Last updated on July 16th, 2022
Welcome back to another episode of Into The Airbnb, where we talk with Airbnb hosts about their short-term rental experience.
Our guest for today is Crystal Cossey, based in Los Angeles, California. In this episode, Crystal will share with us about her journey and experience as an Airbnb host, some useful insights of her area and how it is like to manage in a popular neighbourhood like Eagle Rock.
This episode is sponsored by Airbtics, the only one analytics dashboard for short-term rental investors and managers, where you can find precise Airbnb data such as occupancy rate, revenue, average daily rate and so on. So, without further ado, let’s get into it!
Into The Airbnb S2 EP 20: Do long-term rentals on Airbnb work as well as short-term rentals in Los Angeles, California?
You can also listen to this Into The Airbnb Podcast Episode on Otter.
Delia:
Can you tell me how did you get started on Airbnb?
Crystal Cossey:
Sure. So I got started on Airbnb in 2013. I was working as a promotional model, travelling all around the United States and I felt that it would end like producing festivals and that kind of thing. I ran a circus company, so I was travelling a lot, working as, you know, as my circus company and as a promotional model, so I felt you know that it would be beneficial for me to rent my apartment while I was ,you know, not there. So I just took photos on my phone and listed my apartment on Airbnb when I was producing a festival in Utah.
Delia:
Oh! And how was your experience with renting your own apartment especially well, you’re not there because usually when people are in their own place they’re living in I don’t know another room or either really close to their home and how is your experience with that?
Crystal Cossey:
So basically my apartment is a one bedroom, I’ve always rented it, you know, has the whole place for them. So I’ve never stayed there with others, when the guests are there I just give it up and I either stay with friends or family or like I said I’m travelling for work. So I personally like would not feel comfortable here being in a room and being at the place because I personally like my privacy and I feel that, you know, Airbnb guests enjoy their privacy also. But I know a lot of Airbnb hosts that rent out a room in their home or apartment, but I just never felt comfortable doing it that way and my apartment just didn’t have the room for that. And like I said, I wasn’t there, so for me, I put it on Airbnb because I wanted it to be occupied while I was gone and I just wanted to make extra money.
Delia:
And did you receive good guests or bad guests during that?
Crystal Cossey:
My first guest was actually a really good guest. But, you know, I just listed my apartment the way that it was in 2013, it definitely was not Airbnb ready and I accidentally accepted the deposit over Wells Fargo. So that, you know, that got me kicked off the platform. I had no idea for a year that I was even like that my account was suspended for taking the money through the deposit through Wells Fargo. So, you know, I made a lot of rookie mistakes and she actually like cancelled her reservation because like I said the apartment was not Airbnb ready, it had carpet, it was cluttered with a lot of furniture. I just did it as like, you know, a last minute thing because I got booked for the festival and I felt that you know, it would have been smart for me to sublet it. So basically, that was my first experience with Airbnb. But then as I was travelling I was like wondering why I wasn’t getting more bookings and so eventually I called Airbnb and they let me know what happened. So I created a new listing. I tore the carpet out of my apartment. Luckily there was hardwood floors underneath. I listed a bunch of the furniture on free Craigslist and people came in got the excess furniture out of my apartment. Then I listed my apartment once I got it refigured and Airbnb ready under a new account. The Airbnb’s photographer came and took photos. Then I have had an amazing experience ever since. Um, I’ve only had a couple of bad guests throughout the years, but most, like 99% of my guests have been, you know, really great. I don’t have instant book on or anything like that. So I really use my gut when I booked guests. Does that answer your question?
Delia:
Yes. Any particular background check you run on them?
Crystal Cossey:
No, like I said, I use my gut when I am booking clients. So, you know, normally it’s like an immediate yes or no for me. Um, but no, I don’t. I don’t require the guests to give me any additional information. You know, because I know that Airbnb does do their own, like, ID verifications. But yeah, if I feel that anything is off, then I just don’t accept that booking.
Delia:
Okay, yeah, sounds good! And with the listing, you’re currently renting out, which is not your apartment, what demographic of guests do you usually get in that?
Crystal Cossey:
So it’s basically the same demographic as I would get with my apartment. But the other listing I created in September of 2021, so it’s a fairly new unit and my friend owns the building and the unit became available. So then I decided to you know, put the money into creating it, making it an Airbnb, it’s a studio. The only differences between it is the size between my apartment and the studio’s size, obviously, like, my apartment is 100 square feet and the studio is 200 square feet. Other things that are beneficial about the studio versus my apartment is that those studios are on the first floor, so there’s no steps or anything like that. So it can definitely accommodate like, older people or anyone, you know, with disability a lot easier as my apartment was on the second storey. The studio comes with a parking spot, a designated parking spot and the building is a secured building. Whereas my apartment is not a secured building.
Delia:
Oh, so it is open to a lot more people than the other listing.
Crystal Cossey:
Um, I mean, like my demographic is mostly like production people because I live really close to a lot of the studios and that’s a lot of the demographic that I get, a lot of people that work in TV and film basically. But I do get people that, you know, work and go to college as well. I live in a small college town and there is colleges in Pasadena as well. Eagle Rock is between Pasadena and Glendale. So I get a lot of like college students and production people, film people, entertainers because I’m an entertainer myself. Like I said, I run a circus company, so I have attracted other circus performers and people in the circus industry as well. But I have just attracted like, you know, parents visiting their children and grandparents and you know, all different types of people.
Delia:
I see that’s good!
Crystal Cossey:
A lot of foreigners and also a lot of people trying to move to LA stay at my place that are like looking for a place to live in my neighbourhood.
Delia:
Oh, so is it a popular neighbourhood there?
Crystal Cossey:
Yeah, I live in a popular neighbour. There’s no offseason, I am booked all the time. LA is like that. I mean, it’s not seasonal here. I mean, most people don’t have Airbnbs hard books most of the time.
Delia:
That’s great. I was about to ask you about the seasonality in your area, so it’s great you already answered that. And what about your average occupancy rate during all the year then?
Crystal Cossey:
I have about 80 to 90 occupancy rate for the Dragonfly Studio.
Delia:
That’s great, that those are really good numbers. And is it easy to get, I don’t really know about any laws in the in the city of LA, is easy to get to do Airbnb there?
Crystal Cossey:
So no, it isn’t easy. Basically, like, I don’t do short-term, I do +30 days for the studio. Before the law, the bylaws were passed in November of 2019, I did two short-term with my apartment. But when the bylaws passed, my apartment was no longer qualified to be on Airbnb because it’s a rent controlled building. So there are like, certain bylaws, clauses that basically, you have to abide by and qualify for to be an Airbnb listing. But one way you can, you know, bypass, going to the city and getting the permit is having a +30 day listing, which I currently have right now for the Dragonfly Studio until the zoning of my building is rectified with the city and then I can turn it to an STR. But with 30-day bookings, I’ve been still pretty booked out. So like I said, Los Angeles, it doesn’t make much of a difference because everyone’s trying to come here all the time.
Delia:
I see, so it’s a good market then. Since you told me you’re pretty occupied there all the time, is it competitive market?
Crystal Cossey:
It is. Yeah, it is a competitive market there are definitely less Airbnbs since the bylaws went into effect than there were before. The occupancy rates and charges have been higher since those bylaws were passed. But yeah, if the guest books anything +31 days, then they bypass those occupancy fees. But yeah, LA does charge a large fee for the occupancy rates.
Delia:
I see. I see. And throughout the year, what is your pricing strategy?
Crystal Cossey:
I basically like see what is around me and for +30 days and see the pricing and then I price it, you know, competitively with what I’m offering. S so with the studio, I offer weekly changeovers, so the guest has clean sheets, clean towels and the apartment is cleaned once a week while they stay and like I said, it does have its own parking spot, which, you know, is a big deal in Los Angeles because parking can be challenging. So I tried to go above and beyond.
Delia:
How do actually like your guests react to the cleaning once a week? Can they also not accept it? Do they usually accept it?
Crystal Cossey:
Yeah, um, most guests do want that because for the studio there isn’t a washer and dryer on the property. There is a laundry mat about, you know, like 500 feet away up the block, but they tipically because want their sheets and towels changed out. But if I am unable to do the changeovers every week, then I just give them different sheets and towels and linens and bedding and everything, that I don’t mind getting thrashed, if I’m unable to do the changeovers, but they typically want me to come and do the changeover, I do them while they’re working, when they’re not in the unit and it just, you know, prolongs the quality of the bedding and the towels in general.
Delia:
Yeah, that’s right. And are you the person who usually makes the changes? Or do you hire a cleaning person sometimes?
Crystal Cossey:
So I do have a maid and I do hire her if I’m not available, but to, you know, optimise money, I try to do it as much as I can on my own because my profit is about $1,000 a month. So if I had to hire the maid, you know, every week, then that would cut into, you know, how much I could receive. But if I’m not available to do the changeover then yes, I have the maid come. I typically have the maid come at the end of the booking once the guest checks out to do the changeover.
Delia:
Oh, to do like the whole listing cleaning?
Crystal Cossey:
I mean, I do clean it, like intensely when the guests are there. But yeah, like I do hire the maid if I’m not available to do the changeover cleaning at the end.
Delia:
I understand. Any particular tips you’d like to share for other Airbnb hosts related to the area you’re hosting maybe?
Crystal Cossey:
I would just say that, you know, with Airbnb, it’s really important to know all of the city municipal codes, what you need to do to be on Airbnb, if you’re willing to have your listing be +30s days, you know, in Los Angeles, you can still be successful being a +30 day listing, but if you are willing to jump through all the hoops of going to the city and planning and getting, you know, your permit for STR and working with your communit and your neighbours, you want your neighbours to be, you know, like glad and happy about what you’re doing. If you know that you are Airbnb, you don’t want a neighbour that doesn’t like it because that could create problems for you. Um, so yeah, I mean, personally, like in my listings, I create an atmosphere that’s like calming, rejuvenating, relaxing. You know, in my listing, I talk about like, you know, the party is out in the world and not in the unit. It’s a place to come back and rest, work, sleep, that kind of thing. So I’m very detailed in my listings. So as much detail as you can be in the listing will save you from having guests be upset or, you know, saying that you misled them in any way because you can say no, that’s all detailed in the listing. So yeah, just knowing all the Airbnb rules because I made that mistake. Like I said in the beginning, I didn’t know all the rules, like not accepting money off the platform,so just knowing all the rules. Making sure that your guests get travel insurance, suggesting travel insurance for your guests. You know, personally, I don’t use insta book because like I said, I use my gut when booking, so I mean, that’s the advice I give in, you know, the Airbnb groups is to use your gut when booking guests.
Delia:
Great. So thank you for your tips, those have been really helpful. And that would be for today. Thank you for your time!
Crystal Cossey:
You’re welcome. Thank you for having me!
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