Posted on April 6, 2017
AirBnB Cleaning Fee Pricing for AirBnB Hosts
An AirBnB cleaning fee can be added by AirBnB hosts to each stay. This price is added as a one time charge to each reservation, regardless of length. Just as pricing your AirBnB listing is important, so to is pricing your cleaning fee correctly for a successful AirBnB hosting business.
Before we go into how to price your AirBnB cleaning fee, let’s first look at how to make this adjustment for your AirBnB listings.
How to Change your AirBnB Cleaning Fee
- Log into your AirBnB hosting account.
- Click on the “Hosts” in the top right of the screen and choose “Manage Listings” from the dropdown menu.
- Select the listing you’d like to edit and your listing calendar should appear.
- Click on “Price settings” located on the upper right corner of your calendar.
- Click on “Extra charges and currency”
- Check the box for cleaning fee.
- Enter your desired cleaning fee.
Ok, pretty simple. Your listing now has a cleaning fee. But is it too high? Is it too low?
The quoted price an AirBnB guest sees when searching listings will include a prorated portion of the cleaning fee. So if your listed price is $50/night and your cleaning fee is $20, someone searching for a 2 night stay would see a listed price of $60/night (ie: $50/night + $20/2).
A cleaning fee that is too high will make shorter stays economically unattractive to travelers. Even if your base price is competitive, the prorated portion of your cleaning fee will make you more expensive and a less attractive choice for many travelers.
A cleaning fee that is too low will not reward you properly for the time and effort spent cleaning and preparing the room for each guest.
How to Price your AirBnB Cleaning Fee
There are two major components to pricing your cleaning fee
- Time – Obviously, if you are cleaning yourself, there is significant time involved. Depending on the extent of your listing, this could be a small amount of time or could
take many hours. Keep track of how long it takes your to prepare your listing for guests. You’ll be able to better price your cleaning fee if you know how much time you are spending. Regardless of your listing type, optimizing your AirBnB cleaning routine will help you shorten this time to be more competitive!
- Cleaning Supplies – While time will likely be the bulk of your expense for your cleaning routine, you will also be going through cleaning supplies. Items like cleaning solutions, trash bags, sponges, gloves, laundry supplies, and whatever else you may use will add cost to cleaning. You can probably get by with a ballpark estimate on this category, but as you track your expenses this number will become more obvious.
To come up with a dollar value for this cleaning fee, we need to associate time with money. As I mentioned in my listing pricing guide, I use $15/hour for the value of my time. Let’s say you spend 90 minutes to clean and prepare your listings. This would mean the time portion of your cleaning is 1.5 hours x $15/hour = $22.50.
While I use a lot of different cleaning products, the overall cost per cleaning is not very high since I purchase in bulk. For cleaning the guest room in my house, I estimate I use ~$2 for each reservation.
AirBnB also has a 3% service fee that applies to your cleaning fee.
Therefore, the formula to calculating your AirBnB cleaning fee is:
(Time Value + Cleaning Supplies) / (1 – AirBnB service fee) = AirBnB cleaning fee
Using the numbers from this example:
($22.50 + $2.00) / (1 – 0.03) = $25.25
Since you can only price in whole dollars, I always round up.
Therefore, our cleaning fee in this example should be $26.
Change these time and cost numbers to suit your listing and there you go! You have now properly priced your AirBnB cleaning fee!
More of the best AirBnB hosting tips to come!