Best Airbnb Business Locations 2022

Start Growing your
BNB Business Today!

Get inside access to our professional courses, hosting community, and much more!

What's up guys, it's James here. And in today's video, we're gonna be talking about the best Airbnb business locations for 2022. Every year, I make a video like this, and you guys seem to really enjoy them year after year. So I want to do another video like this, since the last one I did was back at the beginning of 2021. Now a few things have changed, we've seen a lot of market fluctuations happening throughout 2021. And for the most part, there's actually a lot of similarity between the properties and the areas that are doing the best in 2021. And the ones that are doing the best in 2022, with the one exception of that they're doing quite a bit better. And so, without further ado, let's jump into it. Now, before we do, I just want to remind you that there is a link down the description below where you can check out our free training on how to build an Airbnb business, how to earn $100,000 a year more earn six figures, managing other people's properties without having to buy rent or furnish any property. So without putting any of your money down. You can build $10,000 a month in income from managing other people's properties on Airbnb, how do you do that link in the description below for our extensive in depth free training, that'll teach you exactly how to do that step by step as well as give you some tools. Now if you are interested in investing in properties for Airbnb, we also have a link down below in the description for that. But this this video, we're really going to be talking specifically about managing other people's properties for Airbnb. And so the link for that training is also in the description down below. Now let's jump into it. What are the best markets to get started in? Well, me I like to look at and think, Okay, what is the easiest way to get the desired result. And the desired result for most people is to replace your day to day job, your income from your nine to five, whatever that may be. And so if I look, what's the easiest way to do that, it's generally going to be to work with fewer property owners versus more property owners with one exception of if you're doing pre check and management, which I'm going to touch on later on in this video as well. If you're doing full service management, which is more typical, then that's generally going to be something where I would recommend you focus on a more rural area. The reason for this is if you can focus on larger properties in a more rural area, then the value for the property owners tends to be massive because the amount of additional income these properties can bring in on short term rental versus long term rental is huge, the gap is massive, a lot larger in more rural areas than it is in more densely populated urban centers, where the long term rent rates are a lot higher. So you can get a lot of value created for the property owner, which means they're more likely to want to work with you, it's generally a lot easier to pick up clients in these types of markets. And the big advantage is that there's a lot more large properties to choose from generally you don't have a huge populace of condos, things like that. So there's the average property tends to be a lot larger in those areas. And the income potential is just massive. You know, I've talked about a bunch on this channel how I currently own and managing a property that is a four bedroom, six story six bedroom property, there's four bedrooms upstairs and a few downstairs. So six bedrooms total, not property is just a pretty regular property out in a rural area outside of the downtown core of Toronto about two hour drive, and not properties bring in $150,000 in its first year. That is insane. That means that for a property manager who's charging a 20% management fee, they be able to earn $30,000 in management fees on that one single property. It's not a crazy property, it's not incredible. Now, if I didn't have the expertise and the knowledge that I have around Airbnb, I would definitely be hiring a property manager for that area. And with $150,000, that means that I would still be profiting a ton on that property, you know, the long term rental rate you get for that property would be way lower about 2000, maybe a little bit more per month.
So I'd still have plenty of margin, our property manager, they would still make really great money. And there's so little competition because it is in a more rural area that I actually have looked into hiring a property manager to get things totally taken care of totally off our plate. And the reality is there just wasn't anyone out there that could do a good job of it. There are only a couple options to choose from. And they were mostly pretty antiquated in the way they ran their business. And so there's just a huge, huge opportunity in those more rural areas. Now, that being said, I don't recommend just going to any rural area at all, the key things to consider are number one, how close is it to a large populace, a large group of people. So generally, within about two to three hours of a large, densely populated urban center tends to be really, really great. So if you can be outside of Toronto or outside of New York or outside of LA, in a more rural area, that's going to be a really great area in most cases. Now the other thing is if there is a specific draw to the area that you're looking to manage properties in that has people driving further different distances. So for example, there's a huge national park there or there's a lot of lakes there. There's a mountain there, those areas tend to do a lot better because there is that big draw. So if you take an area like for example, Gatlinburg were in Gatlinburg, Tennessee, pretty rural a couple years ago, not many people would have known about it. But it's a huge vacation destination. Now, because of the national parks there. Because of the beautiful hiking, there is the mountainous area like Scott a lot going for it that draws people in. And again, those properties can quite easily generate 100 150, even $200,000 a year mean that a property manager can make a six figure income with just three properties under management. Now, you know, if you, if you think about that, it's really incredible, the amount of effort that it takes to manage three properties is quite low, the amount amount of effort to take to get the business to that point is quite low, it's quite easy to do. Now we have students that will grow their business in their first year to over 30 properties. So just imagine that you can very quickly be earning a very, very substantial monthly income from just managing a few properties. So that will be my number one recommendation, if you're going the full service route, if you're going the route of pre check and management, then you're typically going to want to work with investors, which you can do it either way. Now, I have seen people manage properties in areas like the Poconos, different vacation rental markets, for investors, where there, it's just that a lot of the time, those areas tend to be more full with vacation rental property owners. And so if you're familiar with the idea of pre check in management, the what I talked about on this channel is that pre check in management is where you're managing properties just before the guest checks in, so the majority of what you're doing is really going to come down to pricing optimization, and listing optimization and a little bit of guest communication. So with that in mind, the main value add is going to be for investors for two reasons. Number one is that for an investor, that return section is very important to them, obviously. Whereas for a vacation rental owner, it's also about maintaining the property, a lot of the times they have that as kind of a pain point. So investors tend to be more drawn towards that pre check in management. And specifically, what I found is that investors who have a portfolio of 345 properties or more tend to be really drawn to it, because they are the ones that tend to already have a cleaning team in place have maintenance people in place. So for them being able to use the clean team they already know like and trust us the maintenance people that they already know like and trust, that's actually a benefit for them, and so on you're and that means that you're only managing the elements of the property management that happened before the guest checks in which is very minimal, really easy to do that remotely because there's no actual benefit of you being on the ground. So that's a really big advantage there.
And so you can manage a lot more properties with, you're obviously gonna be charging a lower management fee, but you're doing a lot less work for each property. So growing your business is going to be a lot as in terms of the number of properties is going to be a lot quicker and easier with precheck. And management. From an income standpoint, you're going to be earning less income per property. So it ends up being about the same growth rate when you actually look at the income that you're earning in management fees. Now, that being said, if you are going to go the pre check in route, I would still highly recommend you look into these more rural markets. But don't shy away as much from the downtown markets, because that's where you tend to find a lot more of the investor groups, a lot more investors flocked to a little bit more urban areas as opposed to those more rural areas. That being said, again, as short term rental investing specifically grows more and more popularity, we are seeing a lot more people investing into the secondary markets. And that being said, I would still recommend at this point for 2022, if you are going to be going towards more urban areas, that you look for urban areas that have a draw of domestic travel, because air national travel is obviously still quite limited. So if you're going to manage properties in an urban area, you might want to look at somewhere where you know, domestic people will come to you whether that's for business, whether it's traveling healthcare workers, or whether it's people that just come in from around that area and look to stay in the city center. But do you have an area that draws a lot of international tourism? That's not going to be great, because obviously international travel is quite limited still in 2022. You know, time will tell how that's going to change but that's my recommendation for 2022. Right now the best areas to manage robberies are going to be in rural areas that have a draw to them that are outside of a major urban center ideally, or if you're going to pre check in route looking at urban centers, but making sure that the main draw to those areas is not international travel. Oh, there's been a really valuable video for you. Let me know if you have any thoughts questions, comments concerns in the comment section down below. Also, make sure that you check out that training that's linked in the description down below if you want to learn the whole a to z the whole entire process for how to earn a full time income managing other people's properties on Airbnb. Last but not least, make sure you like this video and hit the subscribe button so you can stay up to date and help this channel grow even further. And with all that being said, I hope you have a good esterday I'll see you in the next video.