How to earn 6 figures in 6 months on Airbnb without owning properties:
Follow to Airbnb rental arbitrage strategy Become a qualified short term rental property manager Run an Airbnb consulting business Host and design an Airbnb Experience
Yes, there are ways to make money on Airbnb even if you’re not a homeowner. Since it was launched in 2008, Airbnb has reached over 150 million users across the world with over 1 billion stays in 191 countries. Today, Airbnb has over 4 million hosts and over 6 million active listings.
There are also plenty of success stories out there, such as Million Dollar Renter founder Sean Rakidzich who makes over $200,000 monthly without owning a single property. If you’re ready to explore different earning opportunities and work your way around the competition, you can also make money with Airbnb.
However, you’ll have to be ready about dealing with customer complaints, property repair and maintenance, or receiving few bookings during off peak season.
Lead generation is another high profit business model. Unlike traditional real estate, lead gen is not as risky and competitive. With lead generation, your work mainly revolves around boosting website rankings on search engines. As you increase your site’s online presence, you gain traffic and leads for your customers - which brings you a good stream of regular income.
4 Ways You Can Earn 6 Figures In 6 Months On Airbnb Without Owning Properties
1. Follow to Airbnb rental arbitrage strategy
With Airbnb rental arbitrage, you can immediately start making money without buying a property. Rental arbitrage is the business model where you rent a property on a long-term basis and then offer it to guests for short term rental. Of course, the goal is to earn higher than the cost of renting the property and other related expenses.
Before listing the property for Airbnb arbitrage, it’s important to check the legal requirements in your area. Rental regulations often vary in different cities and locations across the world so it’s best to do your homework before getting started. Moreover, you want to make sure that your landlord is well aware about your intentions to sublet the property. Having an agreement with your landlord is always best to avoid unnecessary risks and problems.
In a feature by Forbes, entrepreneur Chi Ta shares how the business model has helped him make $2.4 million of annual profit on the Airbnb platform. Today, he shares the knowledge and skills he gained from his Airbnb experiences through his 3-level course, the BNB University.
Average earning for Airbnb rental arbitrage
On average, you can earn up to $2,500 per month with one property in Airbnb rental arbitrage. However, this depends on your area and the type of Airbnb property. You can multiply your earnings as you offer more properties on the platform.
2. Become a qualified short term rental property manager
A short term rental property manager is another excellent way to earn from Airbnb without owning property. Duties include handling bookings and, accommodating customer inquiries, managing listings, marketing properties, scheduling cleaning and maintenance, plus managing reviews, among others.
The best thing about this option is that there’s huge potential for growth in the industry and it’s not complicated to get started. Requirements vary from one state to another but in most cases, you will only need to be at least 18 years old and have a property manager license or real estate broker license. Some states don’t even have any legal qualifications but take note that having a license can always work for your advantage. So it’s often best to check with corresponding government agencies to find out how you can acquire one.
Average earning for short term rental property management
According to online data, high range property managers can earn an annual salary of up to $94,330. Of course, this figure can potentially grow even higher, depending on your location and the number of properties you manage. You can also improve your Airbnb business operations through top Airbnb courses available online.
3. Run an Airbnb consulting business
If you have extensive experience in Airbnb hosting, you can also make extra money by providing consulting services. As an Airbnb consultant, you provide hosts and property owners with expert advice for their specific challenges. This means having practical answers to different concerns ranging from managing bookings, to the do’s and don'ts of remote hosting, to effective marketing strategies, and more.
To succeed in this line of business, you’ll need to position yourself as an industry expert. You’ll have to establish a solid reputation, too, since entrepreneurs will likely look you up online before paying for your services. Having your own social media pages, blog, and/or YouTube channel can help.
Average earning for an Airbnb consultant
An Airbnb consultant can earn up to $208,000 per year.
4. Host and design an Airbnb Experience
Hosting Airbnb Experiences to potential guests can also be a great way to earn money on the platform. As an Airbnb Experience host and designer, you offer local activities and tours unique to your area. This may range from guided city tours or classes and workshops tourists can check out. The goal is to create attractive packages that allow travelers to make the most of their stay. You can achieve this by helping them appreciate local sights, culture, and community.
Your Airbnb Experience package could include visits to local attractions (museums, tourist spots), fun outdoor activities (hiking, biking, surfing), or even interesting classes (art, cooking, yoga). If you’re a local who knows what your location has to offer, you can succeed in this. Just be sure to provide quality services to get positive reviews from your clients. Also, make sure to stay updated with latest travel trends to create and design new experiences to offer.
Average earning for an Airbnb Experience hosts and designers
Top earners could make anywhere between $169,996 to $249,500 per year in the US.
Can you rent out an Airbnb without owning it?
You can rent out an Airbnb without owning it. This business model is called subleasing or rental arbitrage. Whether it’s an apartment or a furnished house, you can rent the space and offer it to interested guests for short term rentals through Airbnb. This can be a great source of income, especially if the property is located in a popular area. It will allow you to start making extra cash without having to invest in buying your own property.
As mentioned, it’s important that you have an agreement with the landlord before receiving Airbnb bookings. Also, check with local laws if short term rentals are permitted in your area to make sure you’re not violating any existing regulations.
Airbnb Rental Arbitrage Pros and Cons
Pros
Compared with buying and maintaining your own property, Airbnb arbitrage is a low cost and low-risk way to create new cash flow.
You can scale your business by renting multiple spaces and properties. This will help you increase your extra income and reach your goal of earning up to 6 figures.
You can enjoy the flexibility of using the property for personal use during slow months or for special occasions.
Cons
Finding a property owner who agrees with subletting can be difficult in some areas.
You’ll have to pay the rent each month, regardless if you get booked or not.
Since you’re only a renter, you have limited control over the property. Changes and upgrades have to be consulted with and approved by the property owner.
3 Other Ways To Earn From Airbnb Without Owning Properties (Up To 6 Figures Annually)
Other ways to earn from Airbnb without owning properties include:
1. Acquiring a vacation rental franchise
For those who don’t want to start from scratch, joining a vacation rental franchise allows you to make money under an established brand name. By paying a franchise you, you get access to proven resources and tools to manage and grow your business better. Another advantage is that you’ll receive training and assistance from the franchisor’s built-in support system. This will help ensure your long-term success in the short-term rental industry.
Requirements and potential earning of vacation rental franchising
Some franchisees report making up to $100,000 annually. Keep in mind, however, that you’ll have to spend anywhere from $20,000 to $100,000 for the franchise fee. Plus you’ll have to pay for ongoing royalties.
2. Becoming an Airbnb Co-Host
As a co host, you will help Airbnb hosts and owners manage their properties. According to the Airbnb website, co-hosts handle various responsibilities “from cleaning and turnover to welcoming and caring for guests.” This also means handling everything from managing Airbnb guest inquiries, calendar updating, restocking essential supplies, and more.
Requirements and potential earning of Airbnb co-hosting
In general, there are no specific requirements in becoming an Airbnb host. Having prior hosting experience is not a must. Anyone can work as a co host as long as they have marketing and management skills. On average, Airbnb co-hosts earn 10% to 20% of the nightly rate for each booking.
3. Providing Airbnb cleaning services
To simplify the maintenance process, most Airbnb owners hire professional cleaners. Some may be too busy to handle cleaning tasks themselves or are probably on vacation. In any case, you can make extra money from them as you provide cleaning services.
When launching this type of business, it’s important to do extensive market research to find out if such services are in demand in your area. Also, you want to identify your potential customers and plan how you can stand out among competitors.
Requirements and potential earning of Airbnb cleaning services
To get started with this line of business, check out local regulations and requirements (such as needed licenses and permits, insurance, etc). Also, be ready to invest in cleaning equipment and a vehicle. On average, Airbnb cleaners can earn anywhere from $557 to $904 per week.
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Conclusion
Making 6 figures in 6 months on Airbnb without owning properties is entirely doable - but it takes hard work, research, and the right combination of various income-generating strategies. In no time, you can have your own Airbnb empire.
Lead generation is also another business model that can help you achieve a 6-figure income. Personally, I make $52,000 per month through lead gen by building, ranking, and renting out websites - or digital real estate - to niche business owners. It’s definitely a profitable business option that can help you make passive income in the long run.
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