What is Homestay | All About Homestay Business

Travelling is fun but leaving your home and family to travel to a new, unfamiliar place can be wistful. Every year thousands of hundreds of people have to relocate due to work or studies. With the excitement of a new start comes the sickly feeling of leaving your family behind and the stress of costly accommodations. If you see eye to eye here then Homestay is your thing. A somewhat homelike feeling in a pocket friendly way is how I define homestays. To make “what is homestay business” more understandable this blog is curated for your aid.

WHAT IS HOMESTAY?

A form of hospitality and lodging, quite popular these days, offered by the locals of a place. The local family is the host that welcomes the visitors as their own guests and treats them accordingly. The room given to the travellers can be either in the house of the host or it can be a nearby independent quarter. Homestays are popular in India as people here make every effort to please their guests, justifying the saying “atithi devo bhava”. The main motive of homestay is to give the travellers an affordable and homely place to stay which is away from the urban crowd. It allows the travellers to get to know the culture of a place more closely.

HOMESTAY TOURISM

The concept of homestay tourism is in bloom. People travel from one place to another for business, work, study or for the sake of refreshment. This promotes tourism of the countries. Homestay tourism is a concept in which the travellers lodge in a house away from urban crowds and close to rural areas. They get the opportunity to live with the locals, to be a part of their day to day life. The experience is very exhilarating and is a newly discovered one for the visitors. Nowadays homestay tourism us preferred to other digs like hotels and motels making it a good option for business as well.

WHAT IS HOMESTAY BUSINESS?

If hosting is your thing and you want to make money with less investment then homestay business is for you. What is homestay business? The concept is quite simple and similar to that of bed and breakfast. You have a spare room and you rent it to the visitor who is visiting your city. The best thing is that you don’t have to go out of your way to please the visitor as they already know that they are not lodging into a hotel and you are not a professional staff. You, as the host are there to welcome them in your house and let them have a slice of your way of living.

Comfortable accommodation at a reasonable price. It is one thing that tops everyone’s checklist while travelling. This is a win-win situation for both the host and visitor. The hosts get a source of income. Their culture is preserved and promoted. Their standard of living is alleviated. For the visitors, they get to have unforgettable memories and a homely accommodation at a reasonable price.

HOW TO START A HOMESTAY BUSINESS?

For starters you need a home to start a homestay business. As you already know that in homestay you are supposed to rent out some space of your home to a visitor. That means you only have to invest in the renovation of your home and make it visitor friendly. Here is a step-wise guide for how to start a homestay business.

Step 1: A room to rent out

As the name homestay suggests itself, the traveller is going to stay at your home. You need to draw up one or two of your rooms (or as many as you want) into a pleasing accommodation. No one is expecting a hotel-like luxurious arrangement so you don’t have to invest too much. However basic amenities like a separate room and toilet are mandatory. Give your room a lively touch.

Step 2: Invest on certain facilities

A good internet connection, 24 hours clean running water, proper electricity supply, clean and hygienic environment, proper light and ventilation system are some of the basic facilities that everyone wants to have. If it is feasible for you to provide laundry services then include it too.

Step 3: Get the license

Get registered with the tourism department and take the permission from local authorities and police. Every tourism board has different standards. Make sure you are following the standards set by the tourism board under whose authority your home lies. Another important criteria for getting the license is that the owner should himself live there with his family. 

Step 4: Do promotions

Register your homestay with popular homestay sites to get relevant customers. Advertise through social media. Take help of family and friends. Give your homestay a  unique and catchy name, it will make the advertisement and promotion easy.

HOW TO IMPROVE HOMESTAY BUSINESS?

You are in the homestay business for long and not seeing much of an improvement in terms of business. Well, here are some ways by which you can improve your homestay business:

HOW TO MAKE MONEY WITH HOMESTAY?

Since you already know what is homestay business and how to set it, the next thing is how to make money from it. The best thing about homestay is that the investment cost is quite low as compared to other businesses. Also why people choose homestay is because of the amazing experience that they get at a very reasonable price. This means that you are not supposed to charge your visitors a fortune. So how are you supposed to make money?

First things first as it is a homestay so you already save a huge chunk here. You can adjust with sophisticated items as people are here for the vintage feel. Offer the best services that you can. This will attract more visitors and you will get to earn you more eventually.

CONCLUSION

Homestay business is a good choice for both the travellers and for the wannabe entrepreneurs. Once you know what is homestay business, you can set it easily and once you know how it works you can find affordable accommodation in the form of a homestay. 

FAQ: All About Homestay Business

1. What is a homestay?
A homestay is a type of lodging where guests stay in a local host’s home, experiencing a more personalized and cultural touch compared to traditional hotels. It often includes shared living spaces and interactions with the host family.

2. How does a homestay differ from a hotel?
Unlike hotels, homestays provide a home-like environment, often with opportunities for cultural exchange and authentic experiences. Hosts may offer home-cooked meals, local insights, and a more personal connection with the area.

3. Can anyone start a homestay business?
Yes, anyone with an extra room or property and a willingness to host can start a homestay business. However, it’s essential to check local regulations, zoning laws, and licensing requirements before starting.

4. What are the benefits of running a homestay?
Some key benefits include:

• Extra Income: Earn money by renting out unused spaces.
• Cultural Exchange: Meet people from different backgrounds.
• Flexibility: Set your own hosting schedule and rules.

5. Are there any risks associated with running a homestay?
Yes, potential risks include:

• Property damage by guests.
• Safety and security concerns.
• Legal issues if local regulations are not followed.

Using platforms like Airbnb or maintaining a robust screening process can help mitigate these risks.

6. How do I attract guests to my homestay?
To attract guests, consider these strategies:

• Create a detailed and visually appealing online listing.
• Offer competitive pricing and unique experiences.
• Gather positive reviews by providing excellent service.

7. Do I need to provide meals or other amenities in a homestay?
Providing meals is optional. Some hosts include breakfast or dinner for an added cost, while others let guests use the kitchen. Amenities such as Wi-Fi, clean linens, and toiletries are commonly expected by guests.

8. How much can I earn from a homestay business?
Earnings vary depending on location, property type, demand, and pricing. A well-managed homestay in a popular tourist area can provide a substantial income.

9. Are there tax implications for running a homestay?
Yes, income from a homestay is typically taxable. Be sure to check with local tax authorities to understand your obligations, including reporting rental income and potential deductions for related expenses.

10. What platforms can I use to list my homestay?
Popular platforms include:

• Airbnb
• Booking.com
• Vrbo
• HomeAway

These platforms help you reach a global audience and offer tools for managing bookings and payments.

11. Is insurance required for a homestay business?
While it’s not always legally required, having insurance is strongly recommended. Homeowner’s insurance or specialized short-term rental insurance can protect against guest-related incidents or property damage.

12. What are the challenges of hosting a homestay?
Challenges include:

• Managing guest expectations and complaints.
• Maintaining cleanliness and upkeep.
• Balancing privacy with hosting responsibilities.

Planning, good communication, and setting clear house rules can address many of these issues.

13. How do I ensure my guests have a positive experience?
To ensure guest satisfaction:

• Provide clear check-in and check-out instructions.
• Keep the property clean and well-maintained.
• Be responsive and offer local tips or assistance.