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Airbnb Income Calculator
Thinking about Airbnbing your place? Great. But can you actually make money? Use this calculator to see real revenue numbers—after Airbnb's cut, cleaning costs, and those guests who trash your bathroom.
Property Details
Monthly Expenses
Your Income Breakdown
Understanding Airbnb Income Potential
The promise is simple: make more money renting your place short-term than long-term. The reality? It works—if you're in the right market, price it correctly, and don't underestimate the work.
💡 Real Talk from Marcus Chen, STR Investor
The "Passive Income" Lie: Airbnb is NOT passive. You're running a hotel. I manage 6 properties and it's a part-time job—guest messages at 2am, coordinating cleaners, restocking. If you can't handle that, hire a property manager. They take 20-25% of revenue, but you keep your sanity.
The Real Cost of Running an Airbnb
Everyone sees the nightly rate. Few see the death by a thousand cuts:
- Airbnb Service Fee: 3% of every booking (that's $30 on a $1,000 stay).
- Cleaning: $50-150 per turnover. If guests stay 2 nights, you're cleaning every 2 nights. That adds up.
- Utilities: Guests blast the AC/heat like they own the power plant. Budget 50% more than your personal usage.
- Wear & Tear: Couches wear out faster. Dishes break. Towels vanish. Budget 1-2% of property value per year.
- Insurance: Your homeowner's policy doesn't cover STRs. Add $1,000-2,000/year for proper coverage.
- Permits & Taxes: Many cities now require STR permits ($200-1,000/year) and collect occupancy taxes (8-15%).
⚠️ Common Mistakes to Avoid
- Using Zillow's "Rent Estimate": Zillow estimates long-term rent, not short-term. A $2,500/mo rental could make $5,000/mo on Airbnb—or $1,500 if saturated. Use AirDNA for actual STR data.
- Forgetting about occupancy gaps: Projected 90% occupancy year-round? Reality is often 60% due to seasonality. Overestimating occupancy is the #1 reason hosts fail to cover their mortgage.
- Underestimating cleaning/maintenance: Thought $50/cleaning covered it? Forgot linens wearing out ($800/yr), broken appliances ($1,200/yr), and deep cleans. Budget 30-40% of gross revenue for expenses.
- Ignoring platform fees: Airbnb takes 3% from you, but the guest pays 14% more. High fees + cleaning fee can make your $150/night listing cost $250/night for guests, hurting conversion.
The Occupancy Rate Reality Check
70% occupancy sounds great until you do the math:
- 70% occupancy = 21 nights booked per month
- Average 3-night stay = 7 separate bookings
- 7 cleanings × $75 = $525 in cleaning costs
- 7 turnovers = 7 times coordinating cleaners, restocking, messaging guests
Compare that to a single long-term tenant who pays on the 1st and you never hear from again.
When Airbnb Wins vs. Long-Term Renting
Airbnb is better if:
- You're in a tourist/business travel city (NYC, Miami, Austin, Nashville, ski towns)
- You can hit 50%+ occupancy year-round
- Your nightly rate × 15 nights > monthly rent × 1.5 (rule of thumb)
- You enjoy (or can afford to outsource) hosting duties
Long-term renting is better if:
- You're in a residential-only area with low tourism
- Local laws restrict STRs (NYC, SF, some Chicago neighborhoods)
- You want truly passive income and hate dealing with people
- The rent-to-price ratio is strong (1% rule: monthly rent = 1% of purchase price)
How to Maximize Airbnb Revenue
- Dynamic Pricing: Use tools like PriceLabs or Wheelhouse. They auto-adjust rates based on demand (weekends, holidays, local events).
- Instant Book: Listings with Instant Book get priority in search. You'll get 20% more bookings—but also more risk of bad guests.
- Professional Photos: Spend $200 on a pro photographer. Listings with pro photos get 40% more bookings. This isn't optional—it's mandatory.
- The First 5 Reviews: These make or break you. Offer 20% discounts to your first 5 guests in exchange for honest reviews. Once you hit 5-star status, remove the discount.
- Minimum Stay Requirements: If you're getting killed by cleaning costs, set a 3-night minimum. You'll lose some bookings but improve profitability.
Reviewed by Marcus Chen
Short-Term Rental Investor
Marcus owns 6 Airbnb properties across 3 states. His advice? Start with one, master it, then scale.
Frequently Asked Questions
What's the average Airbnb occupancy rate?
It varies wildly by location. Tourist hotspots like Miami or Austin see 60-75% year-round. Ski towns spike to 90% in winter but drop to 30% in summer. Check AirDNA for your specific market—don't guess.
How much does Airbnb take from hosts?
Airbnb charges hosts a 3% service fee on each booking. Guests pay an additional 12-15% service fee. So if your nightly rate is $200, Airbnb takes $6 from you, and the guest pays ~$230 total.
Is Airbnb more profitable than long-term renting?
Usually yes—if you can hit 50%+ occupancy. A property renting for $2,000/month long-term might make $4,000-6,000/month as an Airbnb. But you pay more for utilities, cleaning, and it's WAY more work. Factor in burnout costs.
What are the hidden costs of running an Airbnb?
Cleaning fees ($50-150 per turnover), higher utilities (guests leave AC on), supplies (toiletries, toilet paper), furniture wear & tear, extra insurance ($1,000-2,000/year), and local STR permits/taxes. Budget 30-40% of gross revenue for total expenses.