Airbnb is an online community that connects travelers with hosts.
Hosts list their unused spaces, and travelers search for and book accommodations.
Airbnb has millions of listings in over 190+ countries
…the company depends on hosts like yourself to be successful.
The popularity of Airbnb has continued to soar over the years, and as a result, there is a real opportunity to make money.
This boom represents a significant opportunity for prospective hosts to cash-in on their living space.
In fact, I found the opportunity so intriguing that I became an Airbnb host two years ago.
Today, I am here to share how I will be using Airbnb to pocket extra cash and…
…reach my financial goals in 2019!
Are you ready?
My plan for 2019 is to use Airbnb to pay off my remaining student loans.
But first, let me explain…
I am entering my third year as an Airbnb host.
The idea came to me shortly after I graduated college and move to the city. My salary was low, and student debt was high.
After paying rent, insurance, groceries, utilities, and various other expenses, I was left with enough to…
…save for retirement OR pay off my student loans.
But I did not want to choose between the two options. After all, both are financially responsible decisions.
So, I decided to take control and start making money outside of my 9 to 5 job.
After two years, I have managed to put nearly $12,000 toward my student loans by listing space that I never use.
Now, in 2019, I am prepared to say adios to student debt once and for all.
That is because I will earn $6,000 as an Airbnb host this year and pay off the balance of my student loans.
Read on to see how I will accomplish this goal…
Airbnb is not always an easy endeavor but keeping your eye on the prize will help you persevere.
So, here is my goal for 2019:
Goal: Pay-off student loans by the end of 2019
Student loan balance: $6,000
I list one bedroom, in a two-bedroom apartment in the city at the following rates:
$75/night on weekdays
$100/night on weekends
To maximize the money that I can earn, my place is always available to book, unless there are special circumstances (i.e., in-laws visiting, etc.).
The typical occupancy rate for my space is 50% or around two full weeks per month.
This 50% occupancy rate may not be the “rule” for you, but based on experience, this is the occupancy rate that I have come to expect.
Based on past occupancy, I estimate that I can earn around $1,150 per month on Airbnb.
I based this estimate on the following calculations:
$75 x 10 weeknights = $750
$100 x 4 weekend nights = $400
This estimate is a conservative one for my area but always better to be conservative with your estimates.
|Month||Avg. Monthly Income|
And, there you have it…
…I am planning to earn (gross) $13,800 by listing one spare room on a regular basis.
Sounds awesome, right?
That is right – it is indeed awesome.
But before we get carried away…
…let’s check out the expenses associated with being an Airbnb host.
These expenses are “actuals” (rounded to the nearest $50) from 2018.
|Sales and Occupancy Tax||4,000|
As you can see, you must give Airbnb their cut, as well as cover expenses like electricity, cleaning, and consumables.
You want your guests to enjoy their stay because that is how you get repeat, and new, travelers.
It is essential to consider all expenses to get an accurate idea of how much money you are making after expenses.
Doing so will allow you to understand how much profit you are making to put toward your financial goals.
At the end of the year, I am capturing $6,900 just by sharing my space with Airbnb travelers.
|Total estimated income||13,800|
|Total estimated expenses||6,900|
|Total estimated income (yearly)||6,900|
Is this good or bad? If you ask me, this is very good and worthwhile.
My rent is usually a “sunk” cost, which means that I pay money and never see it again.
Airbnb has enabled me to turn my rented apartment into an asset.
Airbnb may not make you rich, but it can definitely help you earn extra money.
I will use Airbnb to finish paying off the final $6,000 of my student loans in 2019.
Why do I find this important?
Because I have been able to climb out of student debt without:
Putting off saving for retirement
Living at home with my parents
Sacrificing my desired lifestyle
Airbnb has provided me with enough extra money to jump start my financial future.
And that is how I plan to use Airbnb to reach my financial goals in 2019.
Are you interested in doing something similar?
Read on to discover how you can become an Airbnb host…
…and use Airbnb to reach YOUR 2019 financial goals.
Becoming an Airbnb host
The beauty of Airbnb is that becoming a bed and breakfast operator is relatively easy.
I realized that managing an Airbnb is possible, especially for busy professionals working full-time jobs.
In fact, you can create your listing in less than 15 minutes.
Signing up for Airbnb is safe and simple.
You can sign-up for free here
There is even a calculator that estimates how much you could earn based on your location or property listings, be prepared to add information such as:
- Number of bedrooms and bathrooms
- Details of your amenities
Be sure to be as detailed in your listing as possible to entice travelers to book with you.
From there, you simply need to confirm your identity and include a clear image of yourself.
From there, you can set up your listing by taking the following steps:
Describe your space
List nearby attractions and activities
Post great photos
Once your listing is ready to go, you will need to:
- Choose your space’s availability
- Set fixed or variable nightly rates
- Decide how guests can book their stay with you
If you get stuck throughout this process, Airbnb does free phone consultations to help guide you.
How to Make Money with Airbnb: Summary
You don’t need to be an expert…
…anyone can earn extra money using Airbnb.
So, if you have space, I highly recommend that you check out Airbnb.
After being an Airbnb host for over two years, I can honestly say it is worth the time, money, and energy.
Hosting with Airbnb is an investment, and you will reap the rewards if you do it right.
What are your financial goals?
No matter what they are…
…Airbnb can help you reach them.