First, we create for you a professional proposal to send your landlord, including the suggested revenue split you have set. Second, we track your landlord’s response and help you get approval. In order to get approval, your landlord may include some limitations on your hosting in their building, such as guest occupancy limits, etc. Once your landlord approves, and the terms are acceptable to you, we prepare for both of you a lease addendum authorizing you to host directly on Airbnb.
Third, after you get paid by Airbnb from your first booking, Letulet invoices you the amount you owe your landlord’s account according to your agreement, including Letulet’s processing fee. Lastly, both you and your landlord can keep track of your hosting calendar and Landlord Invoices within Letulet. This is so your landlord can know when guests are expected in the building.
Letulet is an official API Partner of Airbnb. This means we are tied into their system in order to facilitate revenue and calendar sharing with your landlord. Once you have the agreement with your landlord in place Letulet will walk you through the steps to connect your Airbnb listing with Letulet. If you don’t yet have an Airbnb listing, just simply set one up for the place you intend to host and Letulet will be connected to that listing.
No, Letulet exists in the background and will not influence your listing in any way. We are only tracking two key items 1) when you are paid each Airbnb Payout (so we can facilitate the payment to your landlord their agreed upon share) and 2) your calendar (so the landlord can know when guests are expected in the building). Once Letulet is connected to your listing, it is just a “set it and forget it”, service, so you can just focus on being a great host.
Letulet charges a flat 4.5% processing fee on you Hosting Profit after it is paid out to you by Airbnb. Your Hosting Profit is the total sum of your nightly rate times number of nights booked less Airbnb hosting fee.
An Example: Let’s say after a booking and Airbnb’s fee you received a Payout from Airbnb of $1000.00. But out of that you had set a $200 cleaning fee for your booking. Your Hosting Profit would be $800. Letulet will charge a 4.5% fee on $800
In our example, $36 would be the Letulet processing fee, ($800 X .4.5% = $36).
Once Letulet’s $36 fee is taken out, then the remainder of the funds (in our example: $764) are subject to sharing with your landlord. If your agreement says you will pay 20% of your profit with your landlord, that would be $152.80 due to your landlord, ($764 x 20% = $152.80).
So, in our example, you keep your $200 cleaning fee, and 80% of the Hosting Profit ($611.20). That means in total you will receive $811.20 total ($200 + 611.20)
In summary, using the $1,000.00 example above:
- you keep $811.20.
- Letulet will receive $36.
- And your landlord will receive $152.80.
By the way, all of these calculations made automatically by Letulet and the amount you owe your landlord, along with the Letulet fee, will be invoiced to you after each Payout. You don’t have to keep track of what you owe your landlord; it’s all done automatically for you by Letulet. Your landlord’s percentage and Letulet’s percentage are usually considered “ordinary and necessary” expenses to operate your rental business and are possibly deductible. Letulet recommends you check with an experienced accountant to confirm what is applicable to your specific situation.
No. Your cleaning fee is yours to keep. You will only share your Hosting Profit with your landlord. In other words, we do not charge our Letulet fee based upon your cleaning fee or split your cleaning fee up with your landlord.
Letulet will try and advocate on your behalf and keep you informed of their response. We speak “landlord”, so we will do our best to convince your landlord that letting you host is a win-win.
There are many different laws governing short-term rentals depending on your local area. The best place to find out about local laws that apply to you is by checking Google for “Airbnb regulation information page”, then find your city. You can also check Airbnb regulation information page in your Airbnb listing under “Your City’s Regulations”. Letulet provides you with a written addendum proving you have the approval of your building owner as if often needed to comply with local laws.
Key exchange with your guest is up to you as a host. Sometimes your landlord will have rules regarding building access. There are several third-party services that other hosts are using that can help with this. Letulet likes KeyCafe (www.keycafe.com), and encourage you to check them out.
Letulet monitors the Airbnb activity of your tenant and will know when your tenant has been paid for hosting their space on Airbnb. Letulet will then invoice your tenant automatically for your share of that amount, and deduct that amount from their bank account and deposit it to the account you provided to Letulet. After you have received your funds, your dashboard is updated to indicate that you have been paid and the transaction has completed.
There are many different laws governing short-term rentals depending on your local area. Letulet provides you with a written addendum proving you have given the tenant permission to Host on Airbnb as if often needed to comply with local laws. The best place to check what laws effect your area is found on Airbnb’s site.
Federal, state, and local laws prohibit discrimination in the provision of housing services. Letulet recommends that you make Letulet equally available to all tenants in the same building. Letulet recommends that you consult with an experienced attorney if you do not intend to make Letulet services equally available to all tenants in the same building.
In most cases, Yes. However, a small number of communities have local rent control ordinances regulating the creation and removal of housing services. If your property is located in a community subject to rent control, Letulet recommends that you consult with an experienced attorney to determine whether Letulet is a housing service subject to local regulation.
How much you as a landlord will make depends on how many units you authorize through Letulet, the revenue split you agree to with each tenant and the pricing demand for your tenant’s unit.
For example, let's say you allowed one tenant to host Airbnb through Letulet, and you agreed to take 20% of the profits as the landlord portion. On average a booking yields approximately $1,000. Letulet charges the tenant a 4.5% processing fee on that amount for its service ($45). So in this case you get 20% of the remaining amount, which is $191.00. Letulet makes sure to deduct that share from your tenant's bank account and deposit it into your account right away, so that you are assured to receive your funds.
Now the bigger bucks. Let’s say your tenant book one time per month, you multiply that payment based on that one Airbnb Payout by however many tenants you have using Letulet and your monthly returns grow based on that multiple. That’s where the money can really add up.
In most cases, Yes. Letulet gives you the power to shut down the Letulet account by providing Letulet and the tenant 30-day notice. Your tenant might have reservations that extend out beyond the 30 days where canceling Letulet might negatively impact them.
However, a small number of communities have local rent control ordinances which regulate the creation and removal of housing services. If your property is located in a community subject to rent control, Letulet recommends that you consult with an experienced attorney to determine whether Letulet is a housing service subject to local regulation.
Airbnb provides insurance intended to protect against the increased risks created by short-term rentals. Letulet recommends that you review the insurance available through Airbnb: Airbnb's $1,000,000 Host Guarantee and $1,000,000 Host Protection Policy. Some General Liability Policies and Apartment Owner’s Policies may prohibit short-term rentals. Letulet recommends that you consult your insurance policy before using Letulet.
A small number of communities have local rent control ordinances which regulate the creation and removal of housing services. If your property is located in a community subject to rent control, Letulet recommends that you consult with an experienced attorney to determine whether Letulet is a housing service subject to local regulation.
Key exchange with the guests is up to you and your tenant to decide. It is recommended that you ask your tenants to use a key exchange program that is secure. There are several third-party services that other property owners are using that can help with this. Letulet likes KeyCafe (www.keycafe.com), or (add another?)and encourage you to check them out.
Yes, Airbnb does a background check of their guests using databases of public state and county criminal records, as well as state and national sex offender registries on U.S.-based guests.
Further, Airbnb will automatically link a Guest's record to their social media accounts on Facebook, Twitter, and Guest's reviews for previous Airbnb stays are available to a Host. As always host's are free to collect extra security deposits from their Guests.