Do you own a property in Switzerland, or do you have a spare room in your house?
Have you ever considered renting it out for short-term stays on platforms like Airbnb? No? Big mistake!
The benefits of Airbnb for tenants are well known, but what does Airbnb have to offer to Swiss property owners, the hosts?
In this article, we will explain the advantages of renting out a property on Airbnb in Switzerland.
Additional Income
Renting out rooms or apartments on Airbnb in Switzerland can supplement your income, but it must be done correctly.
The internet has created many opportunities for enterprising individuals to earn additional income, and that is a fact. When you rent out a property on Airbnb in Switzerland, you become an entrepreneur in the short-term rental business.
However, the amount of income you generate from your Airbnb activity depends heavily on how well you manage your property. You need a high-quality listing, an optimal pricing strategy, and to offer an outstanding guest experience.
Besides the extra income you can already earn by renting your property on Airbnb, there are many ways to significantly increase this revenue with additional services. For example:
- Offering an airport pickup service;
- Providing local products such as wine, Valais platter, raclette, etc.;
- Organizing outings: gourmet restaurants, castle visits, vineyard walks with wine tastings;
- Luggage storage, etc.
More Flexibility with Short-Term Rentals
Many of our clients prefer short-term rentals.
The main reason is simple: imagine you own a mountain chalet, and you also want to use it for a few weeks in the summer or winter, right?
You also want to enjoy your chalet?
If you rent out this chalet in the traditional way, with a long-term lease of one or two years, once your chalet is rented out, you can no longer use it.
Additionally, you expose yourself to the risk of unpaid rent and, in some cases, the need to evict a tenant for various reasons.
With short-term rentals, you can use your property whenever you want and there is no risk of unpaid rent.
Unmatched Profitability
Let’s be clear: the profitability of renting on Airbnb in Switzerland is higher than that of traditional rentals.
Roughly speaking, an occupancy rate of 30 to 40% via Airbnb allows you to match the income of a long-term lease.
If you achieve a 70% occupancy rate, you can almost double your annual income compared to a long-term lease. *These amounts depend greatly on the location of your rental property.
In Valais, for example, occupancy rates in resorts such as Verbier or Nendaz average 60%.
The average rate of 60% is usually achieved by individuals renting out their property themselves, without any particular skills, let alone professional expertise. Thanks to our experience and Superhost status on Airbnb, we know how to highlight your property, make it attractive, and write a listing that entices bookings.
Thanks to all this work, we often exceed the average rate and can significantly increase your profitability.
Let’s take an example. You own a chalet in a ski resort that accommodates 4 people (2.5 rooms), which you rent for 80 CHF per day at an average occupancy rate of 60%.
This gives you an annual return of 80 * 360 * 60% = 17,280 CHF, or 1,440 CHF per month.
The Benefits of Delegation
By delegating the management of your rental property to us, we can quickly achieve an occupancy rate of 80%. We can also increase the average daily rate by about 15%, to 90 CHF per day.
This will significantly increase the return, as shown in the following calculation: 110 * 360 * 80% = 31,680 CHF.
Even after deducting the 20% commission from Le Concierge des Hôtes, the remaining amount is 25,344 CHF, or 2,112 CHF net per month. The increase is 17.3%.
However, it’s important to highlight a crucial detail: by delegating this management, you no longer have to do anything! Communication, personalized check-in (the “personal touch” that makes Airbnb special), cleaning, linen replacement… we handle all these time-consuming tasks for you.
The revenue increase is indeed 17.3%, but in addition, you save all the time that rental management used to take.
So, how much does the real increase amount to, in your opinion?
Airbnb in Switzerland: More and More Business Travelers
There are generally three types of travelers on Airbnb:
- Tourists,
- Couples looking for a romantic weekend,
- Business travelers.
More and more often, professionals need to travel to major companies or industrial sites. In such cases, they prefer renting an apartment rather than staying in a hotel.
It makes sense—they get access to a kitchen to cook whenever they want and a living room to relax, rather than just a bed.
Recommended reading: How to equip your Airbnb kitchen?
Business travelers have different needs compared to other types of travelers.
Why not tailor your apartment to suit these travelers by providing small extra amenities such as a hairdryer, a washing machine, or an iron and ironing board?
These travelers are likely to stay for several weeks or even months, providing you with income that may be lower per night but consistent.
At Le Concierge des Hôtes, we are experienced in hosting these travelers and understand their habits well.
We have also established relationships with large companies in Valais that frequently hire professionals on temporary assignments. When these companies need accommodation quickly, they contact us first. This way, our managed properties, often in cities, are regularly rented out to these travelers.
Airbnb in Switzerland: Damage Insurance
Another advantage of renting out your property in Switzerland on Airbnb is damage insurance.
Damage can unfortunately happen. Most of the time, it’s minor, but if more significant issues arise, how can you ensure they will be covered?
The answer is simple: Airbnb provides a host guarantee to all hosts.
No worries—as a property owner, you are protected against property damage thanks to Airbnb’s host guarantee, which covers damages up to 1 million USD.
