Energy price rise

1

How can I calculate my daily price to consider the steep rise in energy costs?
Has Air B+B put out any guidelines for this?

2

That would be something only you could figure out, depending on the amount your energy rates have gone up in your area. You would look at how many kwhs or propane or natural gas your rental uses on average per day, and add the difference between the old energy rates and the new to the nightly price.

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3

Just remember that raising your rates will not affect any reservations already made under the old rate. I have found guests very sensitive to the price of energy and cooperative when asked to be sure AC or heat are off, windows are opened and closed appropriately etc. You might play with a few things like setting your AC a degree higher, heat a degree or two lower, and shrink any amenities provided to minimize the need for an increase depending on your market.

4

That may be one of those behaviors more prevalent in a homeshare situation, as you and I have, than in an entire place listing. At least I have certainly read endless posts from entire house hosts who bemoan the wastefulness and overconsumption of many of their guests.

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5

AirBnB is a booking engine only. They sell you a space to put your listing up with photos and descriptions, confirm or cancel guests, and get paid.

They do offer “Smart Pricing,” which is a joke. Any pricing is up to you, period.

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6

Thanks! Will keep in mind.

7

Just look at the increase per period (day, week, month, year, whatever), and increase your nightly rate–based on your occupancy rate for the period–to cover the increase.

For example, if your monthly electricity bill is up by $150 and you average 10 nights booked per month, then you need to raise your nightly rate by at least $15 (you should have some margin to cover lower occupancy and/or future increases).

You don’t really need to know your actual energy usage, only the cost, and I would assume you have good records of energy costs for tax purposes.

8

Good way to calculate! Thanks.

9

I’ve put my prices up $10-20 per night. both electricity and firewood costs have gone up, plus we are heating the pool, and we’ve installed a new hot water system.

10

Thanks so much!

| gillian
September 21 |

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I’ve put my prices up $10-20 per night. both electricity and firewood costs have gone up, plus we are heating the pool, and we’ve installed a new hot water system.

11

I just looked at the energy price hikes(we have had three) put it into my STR budget and it automatically calculated the increase in my costs.

I then adjusted my pricing accordingly @Giovanni