Are you asking yourself "How much could I earn on Airbnb?" Here is a tool that can help you estimate your potential earnings if you offered your property on Airbnb.
An introduction to Homebot
To become more acquainted with Homebot, reference this blog post. In short, Homebot is a financial dashboard that was created to give interested individuals valuable information to make informed decisions regarding their real estate. When your property address and email address are inputted (see button below) you will be sent a report. This report details things such as the home’s property value, loan details, and what you could potentially earn if you offered your property on Airbnb. That last piece of information could be particularly interesting to you if you are planning to generate a cashflow from your current property.
Let us turn to Airbnb and the relationship that it can have with Homebot and your property.
An introduction to Airbnb
Airbnb started in 2008 and has become a trusted source for both hosts and travelers. According to Airbnb.com, Airbnb helps make sharing easy, enjoyable, and safe. They verify personal profiles and listings, maintain a smart messaging system so hosts and guests can communicate with certainty, and manage a trusted platform to collect and transfer payments.
Airbnb’s website goes on to share that they offer a significant amount of coverage for those who decide to rent out their property through their app, $1 million in damage coverage and $1 million in liability coverage, giving the host piece of mind. While it took Airbnb eight years to become profitable, their technology, knowhow, and ease of use has been attracting both hosts and travelers for several years.
If this intrigues you and makes you wonder how your property would compare to others on Airbnb, lets dive a little deeper. If you head to Airbnb.com, you can get information on how to set your listing price, map out your area to see what other properties around you are currently renting for, details of those properties, and what those homes have to offer compared to yours. This is a good starting point to get a basic and general idea of what you could potentially charge for your space. Taking it a step further, we need to dive into Homebot.
Where Homebot comes in…
Once your home report is sent to you via Homebot, it is jam-packed full of useful information. When scrolling down a bit, you see a headline that reads “If you rented your home on Airbnb, how much could you potentially earn?” This is the section of focus for this blog.
With such a strong platform like Airbnb allowing you to become a host, you may be wondering how your property compares to other Airbnb rentals. According to Homebot, when homeowners use the Homebot Airbnb interactive calculator, they can calculate potential earnings from renting out a room, or an entire home, through Airbnb.
Even further, homeowners can see how that extra money can be applied to principal payments to reduce how long it will take to pay off a mortgage. Homebot details estimated monthly revenue amounts, a nightly rate you could potentially charge, and the number of nights that you are likely to be able to rent out your property.
Based on this data, Homebot then shares with you your average annual revenue. Taking it even further, Homebot calculates how much you would save in interest if you put this rental income towards your principal. The best part about this calculator is that it is interactive and on a sliding scale so you are in full control of what you want to charge and how many days per month you think your property would be rented out on a given month.
With each edit that you do on these sliding scales, Homebot automatically edits the important numbers so you can see a clear picture of how much you could earn given different scenarios. These tools that Homebot provides are there to help you make sound and informed decisions. This combined with the information you can gather from Airbnb helps you decide if your property would have a good shot of being rented out, what things you would need to alter to make it more marketable, and if all the time and effort to get your home ready would likely pay off.
How we can help?
Homebot is a tool that helps us help you. What we mean by that is that Homebot provides such great data to our clients and to us, that it in turn makes our relationship with our clients more meaningful. We can help you make informed decisions whether that means deciding to rent out your property, sell your property, refinance, or stay put.
Tools like Homebot also put you more in the driver seat when looking at your personal home report. It helps you keep tabs on the market and the effect that it is having on your home’s value. It is important to stay current on such a large asset that you possess, and we are happy to give you the tools to be able to accomplish that. We are always here to help guide you and offer our support.
Using platforms like Homebot and Airbnb are great first steps when researching what is right for you and your situation. We are always here to help no matter your needs, wants, or situation. We always look forward to serving you and will always be here when you need us.
About the Author
Brian Quigley has been in the Denver mortgage industry since 2003. Customer satisfaction has been his top priority while guiding clients through the home loan qualification process. He is proficient in all types of mortgage financing including FHA/VA, Conventional, USDA, Jumbo, Portfolio, 1031 Exchanges, Reverse Mortgages, Refinancing, Construction loans, and FHA 203K loans.