Case Studies

Why Airbnb Business Is So Popular Among Young Investors

Last updated on September 4th, 2023

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Millions of people across the world are earning a lot of money renting out properties through popular platforms such as Airbnb. While some do it as a side hustle to boost their income, others have turned Airbnb hosting into a full-time venture and are now earning six-figure incomes. There is a huge opportunity to build a property portfolio and increase your earning potential in this market. Why is Airbnb business so popular among young investors? And what does it take to become a full-time entrepreneur in this field? These are some of the most important questions that I am going to answer in this article.

Defining Airbnb

Before we start discussing the process of building a property portfolio, let’s define the Airbnb business. Airbnb is a popular platform that was started by two graduates namely Joe Gebbia and Brian Chesky back in 2007. They started it by converting their living room into a bedroom and renting out mattresses to earn money. They did this for several years and managed to build a global company. The platform allows property owners to list their property together with a brief description, photos, and available amenities. They can also include additional information about the local area to help their guests have an amazing experience.

Apart from offering guests a place to stay, Airbnb hosts are focused on providing an amazing experience. Most homeowners are putting a lot of time and energy into furnishing their properties to offer unique experiences. If you are planning to go on a vacation, you need to use your Mac to view the top property listings on Airbnb in the local area that you want to visit. If your computer keeps shutting down when you are viewing the listings, you should consider fixing this problem to avoid bigger issues during your travel. Becoming an Airbnb host is one of the best ways to generate revenue from real estate, especially for young entrepreneurs.

Benefits of investing in Airbnb business

There are many benefits that you’ll enjoy by becoming an Airbnb host. As the platform continues to grow, there’s no reason why shouldn’t join other entrepreneurs and start making money. Here are some of the benefits of becoming a host:

1. Earning more money

One of the leading benefits of becoming an Airbnb host is earning more money. If you own a property, it’s possible to generate more revenue through Airbnb than simply renting it out. Some property owners have made a lot of money that they’ve decided to become hosts full-time. Your income as a host will depend on a wide range of factors such as location, access to transport, top attractions nearby, number of rooms available, and the effort you put into offering an amazing experience for your guests. The revenue that you’ll generate will allow you to have…

2. Freedom

Owning a rental property is not for everyone. The majority of people across the world prefer a 9 to 5 job due to the security that it offers. If you crave freedom, this path is for you. Becoming an Airbnb host will allow you to have 100 percent independence and control over how you spend your time. By listing your property on Airbnb, you’ll have more time for your hobbies. You can hire a property manager to handle all the tasks associated with your rental.

3. Develop important skills

Becoming an Airbnb host will help you develop a wide range of important skills. Some of these skills include marketing, customer service, finance, negotiation, hosting, and communication to name a few. You’ll also learn a few key lessons from your guests. All the visitors that you’ll host will be unique. This means that you are going to have a new experience every time you host.

Starting an Airbnb business

Like any other venture, it takes time to plan, start and grow a business on Airbnb. Here are a few steps that you can take to accelerate this process and start generating revenue:

1. Ensure that it’s legal

You need to start by reading and researching the local laws that apply to rental properties in the area that you want to invest in. You should apply for a permit before advertising the business. If you are renting the property that you are offering on Airbnb, you’ll need to get a nod from your landlord before listing it. If there’s a loan associated with your property, you’ll need approval from your provider. Keep in mind that some mortgage providers might say no to your proposal.

2. Calculate

The revenue that you’ll generate from your property will depend on a wide range of factors. Fortunately, Airbnb has an earning estimation tool that will show you the average amount that you can earn in your local area. Once you have this figure, subtract your expenses. These include Airbnb fees, cleaning costs, and mortgage payments to name a few. In this business, cash flow is important.

3. Know what your guests want

Before listing your property, find out what your target market is looking for and whether you can give them what they want. The type of property you have and its location will determine the type of guests that you’ll get. Look at similar properties in your local area that have been listed on the platform that have lots of positive reviews.

4. Consider scaling

When you decide to become a full-time entrepreneur, you’ll need to start thinking of growing beyond a single property. To become financially independent, you might need multiple rentals depending on the amount you charge and the number of guests you have every month. Scaling is not easy. However, it is doable.


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Airbnb is the ideal platform for property owners and entrepreneurs who want to achieve financial independence quickly. You’ll need to know what your guests are looking for and stay organized to be a step ahead.

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