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Holiday Rental Issues real estate agents charges

Re Holiday Rental

It has recently come to my notice that when listing a holiday rental property through a real estate agency the agencies or many of them outsource the listings through Airbnb and Stayz etc.I expect this also happens when the property manager controls the holiday rentals in a high rise apartment block

Airbnb charge the guest a booking fee and cleaning fee which normally goes to the owner but in this case the real estate agency is the client so the fees would go to the agency.

The real estate agency charges their clients ( the owners) a commission plus cleaning fee so in fact the agency is getting paid a cleaning fee by the guest plus also charging the owners a cleaning fee. The agency would also receive a booking fee from Airbnb and also charge the owner’s commission.

The guest then in fact is paying a lot more through booking through AirBnB than directly with the agency. The agency is also benefiting by being paid twice for cleaning plus charging owners commission and also receiving a fee from AirBnB.

The real estate agency does not disclose these details to the owners and the owners are unaware if the bookings were made directly with the agency or not.

The agents should be making full disclosure to their clients, the owners.

I suggest that Choice might investigate this and see if it is wide spread in the property holiday rental market.

2 Likes

Hi there. It was recently brought to my attention that the property we let out through our managing agent is also advertised at a hugely higher daily rate on Stayz Home and Away. I queried the agent whom I trust pretty much and was encouraged by him to let everybody know to book through the original property link. It sounded to me as though companies are being bought out so that it is one big monopoly and pressure is being put on small players. He now has to provide photos of very high resolution and if they don’t like your photos, Stayz won’t put them up. Stayz seems to get a big cut from everyone. My agent thinks that people who are time poor will pay those prices rather than research however, it seems to me that it would be easy to be put off by the high prices.
Importantly, the agency has to send back a remittance to Stayz after the guest has stayed so the agency doesn’t get to keep the extra money. I am sure someone else could explain it much better than me.
I know I am locked out of my own property right now due to state border closures so will holiday elsewhere and will definitely not be using Stayz. If I look there and find something, I will be dealing with the property source for a much better rate. All consumers should be made aware of this.