinburgh, Glasgow, Leeds, Leicester, Liverpool, London, Manchester, Newcastle, Nottingham, Oxford, Sheffield, Swansea, York.
Cardiff came out as the most profitable city for Airbnb, with homeowners earning 86 per cent more via Airbnb than traditional renting.
Hosting a room on Airbnb for 52 nights a year in Cardiff would generate approximately £6,344, compared to an average rental income of just £3,408.
Belfast was the second most profitable city for Airbnb, with hosts earning approximately £4,108 on Airbnb, 39 per cent more than the average rental income of £2,964.
Meanwhile, Cambridge came out as the least profitable city for Airbnb. Homeowners could expect to earn just £3,744 per year on Airbnb, 35 per cent less than the average rental income of £5,772.
London came out as the best city for renting, with homeowners able to make £8,126 per year, compared to just £6,084 via Airbnb.
But how much money could you make by hiring out a room through Airbnb in the city that you live in?
Find out how much money your spare room could make with the interactive calculator at www.vanquis. co.uk/renting-vs-airbnb website. Simply select a city and number of nights to see the average Airbnb income for your location.