Benefits of owning an Airbnb: why short term rentals are good

At Hometime, short-term rentals are at the heart of what we do. Since Airbnb entered the market, it has revolutionised how people approach property investment and changed how people travel. In this article, we’ll explore how Airbnb rentals can elevate your property's value and appeal.

What are the benefits of owning an Airbnb?

1. More revenue and rental earnings

One of the biggest benefits of owning an Airbnb is the higher revenue compared to long-term rentals. Because short-term rentals allows property owners to charge a higher premium for their stays, as opposed to charging a lower fixed rate all year round, Airbnb rentals can generate significantly higher revenue compared to traditional or long-term rental models. With a diverse market for Airbnb rentals, catering to holidaymakers, business travellers, or families exploring new areas in their state, you can expect a steady stream of guests and income.

Hometime tip: Check out our guide about the differences between long term vs short term rentals to learn more about the pros and cons of str vs ltr

2. Dynamic pricing

With short-term rentals, dynamic pricing plays a key role in performance as it allows homeowners to adjust their prices based on weekdays vs weekends, and even seasons when holidays or festivals take place. Charging more for days that are typically seen as in demand is acceptable to guests when they book their stay. It’s also acceptable to charge more as short-term guests expect a certain level of service from their host such as timely communication, well-stocked coffee and tea cupboards, and fresh linens to name a few. The flexibility of short-term rentals allows property owners to adjust pricing in real-time, capitalising on peak travel seasons, local events, or weekend getaways. Guests understand the value of paying a bit extra for in-demand dates, especially when it comes with exceptional service and those little touches that make their stay memorable. Dynamic procing also means that your earnings potential is not limited to a fixed monthly rate, but can adjust to market demands, leading to higher overall income. 

This approach is also not just about increasing prices during high-demand periods but offering competitive rates during slower seasons to keep your property filled.

Hometime tip: Our Airbnb pricing strategy guide can help you figure out your Airbnb pricing and stay competitive.

3. Flexible bookings

One of the biggest benefits of owning an Airbnb is the flexibility it offers in terms of managing your property. Whether you want to block out dates for personal use or bring in a last-minute booking, platform’s like Airbnb allow you to do it all. This flexibility allows you to travel or live elsewhere while still generating income from your property. It's a win-win scenario that traditional long-term rentals simply cannot offer.

4. Consistent property maintenance

Short-term rentals can make long-term property maintenance easier. Regular guest turnover means issues are quickly identified and addressed, reducing wear and tear and ensuring your property remains in top condition. This proactive approach to maintenance can save you time and money in the long run.

Hometime tip: Speed up your property maintenance checks with our printable Airbnb maintenance checklist.

Get help with Airbnb management in Australia with a local Airbnb manager

Leasing an investment property for financial gain has been around for quite some time, and the short term rental market has just continued growing throughout the years, especially because there are many benefits to owning an Airbnb. While it takes more energy to manage a short-term rental, professional property managers can help you extend this service to your potential guests in a seamless manner. Our Airbnb management services in Australia include:

• Property styling and photography
• Listing optimisation
• Cleaning services
• Revenue and booking management
• Guest management
• Property maintenance
• Access to Hometime's all-in-one property management software