This is how much SA property owners earn on Airbnb

BY BONNY FOURIE bronwyn.fourie@inl.co.za

The average rate of around R850 a night upwards and, in some cases, as much as R100 000 in peak season is helping cover household bills and daily expenses

MORE than R100 million in nine months is what new South African Airbnb hosts collectively earned last year, the short-term rental giant says.

And with inflation and a rising cost of living, it’s no surprise that earning extra money and saving more in 2023 are near the top of many New Year’s resolution lists.

From January to September last year, new Airbnb hosts in the country earned more than R115m.

“We may only be a few weeks into the New Year, but many soon-to-be hosts are wasting no time listing homes in 2023,” the company says.

“New insights from Airbnb show that about 15% of South African hosts that became active last January went on to become Superhosts.”

Benita, a new Airbnb host in the Western Cape, recently listed a space in her home. Her daughter moved out of the house to study and this created an opportunity for her bedroom to be converted into an Airbnb listing.

“I think we’re all noticing the rising cost of living, and having the additional income has certainly helped us pay bills and other everyday costs.”

Referring to this past holiday season in South Africa, Arno de Wit, of Pam Golding Properties Property Rental and Management for the City Bowl, De Waterkant, and Foreshore, said average holiday lets on the Atlantic Seaboard varied from R1 500 to R6 000 a day for apartments, and R9 000 to R50 000 a day for villas.

Nick Pearson, the chief executive of Tyson Properties, states though, that the price of short-term lets along the Atlantic Seaboard varies drastically, depending on the property and the time of year.

“The average rate is somewhere around R10 000 per day, however, this price escalates in peak season. The most expensive I know of is a rental that Tyson Properties concluded in excess of R100 000 per day.”

In November, James Carney, a Double Diamond agent at Tyson Properties Atlantic Seaboard, said studio apartments in Sea Point ranged upwards of R850 a night for off-season rentals, and normally reached R1 500 a night in peak season.

“A modest four-bedroom home in Camps Bay can reach up to R25 000 per night over summer, and more modern homes in the same area have fetched R70 000 per night.

“Large villas in Clifton and Bantry Bay usually fetch the highest nightly rental rates which, ultimately, go back to the value of the property. I have concluded rentals for over R100 000 per night for two-week rentals in Clifton, however, if clients want services added, such as private chefs, drivers, security, etcetera, then this nightly rate swiftly increases.”

While Ross Levin, the managing director for Seeff Atlantic Seaboard and City Bowl, says flats in Sea Point and the CBD are more affordable, at R2 000 to R20 000 per day, the average for the Atlantic Seaboard is around R15 000 to R30 000 but can go as high as R500 000 a day for a super luxury villa in the likes of Clifton.

“These, however, are rare and often tend to be international bookers usually paying in dollars, euros or pounds, although wealthy South Africans have been known to pay as much as R100 000 per night for a super luxury home on the Atlantic Seaboard.”

The KZN South Coast also remains extremely popular for its “fabulous” weather, many Blue Flag beaches and holiday friendly coastal towns and villages, says Joleen Giraudeau, the manager for Seeff South Coast. It is also very accessible for inland visitors and only about one to two hours from Durban.

She says the average rates are around R1 300 to R3 000 a night.

Sabrina Errico, Lew Geffen Sotheby’s International Realty broker principal in Ballito and uMhlanga, says the average rental is between R700 and R2 000 a night out of season, and between R1 500 and R4 000 in peak season.

“The rates can go as high as R8 000 to R10 000 per day for upmarket houses and larger apartments.”

Pearson adds, however, that if you are buying a holiday home that you want to rent out when you are not using it, you must do your homework.

Renting out your home or space in it, is one way you could make extra money from your property this year. PICTURE: JULIE HOLMES/PEXELS