31 Jan Take The Risk Out Of Your Airbnb Management Company
Take The Risk Out Of Choosing Your Airbnb Management Company
In our previous article, we looked at the importance of choosing the right Airbnb management company. And we covered all the things that could go wrong if you choose the wrong company.
It’s all very well knowing that you need to find the right Airbnb Management company. But with so many different companies to choose from, finding the right one is easier said than done.
There are a lot of things you need to consider and take into account to choose the right management company for you. Here’s everything you need to consider to make sure you choose the right management company for your Dubai Airbnb property.
Are They The Right Size For Your Needs?
You need to think about how big the company is. Are they so big you’ll be another small fish in a large ocean? If this happens you could end up forgotten about and frustrated. Not having anyone to talk to should you need to discuss any issues or concerns. It could also mean that when it comes to finding the right guests, your property is far down the pecking order Or are they so small they don’t have the resources to effectively market your property? If the management company is small or just getting started, they’ll be using a lot of trial and error on their systems. This is not the right approach to get you the best returns on your hard-earned investment. Instead, look for a company that is big enough to have all the resources and systems in place. While also small enough to treat you as the valued client you are.
Are They Honest, Open & Transparent?
When you’re speaking to potential Airbnb Management companies, you should get a good feel for how they operate.
Are they open about their procedures and systems? Do they talk with passion about the local market, about potential returns and about how best to market your property?
If they do, it’s a great sign. But if they’re cagey about their systems and don’t talk much about the market and how they operate, this is a warning sign.
Many companies will cover up their lack of knowledge and experience by moving conversation away from the important subjects. Instead, they’ll try to impress with their low revenue share. If they do this, it’s time to move on. Because as we saw in the previous article, it’s not worth risking your hard-earned investment on the promise of low revenue fees.
You should always choose an Airbnb Management company that focuses on giving you higher returns, rather than taking the lowest revenue share percentage.
Do They Have The Right Credentials?
Your Airbnb Management company needs to be licensed, bonded and fully insured. This ensures that they have the necessary credentials to operate legally. It also makes sure they have the financial resources to protect your property and interests.
Do They Have The Right Experience?
Do they have a background in real estate? Do they have a good track record of achieving high returns for their landlords? Have they been managing the same units for years or even decades? How many guests have they served whilst they’ve been in business? How many of these guests return to their properties again and again?
Can They Give You References?
Ask them for references from their existing landlords. Ask the landlords about their experience with this company and potentially others they’ve dealt with. Reputable companies should be delighted and proud to hand over references to you. If a company is reluctant to give you a reference, it’s likely that they don’t have any happy landlords and have a high turnover of properties.
Are They Airbnb Superhosts?
Airbnb Management companies and landlords that go above and beyond their hosting duties are rewarded with an Airbnb Superhost badge.
Superhost performances are reviewed 4 times a year. They’re based on things like receiving positive reviews from guests, being responsive to guests queries and ensuring each stay is outstanding.
If the leasing company is not an Airbnb Superhosts, this shows a lack of commitment to providing an excellence service.
Do They Understand The Local Market?
Your Airbnb Management company should have a good knowledge and experience of the local market. They should also understand your requirements and know what guests are looking for in a property.
If they can’t demonstrate a good understanding of the local market, they’re not going to be able to get you the highest possible returns on your property. That’s because they won’t know how to charge the best price. How to capitalize on the high season. Or how to find guests in the low season.
Do They Offer Turnkey Services?
There’s a lot involved in ensuring the smooth running of Airbnb properties. Marketing the property, guest screening, rent collection, maintenance, legal support and more. Look for an Airbnb Management company that provides you with a comprehensive service, not just someone that’s going to put guests in and leave you to it.
Are There Hidden Fees?
Your Airbnb Management company should be clear about all fees involved for you. We’ve spoken to many landlords in the past who have signed contracts with unscrupulous management companies. They got locked into annual contracts with extortionate exit fees to deter them from leaving the contract early.
Look for an Airbnb Management company that offers you full flexibility in your contract with no hidden fees. Make sure that the contract outlines the services provided. As well as terms and conditions, the fees, the responsibilities of both parties and the terms of termination.
Do They Have A Stringent Property Criteria?
Check the standards of their current properties. Do they have properties that are below the highest standards on the market? If they do, this is a warning sign. You see, if they’re taking on any kind of property, regardless of condition. It means they won’t have a strong database of high paying, returning guests.
They’ll be catering to everyone on the market. So, when it comes to filling your property with guests, they won’t be placing pre-vetted, high-quality guests who will pay a great price for their stay.
Do They Have A Strong Database?
Check what kind of client database the management company has. If they’ve been in business for years and take care of only the highest quality properties, this is a great sign. It means that you can relax, knowing that you’ll enjoy high paying guests at your property all year round.
But if they haven’t been in business for very long and don’t have a strong database, this is worrying. It means they’ll constantly be relying on market demand. So when demand is low, they don’t have a strong database of quality guests to fill your property.
How Will They Market Your Property?
Look for a management company that has a strong and proven marketing strategy. Often, this can only come with time and testing. So if the management company hasn’t been around for very long, chances are they won’t know the best and most effective ways to market your property.
And without the right marketing in place, your property can’t stand out above the competition. That’s why you need to be confident that your management company has a strong marketing strategy and are willing to spend to market your property.
As you can see, there’s a great deal to consider when choosing the right Airbnb Management company for you. It’s not a decision you should take lightly as it can make or break the quality of your investment.
Keys Please have two decades worth of experience managing Airbnb properties. We’re Dubai’s longest established short-term let management company. So, we’re uniquely positioned to give you the best service, advice and guidance there is. So should you have any questions or concerns about your Dubai property, please contact us today. Our expert team will be happy to help you.