How to Hire an Airbnb Property Manager

Hosting is a full-time job that requires you to be available 24/7.  Without the right tools and resources, you could feel like you’re stuck in a hamster wheel of neverending property management tasks. 

If you’ve listed your property on Airbnb and it seems to be taking up a lot of your time and effort you’re probably thinking about hiring an Airbnb property manager. 

Here's a look at everything you need to know.

What is an Airbnb Property Manager? 

An Airbnb property manager is a professional or a company engaged in overseeing and handling the daily operations of an Airbnb rental. Their primary role is to ensure the property is well-maintained, guests have a positive experience and the owner achieves a good return on investment. 

These managers can handle everything from marketing the property and guest communication to cleaning and maintenance.

Key Tasks of an Airbnb Property Manager

There are a host of operations and tasks (pun intended) that property managers need to do on a day-to-day basis. In general, they encompass the following:

• Listing management: Creating and optimizing property listings on Airbnb and other platforms to attract more guests.

• Pricing strategy: Implementing dynamic pricing strategies to maximize occupancy rates and revenue.

• Guest communication: Handling all guest inquiries, booking requests and providing support throughout their stay.

• Check-in and Check-out: Coordinating check-in and check-out processes, including key exchanges and property inspections.

• Cleaning and maintenance: Ensuring the property is clean, well-maintained and stocked with essentials between guest stays.

• Reviews and feedback: Managing guest reviews and feedback to maintain a positive reputation and improve future bookings.

• Legal compliance: Ensuring the property complies with local laws and regulations regarding short-term rentals.

Pros and Cons of Hiring an Airbnb Property Manager

You might feel like you need some boots on the ground especially if you own multiple properties or live far from your rental. Here are some pros and cons of hiring a property manager.

Pros:

1. Saves time: A property manager handles all the day-to-day tasks, freeing up your time for other activities.

2. Expertise: Professional managers have experience and industry knowledge that can help optimize your rental's performance.

3. Local presence: A local manager can handle emergencies and on-site issues more effectively if you live away from your property.

Cons:

1. Cost: A property manager could cut into your rental income, making it an expensive hire, especially during peak season.

2. Loss of control: Depending on how your contract with the property manager was worded you could end up with little to no control over your property and its management.

3. Varying quality: Not all property managers are equally skilled or reliable and finding a good one can be challenging.

A Breakdown of Common Airbnb Property Management Fees

Airbnb property managers, especially professional property management companies tend to charge extra for certain tasks, some may require one-time payments. others monthly. 

The property management fee breakdown overview below can help you get started. Feel free to use this as a guide to decide if they are the right fit for you.

Initial setup fee: 

There may be a charge for registering with a property management company. You might be charged a fee for paperwork, advertising and inspecting the condition of your Airbnb rental property.

Tenant placement fees: 

The property management company will charge you a tenant (guest) placement fee if it finds you tenants for your Airbnb rental property. A guest screening fee and check-in/check-out fees could be included in this fee. This is usually charged as a percentage of the rental fee.

Vacancy fees:

The Airbnb property management agreement could have a clause that says a fee will be charged for vacancies. This could be a fee per vacant unit or a one-time fee that is paid upfront.

Maintenance fees: 

Airbnb property maintenance involves tasks such as ensuring all appliances are in working order, including Wi-Fi, air conditioning, electrical appliances, heating, water systems, etc. 

Understanding Airbnb's maintenance process is important if you own an Airbnb property. Here is a list of questions you could ask during the recruitment process of a property manager to help you to determine if the property management fees are justified:

• How long does it take for a standard repair job to be completed?

• Do they outsource maintenance? If so, what type of work is outsourced?

• Is the company staffed internally?

• Can guests reach an emergency number?

• At what point do they need your input?

Cleaning service fees: 

Your cleaning fees will vary depending on the size and location of your rental. While some property management companies include cleaning fees in their fixed rate, others charge them separately.

When analyzing cleaning fees, here are some factors you need to consider:

• How is the cleaning fee calculated?

• What is the turnaround time?

• Are there cleaning checklists in place?

• Will they be able to get the rental cleaned between guests without losing bookings?

Property Management Fee Structures

Guaranteed model

A guaranteed fee model ensures that your income remains stable throughout the year. You will receive a fixed amount of money from a property management company whatever the season might be. You still earn money even if you have no bookings. However, with this model, you won't be able to capitalize on any surges in demand or capitalize on the peak season.

Fixed-rate fees

Many Airbnb property management companies charge a flat fee for a set of services. No matter how many nights the rental is booked, the fee does not change. In addition to the fixed monthly fee, these companies will charge you extra for services such as maintenance, marketing and check-in. 

If you choose this fee structure, read the contract carefully, negotiate and have them add some of the extra services to the monthly payment.

Commission Based

This is the most commonly use fee structure. With this model, the Airbnb property management company takes a percentage of your monthly earnings. The charges will vary based on the location of the rental property and the services offered. 

The percentage tends to range between 25-50% of the rent collected. Negotiate this fee structure with the property management company so that as many services as possible are included.

How Do You Find the Best Property Manager for Your Property? 

Finding the right property manager starts with detailed research and decision-making. Here are ways to go about it:

Research and referrals 

Consider calling other property owners who outsource property management to learn what services they receive from the company. Alternatively, you could inquire through any Facebook group or a Linkedin forum for references. 

Verify if there have been any issues or problems with their management company and if so, how these issues have been handled. The more you know what you’re getting into, the more likely it is you’ll hire the best property manager.

Company ratings

Visit their Facebook page to get feedback from real customers and check their Google Business Profile and Yelp reviews. Make sure you read each review thoroughly and don't just rely on the rating. 

Interview more than one 

Talk to more than one manager so that you have a basis of comparison regarding services, fees and approach.

Consider their communication skills 

Effective communication is critical. Make a note of how long they take to respond to your the tone they use and their language skills in the local language. They need to be attentive and articulate in their communication. Look for a company that builds its strategy around guest satisfaction and communication. This will demonstrate how the company will handle your potential guests.

10 MUST-HAVE software features to get more bookings on Airbnb & VRBO

Hostaway as an Alternative 

Hostaway is an innovative, feature-rich vacation rental software offering deep channel integrations and support. It provides hosts with the flexibility of the most advanced solutions while being user-friendly. 

With Hostaway’s help, you should be able to automate almost all tasks you’d ideally need a property manager without having to pay exorbitant fees out hefty commissions. Here are all the ways that Automations through Hostaway can work for you:

• Management: Take care of guest communication, bookings, payments and more with intelligent automation that helps you save time on tasks.

• Centralized Dashboard: Manage all your listings from a single platform — including multi-channel distribution and synchronization.

• Dynamic pricing: Utilize Hostaway's dynamic pricing tool to get the best prices based on market demand and competition.

• Analytics and Reporting: Generate detailed reports and analytics on your property's performance to make important decisions.

• Scalability: Hostaway promotes growth and you can scale Hostaway to whatever size property portfolio you're growing.

• Cost-Effective: Often, property management software is less costly than a full-time property manager as you’re only charged a monthly fee 

Also, our marketplace includes more than 200 integrated software partners in addition to our industry-leading PMS and Channel Manager. 

Get in touch with one of our product experts by scheduling a demo call at your preferred time to discover how Hostaway can fit your property management business.