AirBnB has become an enormous disruptor in the hospitality space. I won’t go into deep detail about the history of AirBnB, but, in summary, AirBnB was founded by two guys renting out air mattresses in San Francisco and turned that into a travel revolution. AirBnB is now valued at over 10 billion dollars, and is the premier platform for unique travel experiences.
I have stayed at a few AirBnB’s and wanted to talk about the pros and cons of my experiences.
Pros of AirBnB
First, the platform itself is BEAUTIFUL! UX nerds like me love this stuff. I strongly encourage visiting AirBnB.com if you have never been to the site. The platform has now extended from renting homes, to experiences, and now restaurant reservations!
If you are looking to rent through AirBnB for the first time, get $40 off your first stay with my referral link!
Here are just a few pros I have found to using AirBnB’s throughout my travels.
Local Flavor
In cultured areas, homes tend to reflect the place they are in. Many standard hotel rooms tend to be very cookie-cutter. AirBnB’s can be plain jane, or unbelieveable one-of-a-kind experiences.
Hospitable Hosts
Hosts can be incredibly hospitable. I’ve had my host make my fiance and I breakfast and coffee in the morning!
Insider Knowledge
Hosts have great knowledge of the area. Best restaurants, activities, etc. Think of them as your own personal concierge.
Flexibility & Communication
Many times, hosts are open to texting back and forth with you regarding questions you may have. Whether it be late check in or prolonged stay.
Customer service
Just like hotels, AirBnB’s have not so perfect experiences. Their customer service has been incredibly helpful in my questions and needs.
Value For Your Money
It was founded on the premise of saving people money. I’ve stayed in homes that cost $25 where basic hotel rooms are $200+. If you just need a bed to sleep in, this can be a great way to save money!
Save Money On Food
Most AirBnB rentals will include a kitchen, unlike a majority of hotel rooms. You can grab some groceries from a local market and save money on food while traveling by cooking a few meals in the kitchen instead of eating out the entire vacation.
Cons of AirBnB
While AirBnB has been a revolutionary company, it does come with bad sides.
Here are just a few cons I have heard about/experienced.
Fees & Required Minimum Stays
While the service promotes flexibility and affordability, sometimes it does fall away from that. Here is an example below.
This apartment in Salt Lake City stays it is $85/night. Not bad, right?
However, when I go to book, I find that there is a required 2 night stay. If I were needing just a one night stay, I would have to look at a new place.
Even if I were looking for a 2 night stay, my final price all of a sudden jumps to $214. A 26% increase from the per night rate!
In my eyes, the service fee is very similar to a “resort fee”. This is definitely my least favorite part of the platform. Very deceptive.
Lack Of Privacy
Privacy can be limited if you are in a home with the host. Of course, this comes with saving money. There have been some very public horror stories with hosts. Again, these types of things can happen in hotels too.
Where Are My Points?
Of course, for us points and miles enthusiasts, there isn’t a cobranded credit card. However, many credit cards do categorize AirBnB charges as “hotels” or “travel”, so you can take advantage there!
And there aren’t any loyalty programs with AirBnB, so you won’t get any better accommodations, free upgrades, or benefits through status like you would with a hotel chain.
Disruption (For The Worse)
Working in the Silicon Slopes (Utah’s version of Silicon Valley), I taste disruption every day. On my most recent Delta flight, I came across the BBC series, Secrets of Silicon Valley. I highly recommend it!
I won’t give away too much, but there is a portion highlighting the AirBnB website in Europe. Let’s just say the results aren’t very good.
The Bald Thoughts
For those looking for a unique experience or to cut costs, AirBnB is a great alternative instead of a hotel. But you need to weight the pros and cons of using a service like this versus the experience you are used to while staying at a hotel. Have you used AirBnB recently? What was your experience like?
Let’s hear it in the comments!
For me the scariest hidden truth of airbnb is that the host can cancel the reservation at any time with little recourse: $50-100 fine on host and no restitution from airbnb. I saw this when I was looking at a place in Singapore and the host cancelled at least 5 times and will still allowed to host.
That’s horrible! Hopefully the rating system will punish that host, but I doubt it since the stay was completed. Sorry you had to go through that. Where did you end up staying?
Caveat Emptor. The availability of AirbnB, at least in London and Honolulu, is fictional. I would try and “book” and receive emails back saying the property wasn’t available despite showing online availability. I would then get shunted towards other less desirable properties. The one time I did get a booking, it was canceled a week later when the host (actually a lessor, not an owner), got evicted for subletting her residence on Airbnb. That’s why Airbnb advises you to make multiple bookings, they know the availability is phantom. I now stick with traditional hotels or residences booked thru actual companies, like Marriott vacation clubs.
Steve, thanks for sharing your experience with AirBnB. What a shame that availability shows, yet isn’t actually usable. I hate dishonesty like that. And that they would move you to a less-desirable property instead of something nicer is an even bigger slap in the face. At least, with hotels, they will generally upgrade you if the room you booked is not available. One of the reasons I like using my hotel and timeshare points to travel more than booking an unknown like AirBnB.
It’s a shame that you don’t mention the enormous cons and negative effect that Airbnb has on cities, especially heavily touristed European cities. I’m assuming that’s what you’re referencing in mentioning that series, but the reality is most people are not going to go to that series to find out why Airbnb is bad, they’ll just read your article and not consider the effect that their Airbnb stay is having on locals, raising rents and making cities unlivable for former residents. We lived in Madrid for three years and witnessed it firsthand, it’s truly horrible and definitely something that I think is worth a longer mention here. Cheers!
That is what I was referring to. Airbnb is a great product, but it does have its unfortunate effects on rent and living for locals.
I just watched a video on YouTuibe on how this is destroying neighborhoods in Venice, Italy and making it impossible for the locals to find affordable rental space. Working class people are made to suffer so that the more prosperous property owners can rake in the big bucks and the City of Venice is doing nothing about it. As the old saying goes…the rich keep getting richer while the poor keep getting poorer. And…more and more middle-class people are holding on by the skin of their teeth to avert slipping into poverty. 🙁
I hear you, Charles. When situations like this occur, cities will start to crack down to limit or eliminate the option. It’s a tough balance between travelers trying to find better accommodations and locals who have to deal with the bad apples.
Being a lifelong resident of New Orleans, LA I can tell you firsthand the travesty that Airbnb is in my beloved city. Lack of housing, soaring rents, disruption of quiet enjoyment in neighborhoods; the list goes on. I lived next to an Airbnb for a year before NOLA instituted the short term rental ordinance. There’s basically no recourse for homeowner or tenant neighbors when inconsiderate guests of that property cause trouble. Many “owners” don’t even live in the city. They live in other states, pay a cleaning person to maintain the property and reap the rewards without having to bear any responsibility to the neighborhood they’re operating in. New Orleans had a housing shortage before Airbnb became popular. Now it is almost impossible to find affordable and adequate housing, meanwhile slum lords capitalize in having cornered the market on what’s left.
That’s such a shame. The gig economy is supposed to help equalize the ability to earn money, but it seems that Airbnb has bastardized that opportunity. They need to get a handle on it before even more cities boycott them and put them out of business.
I can definitely relate to what you are saying, Laura. What is happening in New Orleans, is happening in every major city of the USA including New York City where residential as well as commercial rents have soared into the stratosphere. As a homeowner in a quiet neighborhood of Queens, NY, i object to my neighbors utilizing their homes as a place of business. It is for that reason that residential neighborhoods are zoned as residential as opposed to commercial. I pay $20K a month plus to rent and operate a retail store in downtown Manhattan plus paying more business taxes than I can shake a stick at. I own a home in Queens so that I can get away for the noise, traffic and hubbub of a commercial venue at the end of a long, tiring day in the city. My house is a home…not a flophouse for strangers and I strenuously object to my neighbors/renters using their homes as such. Airb&b is doing the same thing to neighborhoods that Uber and Lyft are doing to the taxi business….both of which are also impacting my lifestyle with their cursed, privately owned cars continually parking in my driveway to pick up and discharge passengers on my block.
Sorry that you’re having to deal with all of this. I’ve personally never rented an AirBnB. Some friends swear by them, but others (like me) prefer hotels and timeshares. Hopefully, your city will take action to give you some relief.
Hey I’m planing to rent out my property as airb&b any suggestions or advice or even ideas!!! Will be of great help!!
Satyam, there are a few things. First, check to see if there are any regulations prohibiting you from starting out (eg: city ordinances, HOA rules). Then, I would let your neighbors know so that they can prepare themselves for people coming in and out of the home that they might not recognize. Create a checklist for yourself to make it easy to remember everything and maintain a consistent level of service to earn high ratings. Go above and beyond and your guests will reward you with high ratings and referrals to keep your property occupied more often. Good luck.
[…] Airbnb can be a perfect opportunity to find a luxury property that you can truly enjoy in the middle of the city centre. Airbnb offers a much more versatile stay if you are considering staying in a location for a few weeks. You might not want to go out for every meal and want to cook with ingredients that are fresh in your location. Airbnb properties could come with access to a gym or you can have a private pool. Hotels are not always going to be affordable especially in popular places in cities. […]
I like that you mentioned that aside from the breakfast, cooking can also be done in a B&B for other meals. I think that would be a good way to save some money for my next trip with my boyfriend. Since we live in different cities, we tend to schedule getaways that go for about three days whenever we have the chance.
Kitchens are key to saving money while traveling. I like to eat 1-2 meals a day in my accommodations and then enjoy local cuisine for the other meals. It allows me to splurge on something nice/exotic that I can’t get at home.
very helpful for my school work.
I stayed at this sweet AirBB in Cleveland, TN. It was a room & Bath but the host allowed access to the den and full kitchen. It was very clean and tidy and located on a quiet street just two minutes from all kinds of food and shopping. I’ll stay there again when I’m in that area. Security cameras and a lot of lighting for parking so you feel safe going to/from your car to your room. It’s the best Air BB I’ve ever stayed at as far as clean, comfortable and cordial hosts. I guess that southern hospitality is true because the host could not have been nicer. In case you’re in that area and want to find a good room for a night or like me, for a couple of months, it’s located on Frontage Rd in Cleveland, TN and I think it’s listed as Orders Air B&B. I don’t want to tell too many people because I want to make sure it’s available next trip I make.
Hey PT, I’m glad that you found a good Airbnb property. While some people have had bad experiences with Airbnbs, there are many good owners out there that treat their visitors well. Thanks for sharing your experience and recommending this property.
I spent hours yesterday with a friend checking accom in Adelaide for Womadelaide music festival in March this year. Tricky as it’s a busy time. Finally found an available place near CBD. Thought it sounded too good to be true. Sure enough it was! AFTER booking 2 rooms and paying $1,030AUD the host came back to say room not available and to cancel the booking in order to get a refund. I need to clear that from my credit card in order to book something else but it’s marked as pending and can take up to 31 days to clear! Host says I have to take it up with Airbnb directly. I cannot figure out how to even do that. In simpler times I was an Airbnb host myself and used it to travel. I’ll try hard to avoid it from now on…!
When hosts ask YOU to cancel the reservation instead of THEM, that’s a big red flag. The “mark” for canceling is then on your profile instead of theirs. What usually happens is that they have the property listed on multiple platforms and were able to find someone else to pay more. I wouldn’t cancel it on your side. I would make them cancel it.
As for the credit card hold, when the transaction is canceled, the hold should fall in within a few days since the transaction is no longer pernding. That’s what happens in the U.S. I’m not sure about Australian banking regulations. I’m sorry that you’re in this bad situation.
I would definitely speak with Airbnb and complain about the host request for you to cancel. They should be able to help you find alternative accommodations that are suitable for your upcoming stay. Best of luck! Please let us know how it turns out.