This was a very popular strategy in the last 5 years or so, because this model is much easier to scale. Under this model you don't purchase but rent your properties, and then re-rent them on Airbnb. The master leasing or rental arbitrage model So it's a lot harder to scale this business than when using one of the other two models. The biggest challenge with this model is that you to get started you need one of these three: 1) a lot of cash to invest 2) the ability to get a loan or mortgage or 3) an investor to partner with. Plus you have complete control over it, so you don't have to deal with anyone (except for the bank or an investor depending on how you finance it…). The pros are that you own the property, and therefore you'll benefit it the property increases in value over time. Of course there's a lot of other steps involved, but in a nutshell this is how it works. Then you simply list it on Airbnb, and you're off to the races. You then purchase the property, remodel it (if needed), add furniture as you see fit, and get the property ready receive guests. In the end, it doesn’t matter what it is, it just needs to be a piece of property that's attractive as a short-term rental. You find a single-family home, a condo or even a full apartment building that you think would do well on Airbnb. The way this model works is you pretty simple. (And that's why I will focus on this model in this post.)īut lets briefly discuss the other two models so you understand the differences. But the management model has one HUGE advantage that the other models don't have, as you will see. The management model: you rent out a property that someone else owns on Airbnb.Īll three are viable and profitable business models, each with their own pros and cons.The master lease or arbitrage model: you rent a property and re-rent in on Airbnb.The ownership model: you buy a property and rent it out on Airbnb.There are so many ways to make money with short-term rentals today, but here are the three most common ways: (For the sake of simplicity, I'll just talk about Airbnb in this post.)

How? Keep reading and you'll learn how to make money on Airbnb without owning any property.īut first, lets get clear on what a “short-term rental” really is:Ī property that you rent out for 29 days or less on Airbnb,, VRMO and through other marketing channels. Despite what you may think, this is a viable business even if you aren’t ready to invest any money upfront. You can make a six-figure income working from home by renting out properties on Airbnb.

Airbnb for companies