How do I price my Airbnb property?

When pricing your Airbnb property, there are several factors to consider. For example:

Your property’s location and the surrounding area

Proximity to local attractions, restaurants, shops and public transport links

The size of your property, and number of bedrooms and bathrooms

Quality of facilities, furnishings, fixtures and fittings

The amenities on offer (e.g. WiFi, free parking, kitchen, smart TV, garden)

The level of competition in your area and how others have priced their listings

Seasonal demand

If you are not planning to charge a separate cleaning fee, make sure to take this cost into account. Additionally, you should look into any local regulations or taxes that may affect your pricing strategy.

You can research similar listings in your area by using Airbnb’s search function. Enter the name of your town or city and input a date range, and you’ll be shown a list of properties. You can switch to map view to see their approximate location.

You can then filter the results by the type of home, the number of beds and bathrooms, and amenities. Don’t forget to check different dates, as you won’t be able to see properties that are fully booked. You can also use third-party websites and tools to compare your property to similar listings and determine a competitive price range.

Airbnb’s Smart Pricing feature is a dynamic pricing tool designed to help hosts set competitive and optimal rates. It automatically adjusts your price per night by analysing demand in your area, factoring in things like property type, location and season.

You can enable the Smart Pricing tool in your Airbnb account settings. Enter a minimum and maximum price per night and click save. Your nightly rate will then automatically fluctuate within this range based on daily trends.

Yes, there are several third-party pricing tools available that can help you set a competitive rate for your Airbnb property. Some popular options include Beyond Pricing, PriceLabs, and Wheelhouse.

Alternatively, you can contact a local Airbnb management company such as Stayful These companies have extensive experience working with properties like yours, and have the necessary expertise to set a fair and competitive price. They also provide a range of services such as cleaning and maintenance, guest interaction and managing bookings.

Location is a key factor in determining Airbnb pricing. Properties in more desirable locations, such as bustling tourist cities and areas of natural beauty, tend to command higher prices.

Additionally, the closer the property is to shops, restaurants, attractions and public transport links, the more guests will be willing to pay. When pricing your Airbnb property, you should consider the desirability of your location and compare it to similar listings in that precise area.

Amenities can be an important factor in determining the price of an Airbnb property. Some popular amenities that can increase the value of your listing include:

WiFi

Free parking

Smart TV

A fully equipped kitchen

Dedicated office or workspace

Laundry facilities

Air conditioning

Hot tub or pool

Electric vehicle charger

You should also consider safety and accessibility needs. For example, some guests may seek out properties that have step-free access for wheelchairs and pushchairs.

Seasonality can have a significant impact on Airbnb pricing, as demand tends to fluctuate based on factors like weather and local events. Properties in seaside towns, for example, tend to experience busy periods in the summer months. Homes located near child-friendly attractions may experience higher demand during school holidays.

Demand can also vary throughout the week. For example, Fridays and Saturdays are typically popular among guests travelling for leisure. To adjust your rates accordingly, you can manually alter your pricing for specific dates, or use Airbnb’s Smart Pricing tool.

Yes, an Airbnb management company can provide valuable expertise in setting a competitive rate for your property. They can help you analyse market trends, identify opportunities for optimisation, and adjust your pricing strategy over time e.g. due to inflation or changing tourism trends. Make sure to choose a local company that has plenty of experience letting out holiday homes in your area.

Alternatively, you can try a guaranteed rent agreement. This means you’ll receive a fixed, regular income each and every month, even during void periods when your property is unoccupied.

To ensure that your pricing strategy remains competitive over time, you should regularly review your rates and examine historical data. Adjust your pricing as necessary based on changes in demand, seasonality and local trends. Don’t forget to keep a close eye on other listings in your area and use these as a reference point for your own rates. You should also stay up-to-date on any new pricing tools or strategies that may become available.

Tourist taxes have historically been something you see on the European mainland, but not in the UK. In 2023, however, Manchester announced that they would become the first UK city to introduce a tourist tax. Check to see whether your local area is introducing a similar scheme, as you may have to factor this into your pricing structure.

Also, don’t forget to factor in your own costs, such as cleaning, laundry and maintenance. You can set a separate cleaning fee or add this into your price per night.