Get Paid For Your Pad | Airbnb Hosting | Vacation Rentals | STR Revenue Management How the Coronavirus Impacts Airbnb Hosts (Part I)
The Coronavirus has people scared. Though the perceived risk is much higher than the actual threat of contracting COVID-19, many would-be Airbnb guests are cancelling their travel plans. What does that mean for us as STR rental hosts? And what can we do to keep our businesses going in this difficult time?
Today, I’m addressing the Coronavirus and its impact on STR hosts, discussing the markets most affected by the outbreak as well as the details of Airbnb’s extenuating circumstances policy—and how some guests are getting full refunds even if they don’t qualify.
I go on to offer my best advice for hosts who are afraid of exposure and explain why I don’t recommend making any big investments or taking on an expensive lease in the current economic climate. Listen in for insight on how long we might be dealing with Coronavirus and learn what you can do to get more bookings (and maintain your visibility in search results) during this challenging time.
Topics Covered
The markets most impacted by the Coronavirus
- China, South Korea and Japan
- Italy (entire country on lockdown)
- NY, LA and west coast of US
Airbnb’s extenuating circumstances policy
- Full refund for guests within guidelines
- Hosts can cancel guests from effected areas
Giving refunds outside the extenuating circumstances policy
- Hosts under no obligation to offer full refunds
- Policy meant for people at real risk
- Offer guests option to change travel dates
My advice for hosts afraid of exposure
- Don’t panic and cancel reservations outside policy
- Offer self check-in, ask about recent travel history
- Up your game when it comes to cleaning
How to get more bookings during this difficult time
- Offer discounts, reach out to friends and family
- Emphasize extra measures taken in listing
- Set cancellation policy to flexible
- List on additional channels
- Stay informed re: local market, events cancelled
- Stock up on supplies
- Shift target audience to domestic travelers
Why there may be light at the end of the tunnel
- Airlines have slashed rates to promote travel
- Warmer weather can help contain viruses
- Fewer new cases in China (where COVID-19 began)
What STR hosts can do to survive this challenging time
- Try to cut costs
- Take less risk
Why I’m risk averse in the current economic climate
- Parallels to 2007 (e.g.: markets at all-time high)
- Interest rates already at nearly zero
- Drop in oil prices likely to impact US companies
Resources
Airbnb’s Extenuating Circumstances Policy
Airbnb Profit Club on Facebook
Get Paid for Your Pad Email List
Email jasper@getpaidforyourpad.com
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