Consumer Reports Finds 92% Of Americans That Booked An AirBNB-Liked Service Would Do It Again

Fans say homestays make the trip more authentic and affordable, CR offers five ways to increase the odds of a happy stay

A recent nationally representative survey by Consumer Reports, the independent not-for-profit consumer organization, found that 92 percent of Americans that have booked a home-sharing service like Airbnb or AwayHome, say they are likely or very likely to do it again.   

           

The Consumer Reports’ National Survey Research Center asked more than 2,000 American adults about their experience when using home-sharing services. Overall satisfaction levels amongst respondents that have used a homestay service were very high with 37 percent indicating their experience was “good” and 53 percent saying it was “very good.”  The survey found that some reasons why homestay fans use the alternative-to-hotel experience are to save money (70%), to have unique accommodations (58%), and for the availability of a kitchen (53%).

“While home sharing services may offer consumers a chance to save money on a unique experience, services and consumer protections vary,” said Lauren Lyons Cole, CFP and Consumer Reports money expert. “Travelers should be aware of what they are getting into before opting for a vacation rental.”

While CR’s survey found many of respondents who have tried a homestay have had no problems (65%), there is still some hesitation from many Americans. The survey revealed nearly 90 percent of Americans say they haven’t booked a homestay.  Among the respondents that wouldn’t consider it (53%), some 57 percent say it’s because they don’t know what to expect, 55 percent have safety concerns, and 40 percent say they don’t want to interact with homeowners.

However, the allure of finding that unique cultural experience is enticing for many of Americans. Almost 75 percent of respondents that have never used a home-sharing service (but would consider it) told CR they would consider doing so to experience the local culture.

For more survey results on home sharing services or to get CR’s complete report on “Homes Away From Home” visit CR.org starting May 3rd.

When comparing the largest services:  Airbnb, HomeAway, and TripAdvisor Rentals, Consumer Reports found that Airbnb offers the largest number of properties in the United States and across the globe. Company protections and policies vary, and so do the additional fees.  Airbnb charges between 6 to 12 percent in service fees and HomeAway charges 5 to 12 percent. TripAdvisor Rental tends to charge a higher service fee ‒ between 8 and 14.5 percent.

For travelers looking to increase the odds of having a happy homestay experience and  choosing  to  book with a home-sharing site instead of a traditional hotel, Consumer Reports offers the following advice:

• Compare prices carefully.  The per-night or per-week price you see in search results is only part of the total cost. Check the listing for the service fee, which can add up as well as additional cleaning fees, which can vary as much as the properties themselves, depending on the size of the rental and the length of stay.
• Read between the lines of the reviews. Because the average Airbnb rating is 4.7 out
  of 5 stars, it’s essential to read reviews with a critical eye. If something is the slightest bit negative, pay attention, as people have different ways to describe their complaints.
• Choose a property that has many reviews. Airbnb’s “Superhosts” have hosted at least
  10 times in a year and received a 5-star review for at least 80 percent of stays, so listings with that status are a good bet.
• Leave nothing to chance. Manage your own expectations by double-checking everything from how many people can shower before the hot water runs out to whether or not the kitchen has a microwave and a coffee maker. Available amenities such as WiFi will be shown on the listing, but if you don’t see something, don’t assume it will be there.
• Negotiate a discount. If your favorite option is a bit rich for your budget, try your luck at asking for a discount.

For more helpful tips and advice on how to make the best of your homestay experience  pick up a copy of the Consumer Reports June 2017 issue, on newsstands starting May 9th.

Consumer Reports 2017 Survey Methodology

In February 2017, the Consumer Reports National Research Center conducted a nationally representative survey of 2,023 U.S. residents to assess the opinion of Americans regarding homestay services. Respondents reported on homestay experiences in the past 3 years. Respondents were selected by means of random-digit dialing and were interviewed via phone. The data was statistically weighted so that respondents in the survey are demographically and geographically representative of the U.S. population. The margin of error is +/- 2.2 percentage points at the 95% confidence level.

About Consumer Reports

Consumer Reports is an independent, nonprofit organization that works side by side with consumers to create a fairer, safer, and healthier world. For 80 years, CR has provided evidence-based product testing and ratings, rigorous research, hard-hitting investigative journalism, public education, and steadfast policy action on behalf of consumers’ interests. Unconstrained by advertising or other commercial influences, CR has exposed landmark public health and safety issues and strives to be a catalyst for pro-consumer changes in the marketplace. From championing responsible auto safety standards, to winning food and water protections, to enhancing healthcare quality, to fighting back against predatory lenders in the financial markets, Consumer Reports has always been on the front lines, raising the voices of consumers.

Travelore Tips: The Beginner's Guide To Airbnb

Airbnb is an online marketplace that allows people to rent or sell lodging. Users all over the world have jumped on board.

The public can advertise spaces available for a short stay and in turn, Airbnb allows customers to rent out those spaces, which could be available anywhere from a couple of days to a month. There are literally hundreds of thousands of available spaces, from apartments and houses to castles, treehouses and boats. More than 34,000 cities boast 550,000 rooms globally.

In 2007, cofounders and roommates Brian Chesky and Joe Gebbia couldn’t afford rent for their San Francisco apartment. Thus, they created a website and offered to rent out space in their apartment; they got three people — and an idea was born. Five years later, the company is nearly worth a $10 billion.

Here are the steps to our Airbnb guide.

Setting up

Joining Airbnb is free for everyone, whether you’re looking to sell or rent a space. You can either create a login and account with your email address, or you can connect Airbnb to your Facebook or Google+ account.

There are many ways to fill out your profile. However, there are different requirements for both renters and hosts:

• Hosts: You must add a profile picture. There are also various verification options, which help prove to potential guests that Airbnb has vetted your account and proven your legitimacy. You can verify your phone number via the steps provided on Airbnb’s site. You can also verify your ID, which means you’ve provided Airbnb with a verified email address, phone number, profile picture and ID.
• Guests: In some instances, guests may be required to have a verified ID. If you’re making a last-minute reservation, you’ll have to get verified. Airbnb also randomly samples users and asks them to verify their IDs.

Guests and hosts can also write and receive reviews, which are limited to 500 words. If you wish, you can post a response to a review. For hosts, the response will show up under a listing; it’ll show up under a profile for a guest.

How to rent

After you log in, go to Airbnb’s homepage. It will prompt you to search for a location, a beginning and end date, and the number of guests looking for lodging.

The site will then pull up all the available listings. If available, you can further specify your requests, such as looking for an entire apartment, a single room or a shared room, as well as maximum and minimum pricing.

Once you see a space that interests you, there are a few options for the next step:

• Add it to your wish list: This is helpful if you like the place, but aren’t sure yet if it’s the one. It’ll get saved onto your wish list so you can revisit it.
• Contact host: This option allows you to reach out to the host with any questions or concerns. If want more information about the space from your host, feel free to contact him or her.
• Request to book: If you’re set on a place, you can make a request to the host to book it for you. That automatically takes you to the payment page, on which you put down your credit card information and can also write the host a little message about yourself.

If you see a place that seems sketchy, you can flag it. This will alert Airbnb moderators, who can check up on the space.

How to sell

Once you have an account set up, you can go to the homepage and select “List Your Space,” located in the upper righthand corner. It will prompt you to specify space details, such as the home and room type (for example, an apartment with one available room), as well as location and how many people you’re willing to accommodate.

Now it’s time to fill out the details. From there, you can set up pricing per night, write an overview of the space, list amenities and add photos.

For those lacking photography skills, Airbnb has a team of photographers who will come and snap professional pics of your space, free of charge. Anyone with a verified email address and phone number is eligible, though the service isn’t always available.

Once someone sees your space and decides to rent it, you’ll have total control of guest approval.

Payment and expected fees

Pricing at Airbnb is completely conducted by the hosts. The payment options vary, but theyinclude major credit, debit and prepaid cards, PayPal, and Google Wallet.

Here are the fees you can expect as a guest:

• Security deposit: Guests will have to pay a security deposit, which is set by the host. That’s to help cover incidents incurred during a stay, such as a broken item or unreturned key.
• Service fee: Airbnb charges guests a 6% – 12% fee whenever they book a service.
• Cleaning fee: Hosts have the option of charging this in order to clean their space for a guest.

Here are the fees you can expect as a host:

• Service fee: Airbnb charges hosts a 3% fee for services rendered on its site. It will be taken out of the reservation subtotal.

Hosts can receive their final payment in a variety of ways: ACH/direct deposit, bank transfer or international wire, PayPal, Western Union, Payoneer, or mailed check.

Legal concerns

There are quite a few cities up in arms about Airbnb’s casual approach to the travel industry. The State of New York is against Airbnb because it enables people to make money without paying hotel taxes. In addition, landlords do not want to be held liable for incidents that occur from people who are not legally tied to the home.

In addition, New York lawmakers say using Airbnb could be in conflict with your leasing agreement, and is contributing to the rising cost of living in New York City. San Francisco, Montreal, Berlin and other major cities are on the same bandwagon.

There have also been a fair number of crimes in Airbnb-rented spaces. According to Fox News, here are a few notable ones:

• A woman rented a home in Oakland, California, but turned out to be a meth addict. She trashed the house and stole the homeowner’s birth certificate.
• A San Francisco woman renting out her apartment came back to find it totally wrecked. Her camera, iPod, laptop and external backup drive were stolen, her kitchen was destroyed, and furniture had been creepily rearranged.
• Two women in Stockholm who rented out their apartment for one month came home to find out it had been used as a brothel.

Helpful tips

Airbnb does not conduct background checks on anyone who uses the service. However, there are millions of people who have successfully used the site as both guests and hosts. It’s important to utilize the reviews and responses offered by the site. Airbnb also has an incredibly detailed help center, which can guide you as you use the site for the first time.

Do you have any airBnB stories to share?

This article has been adapted and originally appeared on Mashable.

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