6 tips on how to manage short term rentals effectively

Managing a short-term rental property can be both rewarding and profitable. Since Airbnb launched in 2008, it's grown to operate in more than 100,000 cities across 220 countries. With over 2.9 million hosts on the platform and 14,000 new ones joining monthly, more property owners are discovering the benefits of short-term rentals over traditional long-term leasing.

Why short-term rentals and Airbnb are different

Short-term rentals like Airbnb offer many benefits for property owners and travellers alike — connecting property owners with guests looking for authentic local experiences and recommendations, they offer a unique alternative to traditional hotel accommodations. This shift in travel preferences has led to longer average stays: short-term rental guests typically book for 2.4 times longer than hotel guests. Families, groups, couples and solo travellers now choose short-term rentals as an alternative to hotels, enjoying the opportunity to experience areas like locals do.

Hosting and managing short-term rentals can be a rewarding experience, but it also has its challenges. We share some of our top tips on how to manage short term rentals below:

How to manage short term rentals

1. Set the right price

Finding the right price for your short term rental property takes research and regular adjustments. Start by researching similar properties in your neighbourhood through the Airbnb platform. When comparing properties, look beyond basic features like bedroom count. Consider what makes your property unique - perhaps it's a prime location near popular attractions, or special amenities like secure parking or air conditioning. These features can justify higher rates than basic properties nearby.

Seasonal changes significantly impact pricing too. Many areas see higher demand during summer or school holidays, while business districts might be busier during the week. Local events and festivals can also drive up demand and rates. Regular monitoring and adjustment of your pricing strategy ensures you're maximising your property's earning potential while staying competitive in the market.

2. Build your service network

One of the most valuable assets in property management is a reliable network of service providers. Professional cleaners, maintenance workers, plumbers, and other trades become essential partners in keeping your property running smoothly. Building strong relationships with these providers ensures priority service when you need it most - like when guests accidentally lock themselves out or a pipe bursts in the early hours.

Take time to find providers who understand the unique demands of short-term rentals, including the need for quick turnarounds between guests and occasional emergency availability. Working with local businesses not only ensures prompt service but also supports your local community, often leading to more personalised and reliable partnerships.

3. Use property management systems

While Airbnb provides basic hosting tools, managing a property involves many moving parts. Property management software can streamline operations significantly, especially when handling multiple properties or tracking various expenses. These systems help coordinate bookings, maintenance schedules, cleaning rosters, and financial reporting all in one place.

Hometime offers a robust solution with a property management system specifically designed for short-term rental management. Built by Airbnb managers for Airbnb managers, it simplifies everything from guest communications to maintenance tracking and financial reporting. The platform is an excellent starting point for new hosts looking to establish efficient management systems.

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The paid version of the Hometime Platform is geared towards property managers wanting to take their businesses to the next level. It offers tried and tested Hometime resources, finance tools to automate homeowner statements, access to Hometime's listing optimisation frameworks and more. Follow this link to find out more.

4. Learn from experience

One often overlooked strategy for improving your property management is staying at other short-term rentals in your area. This firsthand experience provides valuable insights into guest perspectives. Pay attention to how other hosts handle check-in processes, what amenities they provide, and how they communicate with guests. Notice what works well and what could be improved, then apply these learnings to your own property. First-hand experience can help you create your own strategy on how to get great Airbnb guest reviews for your own short term rental property.

5. Create memorable experiences

The success of your short-term rental often comes down to the experience you provide guests. This starts with thorough preparation before each stay. Ensuring your property is impeccably clean, well-maintained, and thoughtfully stocked with essentials creates a strong first impression. Clear communication, from booking through to check-out, helps guests feel informed and welcomed.

Consider adding personal touches that make your property stand out. This might include a detailed guide to local attractions, a welcome basket with basic supplies, or partnerships with local businesses to offer guest discounts. These small gestures often lead to positive reviews and repeat bookings.

6. Stay compliant and competitive

Successful property management also means staying informed about local regulations and market trends. Keep up with council requirements, insurance needs, and tax obligations. Regularly review your property's performance, including occupancy rates and guest feedback, to identify areas for improvement.

You'll also need to keep up with property maintenance: make sure everything works as intended between guest stays, and be quick to replace and fix anything that's broken.

Get started with professional property management

Sometimes, despite best efforts, managing a property becomes overwhelming. This is particularly true for owners who work full-time, travel frequently, or manage multiple properties. Professional property managers can take on the day-to-day responsibilities while you maintain ownership of the property and its earnings potential.

When considering professional management, look for companies with strong local knowledge and a proven track record. Understanding their fee structure, included services, and communication style is crucial. Some managers work on commission, only earning when your property performs well, while others charge fixed monthly fees regardless of occupancy.

At Hometime, we understand the complexities of short-term rental management. Our team handles everything from guest communications to maintenance coordination, allowing property owners to enjoy the benefits of short-term rentals without the daily responsibilities of management.