Pricing is where hosts leave the most money on the table.
The Pricing Framework
Base Rate Calculation 1. Find 10 similar listings (size, amenities, location) 2. Calculate median nightly rate 3. Adjust for your differentiators (+/- 5-15%) 4. This is your weekday base rate
Day-of-Week Adjustments - Friday/Saturday: +20-40% - Sunday: -10-20% - Thursday: +5-10% (weekend starters)
Seasonal Adjustments - Peak season: +30-50% - Shoulder season: 0% - Off-season: -15-25%
Event Pricing - Major events: +100-300% - Holidays: +40-80% - Local events: +20-50%
The Occupancy vs Rate Tradeoff
Myth: "I'd rather be full at lower prices."
Reality: A 70% occupied property at $200/night earns more than 95% occupied at $130/night.
$200 × 21.7 nights = $4,340 $130 × 29.5 nights = $3,835
Optimize for revenue, not occupancy.
Frequently Asked Questions
How do I price my Airbnb competitively?
Analyze similar listings within 1 mile with same bedroom count and amenities. Price within 10% of the median, adjusting for your unique features.
Should I use Airbnb Smart Pricing?
Smart Pricing tends to underprice. Use it as a floor, not a ceiling. Manual adjustments or third-party tools typically yield 15-25% higher revenue.
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