100's Of Winning Tips On How To: Setting Up A Self-Catering Accommodation Business In Cape Town  | Cape Town Airbnb Management Agency
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100’s Of Winning Tips On How To: Setting Up A Self-Catering Accommodation Business In Cape Town 

Questions and Answers About Setting Up A Self-Catering Accommodation Business In Cape Town   

If you’re looking for a way to make money from your Cape Town holiday home, then read on.

Starting a self-catering accommodation business In Cape Town is all about being informed. But where do you start?

You can start by deciding whether you want to manage and market yourself or use an agency. There are pros and cons of each option so it’s important to think about what will work best for your situation. Talking about cons; what are the risks?

Once you’ve made that decision, the next step is figuring out how much time and energy you have available to dedicate towards managing your property. Do you have enough time? Are there any other commitments in your life that might get in the way? These are all things worth considering before taking on this project.

Read these frequently asked questions for in-depth information about starting up a self-catering accommodation business in Cape Town!

Let’s look at the questions and answers you may have to set up your Cape Town Airbnb accommodation business.

Questions and Answers About Setting Up A Self-Catering Accommodation Business In Cape Town 

Setting Up A Self-Catering Accommodation Business In Cape Town

Table Of Contents: Setting Up A Self-Catering Accommodation Business In Cape Town 
1. Setting Up A Self-Catering Airbnb
2. How To Make Money With Airbnb
3. How To Manage An Airbnb
4. T&Cs | Rules | Protection
5. Only School Holiday Owners

Setting Up A Self-Catering Airbnb Accommodation Business In Cape Town  

There are many benefits to starting up a self-catering accommodation business in Cape Town, but it’s important not to base your decision on purely financial incentives. A successful host, especially a SuperHost, can make money from Airbnb. But you must study it well. Ignorant is no excuse.

Setup An AirbnbInvestment Advice: Airbnb Cape Town

Excellent question:

How Do You Setup An Airbnb In Cape Town?

Today I just want to discuss flexibility

Let’s kick off with this quote from the FAQ “Why Are The Number Of Bedrooms Not That Important?”

One-bedrooms have a disadvantage as the change over costs for a one-bedroom Airbnb is as much as it is for a two-bedroom and even a three bedroom. Two-Bedroom change-overs cost nearly as much as a 4 bedroom but if you give me two two-bedroom apartments next to each other then I take two x2. I’ll rent them as a 4 bedroom or 2x two bedrooms. But, I suppose this is not the only way to look at it.  Now we are opening-up flexibility as a drive. Experience Airbnb Agent
Setup An Airbnb In Cape Town Without Flexibility? You are leaving money on the table!
  • If you are looking at a 4 bedroom apartment then I’ll rather go for 2x two bedrooms next to each other. If you want to buy a 4 bedroom home then I would not consider two 2-bedroom homes. But if you consider building a 4 bedroom try and Setup An Airbnb In Cape Town to have two kitchens and be private if you choose. 
  • Beds. When we do the interior we tend to think of large beds where two share the bed. Ideal for couples. But what happens if you have 4 single people who would not like to share? Always choose singles you can How Do You Setup An Airbnb In Cape Town as kings. 
  • If you can do kings always do king beds, the least should be queen. And normal  double beds are close to being a waste . Not really but why? A bed is a once-off investment; lasting a long time. And your beds should be flexible enough to cater to the tall, separated, and the huge. Do this and you will win over an owner ignorant to this basic. 



How To Make Money With Airbnb Accommodation Business In Cape Town 

You’ll read a lot of different opinions about making money with Airbnb. The following are some of the opinions you’ll likely read, and what they mean. 

What is import? Trust. If you ignore trust with your guests you are going to fail. If your Airbnb guests don’t give you 5-star reviews – regularly you will be just another average Joe. You will read there is, nearly, a direct relationship between the number of reviews and occupancy. Get those reviews in quickly. Why quickly? Airbnb likes action. A dormant holiday home in Cape Town or anywhere is a waste; they’ll dump you to the bottom. 

Obviously, Agency.CapeHolidays Management is biased but we are not really interested in managing a home the owner can manage herself. This should not stop us from giving you advice. So read what we share with this in mind.

Read these FAQ’s on setting up a self-catering accommodation business in Cape Town to profit.

Setup An AirbnbInvestment Advice: Airbnb Cape Town

Excellent question:

How Do You Setup An Airbnb In Cape Town?

Today I just want to discuss flexibility

Let’s kick off with this quote from the FAQ “Why Are The Number Of Bedrooms Not That Important?”

One-bedrooms have a disadvantage as the change over costs for a one-bedroom Airbnb is as much as it is for a two-bedroom and even a three bedroom. Two-Bedroom change-overs cost nearly as much as a 4 bedroom but if you give me two two-bedroom apartments next to each other then I take two x2. I’ll rent them as a 4 bedroom or 2x two bedrooms. But, I suppose this is not the only way to look at it.  Now we are opening-up flexibility as a drive. Experience Airbnb Agent
Setup An Airbnb In Cape Town Without Flexibility? You are leaving money on the table!
  • If you are looking at a 4 bedroom apartment then I’ll rather go for 2x two bedrooms next to each other. If you want to buy a 4 bedroom home then I would not consider two 2-bedroom homes. But if you consider building a 4 bedroom try and Setup An Airbnb In Cape Town to have two kitchens and be private if you choose. 
  • Beds. When we do the interior we tend to think of large beds where two share the bed. Ideal for couples. But what happens if you have 4 single people who would not like to share? Always choose singles you can How Do You Setup An Airbnb In Cape Town as kings. 
  • If you can do kings always do king beds, the least should be queen. And normal  double beds are close to being a waste . Not really but why? A bed is a once-off investment; lasting a long time. And your beds should be flexible enough to cater to the tall, separated, and the huge. Do this and you will win over an owner ignorant to this basic. 



What do you mean by maximizing Airbnb income?

Meaning of MaximisingHow To Maximise Income

Maximizing Airbnb income is “shorthand”  for our focus on (long-term) profitability over a year. Instead of focusing on maximising daily rates we ensure with our philosophy to:

  1. Build trust – reviews and high ratings from happy guests.
  2. We base our Airbnb rates on demand. And demand depends on seasonality and mostly on trust.
  3. Maximizing Airbnb income does not mean we are unreasonable at any time; our guest will never say the rates are cheap; we are not and will not ever be cheap, but guests will tell you we are reasonable.
  4.  Our model of building a snowball of trust takes longer than a year. Getting 40 reviews needs patience (more here).
  5. But if we are lucky and demand jumps quickly to higher than 50% occupancy we increase rates. Let me add; we always adjust rates depending on demand. Always within reason.

Maximised income depends on trust; high rates depend on high demand.

As a Cape Town Airbnb accommodation agency;

Initially, you pay a price for the lack of trust. And you pay a price to get many positive reviews…… Our income only increases if your home improves at all times and your income improves.  Nothing else.

How To Manage An Airbnb Accommodation Business In Cape Town

A holiday home in Cape Town can be managed by the host. A good host is someone who has a good attitude and is able to talk to guests; banking goodwill.

Managing hosts also need to set expectations for the guests that they are hosting and get five-star reviews from those people.

If you want to have a self-catering home, you should know how to manage time, resources extremely well. If not, it could become a disaster. Guests don’t mind a mistake but they will take revenge (bad review) if you are not responsive.

You need to meet people when they get here. You will show them the key amenities, like where is the pool or laundry room. You will also tell them about any other facilities, like WiFi codes. Setting expectations. If you are timid and afraid they will take advantage. Be firm but friendly.

Read these FAQ’s on setting up a self-catering accommodation business in Cape Town to manage it effectively. 

I Don’t Want A Corporate Airbnb Management Company To Assist My Guests!

I never thought about this objection until I got a potential owner who said to me, “I want professionals to manage my mother’s home in Muizenberg, but I don’t want an impersonal corporate company to run it!”

Never in my worst dream did I expect this judgment.  Unfortunately, she never read our FAQs and 100’s of 5 star reviews.

 If you read our reviews and our Airbnb profile carefully (hereyou’ll notice what guests had to say about our personal hosting. You’ll see that we are called the Horak Clan. We host people as, “Johan, Elmarie, Nandi”. How personal is this? The only none personal thing is our logo.

horakclanairbnb

Category: Management FAQs

The Best Owners To Assist with Airbnb Management

I wish we had a crystal ball. Because it can go wrong. And it will – more here on the Airbnb Marriage Made In Hell.

When you work with an owner you have to become a team. There is no opposition. Because a good agent assist the owner by doing what the owner expects.  And if the OWNER wins the AGENT wins as well.  Is that not ideal?

Let’s consider a few qualifiers:

  1. If an enquiring owner kicks off asking how much we charge, you know he is shopping for the cheapest deal. We are not in the auction business.
  2. bestairbnbownersOwners who are not interested in reading, or rather studying our FAQs. These FAQs make our relationship transparent. We know. And you know. There are no surprises. When we get an owner not interested in reading the FAQs we know we don’t have a team member. We may end up with more and more misunderstandings.
  3. When owners start micromanage us. It’s great to get the owner’s input and it’s encouraged. But if it continues never-ending, it becomes pedantic, demanding, etc then the relationship will strain. It’s like you assisting your friend with his bad tooth. 
  4. When owners expect us to maximize income but they want to set rates. Unfortunately maximising income should never be left to the owner. In the past, we had various owners who thought high rates equal high income. It’s not and owners have lost massive opportunities. More here!
  5. Owner’s who are very protective, and owners who cannot handle criticisms will find it difficult. Very difficult. Guests can be cruel. Be willing to learn. And improve from each criticism.
  6.  Owners who tend to focus on reducing costs  instead of investing in ways to increase demand for their home.  What you save being stingy will never compare to what you lose not investing in improvements.   If you want to focus on cost then it’s better to get a management company who does everything as cheaply as possible while increasing profitability is not an issue.
  7. Trust. Some owners trust very few people. If this is you then rather find another Airbnb management agency.

 

Can I List my Airbnb Accommodation with Agency.CapeHolidays.Info?

Yes. Obviously you need to qualify.
  • We only list remarkable accommodation; meaning if the accommodation is extraordinary, exceptional, amazing, astonishing, astounding, marvelous, wonderful, sensational, stunning, incredible, unbelievable, miraculous, or wow.  Anything average, below par, standard, boring, cheap will not make the grade. To manage accommodation well, is expensive and only any remarkable accommodation can afford management. Let’s consider a one and two-bedroom boring place and a remarkable one bedroom; the rates on the boring places would not justify professional management but the remarkable one bedroom could.
  • 99% of the accommodation we list we manage and market. This means  if you want to market your own accommodation  but only need someone to manage then we will not be able to assist.
  • If you want to  manage your home and need us to market  we can assist as long as you can prove to us you can be as good as we are. I am not saying this to brag; experience has shown that our owner-managed homes don’t get the same high-ranking reviews we get when we manage. There are one or two owners who do really well, one or two lower and then a few who are no longer part of our portfolio.  

 

Self-Catering Accommodation Business In Cape Town: T&Cs | Rules | Protection

Managing a Cape Town self-catering holiday home has its risks, fears, and worries. You read bad press about parties, people occupying houses, theft, and whatnot. Without getting way out-philosophical;

A ship in port is safe; but that is not what ships are built for. This saying has also been credited to Albert Einstein and John A. Shedd..  

You have to address the risks, do foolproof audits, set up systems to reduce risk. Never assume. Fools like hosts who make assumptions.

The following FAQs are for owners who want an agency to manage but you can pick and choose what to read. Adapt it for your Cape Town self-catering business. And make it better.

Read these FAQ’s on setting up a self-catering accommodation business in Cape Town to make it foolproof (if there is such a perfect home – we should try).

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How To Short Term Rent My Cape Town Holiday Home During School Holidays Only?

Local Cape Town schools have a six-week break during December and January. For those who own a nice home in Cape Town, this is an opportunity to earn extra income by renting their property while the owner takes a break.

Many Cape Town “school holiday” owners want to rent their home but are worried about the work that goes into it. They’re also unsure of how to manage their home, and whether or not they should charge in a different currency. These people need someone with the infrastructure and marketing skills to help them rent their home on Airbnb. It’s not difficult when renting online but when it comes to pricing and management, guest liaison, checking on guests, parties, etc. they may decide that it’s too much for them.

You may read that it’s difficult to match the expectations of “school holiday” owners, and the impact of expecting guests. When you manage an annually available Cape Town holiday home you have various feedback loops; the house becomes more guest-ready or foolproof. Owners also learn the ins and outs.

I suggest owners ensure they are fully aware; high expectations will be deflated if the owner lives in a perfect world. Read as much as possible. We also share a Terms & Conditions dedicated to “School Holiday Owners” specifically. The T&Cs is designed to highlight the issues you may encounter.

Read these FAQ’s on setting up a self-catering accommodation business in Cape Town for owners with kids at school; meaning the home is only available during school holidays.