How Much to Charge for an Extra Room

I have a 2-bedroom suite that includes a large-ish living area. All very bright and sunny. I’m thinking of charging max $150 per night for 2 people. The cleaning person will get $75-$100 per booking (that’s the going rate where I live). What are your thoughts for an additional fee when 4 people rent the suite rather than 2? Things to consider: water costs its weight in gold in our community ($250-$3500 per month depending on amount used), the cleaner will spend an extra hour to 90 minutes cleaning/doing the laundry/preparing the room.

Would it comfortably sleep 4? I would price higher to attract that market. Otherwise you will be competing against 1 bedroom places.

Brandt: that’s such a good point. My ideal would be two people who would pay $150 to be able to spread out. My place doesn’t have AC, so there’s the option for someone running hot to sleep in the living room, but I wouldn’t say 4 people would be especially comfortable in 3 rooms, 2 beds. Because my house has small bedrooms, I’m limited to double-sized beds.

You have to ask yourself too about people travelling in foursomes rather than couples. I imagine that there are more couples requiring accommodation so unless you’re okay accepting a family, you’re less likely to attract foursomes thus reducing your potential clients.

Other groups of four might be people who are inclined to party more than couples. (I’m not saying that they necessarily will, just pointing it out).

‘Couples’ refers to partners usually who would share a bed but a two-person group could be siblings, friends, parent plus older child and similar combinations where they don’t necessarily want to share a bed. Two rooms with two beds gives you a broader number of guests to choose from.

1 Like

You make good points. You’re right–two people might be mother and daughter or sibs who want their own rooms. I’d love some advice from the community about pricing. What would be a reasonable extra charge for a 3rd person? 4 people?

How much will the extra people cost you? If you leave out extra towels for them, there’s the laundry cost and the wear and tear. (I assume that the bedlinens from both beds would be laundered at every turnover anyway so no extra cost there).

Our water isn’t metered but if yours is, then there’ll be extra for showers, loo flushing plus toiletries etc. and what about breakfast? Do you provide it? Arrival snacks? Are there any other things you provide that you’d be doubling up on for more people? For instance, we supply things like disposable slippers, bathrobes, beach towels and would have to allow for the slippers cost and the extra laundry.

Then there is wear and tear on the property and all the furniture and fittings. Bear in mind too that if your insurance company is basing your STR insurance fee on two guests, they may increase the charge if you go up to four.

Only you and your accountant can know what tour extra costs and your wear and tear allowance should be when determining your fee.

In order to draw in more business… I have two listings… one for a 1 bdrm location and the other is a 2 bdrm location. Yes it does mean investing in a bdrm door lock but it has been profitable for us.

1 Like

I have a two double bedroom suite with its own Jack&Jill bathroom; each room has a separate entrance/staircase. This is in our home, where we have another listing, and a large guest dining room. I let it from two people up to four in all sorts of combinations, although no children under 10. I get bookings from two people who each want a room, four friends who will share a bed, parents travelling with an older son/daughter, or two couples happy to share the same bathroom room. I charge £25 pp over one person, which seems to work. The one scenario I got caught out by early on was two people booking for one night and using both rooms. After laundry, cleaning and breakfast costs, I scarcely broke even. I then put in my HR that one nighters x 2 pax x 2 rooms should book for three people to cover these costs, but this was always ignored until I messaged back re HR.

I changed to a two night minimum booking after building up sufficient reviews.

1 Like

I have separate listings as well for one or two bedrooms. The price difference is $15-25 base plus $10 cleaning fee. I also charge $20/guest over one so it works out pretty well to cover expenses whether it’s one person using two rooms, two people using one or two rooms, or multiples using one or two rooms.

1 Like