Airbnb Property Management: Everything You Need to Know

Airbnb property management, vacation rental management, short-term rental property management … whatever you want to call it, it encompasses the same thing: the management of a short-term rental or vacation rental property that may or may not be listed on Airbnb.

In this comprehensive guide, we delve into the nitty gritty of Airbnb property management, from the tasks and tools involved to hiring a property manager or company to take on the management of your vacation rental for you.

What is Airbnb Property Management?

Airbnb property management involves overseeing the day-to-day operations of short-term rental properties listed on OTAs such as Airbnb and your own direct booking website.

This includes tasks ranging from listing management and pricing strategy to guest management, staff management, housekeeping and maintenance. Essentially, a property manager ensures that the property is attractive, competitive and profitable in the short-term rental market.

How to Become an Airbnb Property Manager

Becoming an Airbnb property manager requires a mix of hospitality skills, knowledge of the short-term rental industry and operational acumen. Here’s how to get started:

1. Education and training

While formal education in fields like hospitality management or real estate can be beneficial, it isn’t mandatory. There are numerous online courses specifically tailored to Airbnb and short-term rental management.

2. Gain experience

Start by managing a single property — possibly your own or a friend’s — and use this experience to learn the ropes. You can also work under an experienced property manager.

3. Understand local regulations

Familiarize yourself with the local laws, regulations and taxes affecting short-term rentals in each of their locations.

4. Leverage technology

Use tools like property management software to streamline and automate operations, improve guest experiences and gain a competitive edge.

5. Network

Connect with other property managers and industry professionals to build relationships and learn industry best practices. Joining an organization like VRMA and dedicated Facebook groups can help you find peers and thought leaders and stay updated.

How to Hire an Airbnb Property Manager

If you are a homeowner looking to delegate the management of your vacation rental to an Airbnb property manager, consider the following:

Experience and references

Look for a short-term rental property manager with proven experience and positive client testimonials. Make sure to call all the references they provide.

Local knowledge

Choose a property manager who is familiar with your Airbnb property’s locality and its specific regulations and market conditions.

Service scope

Make sure your chosen vacation rental manager offers all the services you need, from pricing and guest communications to maintenance.

Compatibility

The short-term rental manager you choose will represent you in interactions with guests, so ensure their service philosophy aligns with your expectations.

Techstack

Find out the list of tools the Airbnb property manager relies on. 

This list should not be too long but include the essential apps such as a property management system (PMS), dynamic pricing and smart locks. 

If the property manager uses an all-in vacation rental software like Hostaway, not only can they lower costs by having to use a single platform to manage their operations but you can also make use of the Owner Portal to keep track of their management.

How to Hire an Airbnb Property Management Company

Opting for an Airbnb property management company over a property manager can provide an additional layer of security and convenience. It can also be more costly and gives you less control.

If a short-term rental property management company is the right choice for you, here is how to choose the best one for you:

Reputation and reviews

Research their reputation online and read reviews from other property owners. Reach out to homeowners who’ve used them and get the details on how they operate and the pros and cons of their choice.

Full service

Verify that the company offers end-to-end services, including emergency handling, maintenance and marketing. If you want to have control over some aspects of property management, make sure the company allows you the option to do so.

Cost vs. benefit

Evaluate each property management company’s fee structure against the services they provide and potential revenue increase.

Transparency

Make sure your property management company uses a PMS that offers a Owner Portal so you can  stay on top of their management and performance of your short-term rental property.

Airbnb Property Management Fees

Property management fees vary widely, ranging from 10% upwards and even reaching 40% for some property management companies. Generally, individual property managers cost less than hiring a property management company but this can vary depending on the fine print. For example, if you alone are on the hook for certain expenses but not the property manager.

Some short-term rental property managers and property management companies offer a fixed fee model while others charge a variable fee based on performance. It's important to understand all fee structures and any additional costs, like cleaning fees. Some property managers and companies may also charge a performance bonus so take that into account as well.

Make sure you sign a contract and get a legal professional to look it over before you do. Also, pay close attention to the exit clause. You want to understand and reword, if necessary, the terms under which you can fire your vacation rental manager or property management company and the notice you have to give them.

Airbnb Property Management Tools

Effective management of Airbnb vacation rental properties requires leveraging technology including AI to streamline and automate operations, optimize guest experiences and maximize revenue.

Here are essential tools every Airbnb property manager should consider:

1. Property management system

A PMS is a vacation rental manager’s primary tool and acts as the central hub from which their operation stems. These comprehensive platforms offer tools for managing bookings, communications, guest services and marketing, all in one place.

3. Channel manager

To maximize exposure and bookings, short-term rental properties are listed on multiple platforms, not just Airbnb. Property managers use a channel manager to easily manage these listings and prevent double bookings.

4. Dynamic pricing algorithm

Pricing has significant impact on a vacation rental’s competitiveness. Short-term rental managers use dynamic pricing tools to adjust their pricing daily, ensuring they maximize revenue based on historical context, supply, demand, seasonality and local events.

5. Automated messaging systems

Timely communication enhances guest satisfaction and leads to higher search rankings on OTAs and even better reviews. Tools like HostAI and Yada.ai allow Airbnb property managers to automate most responses, saving time, effort and cost.

6. Cleaning and task management apps

Successfully managing turnovers is key to maintaining high standards. Apps like Properly and Breezeway help schedule cleanings, manage tasks and ensure that your short-term rental property meets guest expectations every time.

7. Security tools

Ensuring the security of your property and guests is paramount. Vacation rental smart locks, which can be managed remotely, allow for secure, keyless entry.

8. Financial management tools

Keeping track of earnings, expenses and taxes can be streamlined with tools like QuickBooks and BookingTrust.

With an all-in-one vacation rental software like Hostaway, vacation rental property managers can streamline, automate and manage most, if not all, these tasks from a single, comprehensive platform that is also intuitive to use. Its robust API also allows property managers to easily and seamlessly integrate additional tools they may need from its marketplace.

Keys to Prosperity in Airbnb Short-Term Rental Management

Effective Airbnb property management transcends basic hosting. It's about mastering the art of guest experience while optimizing operational efficiency while ensuring regulatory compliance. For property owners and managers alike, this means not only understanding the nuts and bolts of property care but also embracing advanced tools and strategies that enhance competitiveness. By investing in the best solutions, you can ensure your short-term rental property shines in a crowded marketplace and brings home big returns.