Why a Bad Economy is GREAT for Airbnb

What’s up guys in today’s video I’m going to be sharing with you the counterintuitive reason why a bad economy is actually good for Airbnb and short-term rentals so if you’re interested in learning about that then stick around all the way to the end of the video where I’m going to also share with you some unique tips and things that you can do in order to leverage this opportunity now to start off with I know it sounds really counterintuitive for me to say that a bad economy is good for business so let me explain why the reality is Airbnb has gotten a lot of flak for a really long time about being unaffordable compared to hotels and this is largely due to their cleaning fees and higher prices these different things but the reality is Airbnb is far less expensive than staying at a hotel for a lot of different categories of Travelers Not all but a lot of different categories and I’ll be the first to admit that if you’re traveling solo and you’re looking for a place to stay just on your own there’s a pretty good chance that staying at a hotel is going to be more affordable for you than staying at an Airbnb especially if you’re staying for a very short period of time the reason for this is straightforward and very intuitive right a hotel has economies of scale they can hire their in-house staff they can you know order their Linens in bulk they pay for everything in bulk whereas a solo short-term rental operator is buying everything everything in one they’re not going to be able to hire an in-house cleaning staff they’re going to have to pay someone travel time to get over there and clean it and that’s why cleaning fees are going to be more expensive and overall stays are generally going to be more expensive that being said when you go and and try to extend for a longer period of time or you stay with a larger group of people it’s very quickly going to become a lot more affordable to stay at a short-term rental property in Airbnb as opposed to a hotel the reason for this is simple they’re offering much less services that require actual Manpower for example if you stay at a hotel for a long period of time then you’re going to have daily housekeeping because that’s just built right into their pricing whereas with short-term rental the nice thing is you only pay for that one cleaning fee to cover the one cost of cleaning so the longer you stay the less that becomes as a nightly you know amount that you’re paying for a cleaning fee the other big piece is that shortterm rentals can just accommodate more people more easily it’s going to be really difficult to find a short-term rental property that isn’t going to be less expensive than getting four hotel rooms if you’re traveling with a group of eight people because you’re just not going to find places in the hotel inventory that accommodate that many people and especially that do so comfortably so the reality is if you’re traveling with a family or a larger group of people you’re almost certainly going to be paying less than you would to stay at a hotel and you’re going to be getting a much better value because you’re going to get things like a yard you’re going to get a full kitchen a full living room and not just an actual ual bed inside of a room with a TV and maybe a little kitchenet so for that reason Airbnb is still a very affordable a very cost effective option for traveling now the other big thing is that when people do stations which is generally what people do when the economy is worse because buying international flights and all the other things they tend to add up and make your trip a lot more expensive doing a station on Airbnb is honestly just a lot nicer than doing a station at a Hotel because if you’re doing a station you’re probably going only a couple hours from home and one of the big factors that’s going to draw you to take that that station and actually get away is the place you’re going to the actual place you’re staying in so for example a lot of people like to get out of big cities and spread out and they like to go to cool unique places to stay at a couple hours away and sure having different attractions or amenities nearby like hiking or skiing or a body of water like a lake or a national park things like like that that is really helpful that’s a location thing that does help you out tremendously but also just having a really cool place to stay and having really cool amenities that make it fun to stay at that actual property that’s a big selling feature when people are looking to book their station and again those two things in combination make it a lot more desirable to book airbnbs when the economy is bad because what we know about traveling during the bad economy is that people tend to number one cut back and try to spend less and so therefore anyone traveling in larger groups traveling for extended periods of time they’re going to want to go to Airbnb and move away from hotels to cut back on that expense and they also want to travel more locally because that helps do number one which is cut back on expense and Hyper local travel station type tourism is a lot more popular and just a lot better on Airbnb than if you compare it to staying at a local hotel guys just want to take a quick break here to say that for those of you watching who want to build cash flow and long-term wealth by purchasing airbnbs and short-term rental properties there’s a link in the description right down below for a free training that’ll walk you through my exact strategy for investing successfully in airbnbs now if you’re not ready to actually buy properties and you want to get started managing other people’s properties on Airbnb the same way I got started and build a full-time income managing other people’s properties there’s actually another free training Linked In the description down below as well that’ll be a really great fit for you so whether you want to invest in short-term rental properties and actually build amazing cash flow and long-term wealth by acquiring the assets buying the properties themselves or you’re looking to earn a full-time income managing other people’s properties on Airbnb we’ve got some awesome trainings that are linked in the description down below that’ll definitely help you out when you sign up for the trainings we’re also going to send you a few other tools and resources completely for free just to help you get started again the links to sign up are in the description down below and both trainings and all the tools are completely free so make sure to register for the trainings links in the description down below so that is why in a bad economy Airbnb and short- ter rentals actually tend to do better we tend to see a lot of growth in the market and we also see a lot of people coming over and hosting more properties on Airbnb so these two things in combination are happening together which means that if you’re managing other people’s properties talked about this in a recent video where that’s going to actually result in more demand for your services and on the flip side of that if you actually do a good job beating out the competition and staying among the top 25 even top 10% of hosts in your area you’re probably actually going to see an uptick in occupancy rate and potentially even an overall uptick in your booking Revenue if you do a good enough job so I just want to put this video together because a lot of people think that it’s all doom and gloom with a bad economy and I’m here to remind you that there are opportunities everywhere in any part of the market cycle you can leverage different opportunities for example right now my property is doing just as well as it was last year at this time right now and that’s when everyone is now panicking freaking out thinking it’s the end of the world property values have gone down significantly in that area and yet the properties are still performing just as well so there’s a lot of opportunity to either buy the right property invest strategically into short-term rental properties right now when everyone else is panicking and trying to sell their property you can potentially get a really really great deal on a property that’s still going to perform exactly as well as it would have a year ago and also on the management side there’s just lots of opportunity coming up again I put together a whole other video recently going through the reasons why there’s a big boom in demand for Airbnb short-term Rental Management and so if you really understand what’s actually going on and don’t just listen to all the headlines then you can start to spot opportunities where everyone else is just panicking and fearful so I hope this video is helpful for you I hope you gathered some useful information that you’re going to use to succeed for yourself whether it’s managing Properties or hosting your own place or investing in shter rental properties if you want our help with that as always the links are down in the description down below for our free trainings on co-hosting on investing whatever you need help with um as always if you liked this video and got value from it make sure you show us by hitting that like button down below the video there and also by subscribing you can stay up to date with the two new videos WE Post every single week here on the channel just hit that subscribe button and you’ll stay up to date with that with all that being said thank you so much for watching this video and I will see you in the next