If you have property in Edinburgh, the chances are you could make a lot of money with Airbnb. It is one of the UKs most popular tourist destinations and it is a festival city – there is always something going on to attract the crowds. Edinburgh’s Festival Fringe, for example, which has just come to an end for another year, is one of the biggest draws, and it is getting bigger every year; 2,696,884 tickets for 3,398 shows were issued in 2017, which is up 9% from 2016.
Occupancy Rates in Edinburgh
Hotel and Airbnb occupancy rates indicate demand, and in Edinburgh they are high year-round, with an average Airbnb occupancy rate of 60% in 2015. But it is seasonal; in the quiet season (January - March), hotel occupancy in 2016 was 60–75%, but 90-94% during the busy season (June – September). Occupancy rates are also high around new year as people flock to Edinburgh for the famous Hogmanay celebrations.
How Much Could You Earn?
According to insideairbnb.com and data from 6,272 Airbnb listings in Edinburgh, collected in July 2016, the average cost per night is £92. Therefore, based on an average occupancy of 60% (18 nights per month), you could be making approximately £1,656 a month, not accounting for taxes and other costs associated with hosting.
But, cost per night is variable depending on how much space you have to offer. Analysing the data further, the average cost per night for whole properties, private rooms and shared rooms is £127, £50 and £33 per night, respectively. Which, again based on an occupancy of 60%, means you have potential to earn approximately £2,286 a month if you rent out an entire property, or £901 or £611 a month for private rooms and shared rooms, respectively.
However, location is also a big factor; properties in the centre of town, near tourist hotspots or business venues are likely to cost more than those further out. For example, properties in Old Town, Princes Street and Leith Street have an average cost per night of £105, which is higher than those further out in Corstorphine or Queensferry, which have an average of £68 per night.
With so many variables at play, it is hard to estimate the amount you could earn, but if you want a more accurate estimate for you, have a look at Airbnb’s calculator. It will help to assess your situation more precisely, and it incorporates outgoings and fees, so you can see your potential profit!
Need Help Hosting?
The figures show that becoming an Airbnb host in Edinburgh can be lucrative, but it can be a lot of work. Whether it is managing your marketing, communicating with guests prior to arrival, cleaning and tidying, or being available for check ins/outs, there is a lot to do. And, if you are a first-time host, it could be a steep learning curve with lots of new skills to learn. But, don’t let that put you off, as Elite Property Management can help. We are based in Edinburgh, and can take care of your property and your guests for you, ensuring that everything runs smoothly and that they have the best experience possible, which will get you great reviews and more customers.