How Much Does It Cost to Develop an App Like Airbnb?

Updated 05 Nov 2024
Published 28 Sep 2021
Satyam Chaturvedi 2815 Views
How Much Does It Cost to Develop an App Like Airbnb

Introduction

We are pretty sure that you must be feeling excited to know about the process and the cost of building an app like Airbnb and the several innovative features and functionalities it offers.

But before we jump on it let’s get some information about Airbnb and the business idea behind it.

Travelling has been a convenient source of excitement and thrill for most people around the world. Travel not only offers an opportunity for cultural exchange but also helps travelers to understand the perspective of other people.

However, people often face challenges while planning their destination, keeping that under their budget and several other preferences.

As per Statista report, according to an April 2024 study, SaaS companies operating in the hospitality industry reported the highest enterprise value to revenue (EV/Revenue) ratio in the online travel market worldwide. As estimated, businesses in that segment recorded an EV/Revenue multiple of 6.8x. This figure was nearly seven times higher than that of the metasearch segment.

Although, with the tech innovation, we have seen many task-specific applications, which assist users to complete a specific task.

Airbnb is one such app, which fulfills the requirements of travelers, who want to rent a place for a temporary stay, that too while keeping budget, facilities, and other preferences in consideration.

Let’s unroll some exciting information about the Cost to Develop an App Like Airbnb, it’s a business idea, features, etc.

app like Airbnb

What Do You Understand by Airbnb Application? 

Airbnb is a renowned vacation rental platform that connects the people who are looking for budget-friendly accommodations with the local people who are renting out their properties to travelers.  

The platform gained immense popularity due to its innovative offerings and today we have millions of registered users who are using Airbnb to fulfill their traveling needs. Airbnb provides an experience of a lifetime to its users and hosts. 

Today we are living in a Technology era and the way the traveling sector is transforming, we can say that it is a brilliant app idea to build robust and fastest-growing property rental booking apps like Airbnb.  

It could be a win-win proposition for startups and entrepreneurs. But the biggest question isHow much does it cost to build an app like Airbnb?” 

Well, we may provide a straight answer, but before jumping over the app cost, it is important to understand what Airbnb does, how to develop app like Airbnb, Airbnb business model, what sort of features it offers, and how it can help you to earn revenue.

How did Airbnb start?

It was started in 2008, by two friends who had ample space to host 3 travelers, and they were looking for interested people who wanted comfortable accommodation at a low cost.

This was a simple idea, but it inspired them to coin an exceptional platform, which acts as an online marketplace for travelers and hosts.

Airbnb has attained a massive following in the last couple of years. As per the searchlogistics total listings on Airbnb have decreased globally (7.7 million active listings as of February 2024), the demand for Airbnb stays has increased significantly. These are the Airbnb statistics by region that you need to know. By Matthew Woodward – SEO Expert – Quote: Airbnb has more than 150 million worldwide users that have booked over 1.5 billion stays with over 5 million Airbnb hosts.

airbnb user market size

How Does Airbnb Operate?

Airbnb offers two basic interfaces for Guests and Hosts. Airbnb provides complex services with tons of features to its users. Airbnb is a platform that connects hosts who have accommodations to rent with travelers seeking places to stay. The Airbnb app development process typically involves market research, wireframing, UI/UX design, coding, testing, and launch.

Post-launch, ongoing maintenance and updates are essential for ensuring a seamless user experience and security. Users can create a profile, browse listings by location, and filter options based on price, amenities, and reviews. Hosts can list their properties by uploading photos, setting prices, and detailing house rules of make app like Airbnb.

To create app like Airbnb, developers need to focus on user-friendly design, secure payment processing, and a robust backend for handling listings and user interactions. If you want to develop app like Airbnb, you should understand the functioning of the platform and its backend logic.

How-Does-Airbnb-Work

This is How Airbnb functions for Guests:

  • The Guest opens the mobile or web app and registers or logs in as a Guest.
  • User completes his/her profile and adds necessary information, address, payment-related information, ID number, and more.
  • The Guest can apply various filters and select an appropriate place to live, based on his/her preference of location, dates, price, type of accommodation, and more.
  • Then guest places the request for a stay and receives a booking confirmation.
  • Guest makes the required payment for reservation and other services.
  • The final step is to travel and enjoy the stay.

This is how Airbnb functions for Hosts?

  • The Host also needs to register or log in and create the profile.
  • The host must register a property on Airbnb, by adding the information of the property, its pictures, location, facilities available, type of apartment, number of guests allowed, etc.
  • The host needs to upload real photos of their property and put the price as well.
  • Once the guest places a request for a stay, the host can initiate a conversation and discuss further details like quiet hours, drinking and smoking availability, cleaning standards, pet friendliness, etc.
  • If the host has the availability, then he can approve the stay and notify the guest. At the same time, the host can reject the Guest’s request as well.
  • The host gets the payment 24 hours after the Guest checks in. The Guest can post the reviews and ratings for the property.

App Like Airbnb

Business Model of Airbnb & Revenue Model of Airbnb App 

Airbnb allows Hosts to put their spare property or house on rent to earn extra money. On the other hand, it enables any guest to book an apartment, flat, or house at various locations from all over the world.

Airbnb is available as a web application and people can access it on leading mobile platforms such as Android and iOS, and now it can be accessed on smartwatches as well.

The revenue model for Airbnb is quite simple; it takes a share of the booking fees.

  • The guest is supposed to pay 6-12% of the booking fee, which depends on the size and type of the reservation.
  • The property Host must pay 3% for every transaction to Airbnb.

The success of Airbnb has inspired the creation of various hotel booking app like Airbnb. These platforms aim to provide similar functionalities, allowing users to easily browse and book unique stays while giving hosts the opportunity to monetize their unused spaces. 

If you’re looking for an app similar to Airbnb, there are several alternatives on the market. Airbnb is available as a web application and people can access it on leading mobile platforms such as Android and iOS, and now it can be accessed on smartwatches as well. 

Airbnb Business Model
Image Source:-bmtoolbox

What are the Features of Airbnb App? 

The Airbnb application is developed while keeping a two-sided marketplace in mind that is Traveler and Host. Here we are mentioning some must-haves and core features of  Airbnb. These features must be included in the travel application.

For Travelers For Host
Log-in / Sign-up – Users can Sign up and create a new account using an email address or mobile number. The login process should be easy and must offer a log-in facility via social media profiles, like Facebook, Twitter, or Google. Log-in / Sign-Up – Host can Sign Up and create their account using the email address or mobile number. Just like travelers, hosts should also be able to log in via social media profiles.
Profile Management – The user can create and update the profile and add information such as name, contact information, address, and date of birth. Profile Management – Host can create and update their profile. They can add personal information, contact information, and payment details.
Favorites – This feature enables users to select apartments and create a list for future use. Activity Type – Here the host can mention additional activities and facilities available at their property that may provide some unique experience to the travelers.
Search and Filters – Using this feature the travelers search and select the destination and the accommodation they prefer. They can use multiple filters such as location, price, accommodation type, availability, etc. Property Listing – This feature allows Hosts to list their property on the platform. They can put detailed information of their accommodation, facilities they offer, number of guests they can accommodate, high-resolution photographs, location information, and other facts.
Chat – This feature is important, as travelers always seek additional information from hosts about the accommodation, and they can chat with the Host at any point in time to clear doubts. Reviews – The host’s profile must incorporate the reviews of previous guests, as this gives an impression of the quality of accommodation and service offering of the host.
Notifications – This feature helps Guests to receive instant notifications about their booking, payment, and other important information. Requests – The host can access all the requests made by the travelers, assess them, and accept or reject them as per feasibility.
Booking – This is a must-have feature, from where the Guest can select the dates, property and make the booking. Notifications – This feature helps Hosts to receive instant notifications of Guest requests, payments, booking confirmation, booking changes, unchecked requests, and more.
Reviews – By using this feature, the Guests can put their reviews and share their experience with the host and accommodation. These reviews help other travelers to make decisions, and it also helps Host to improve their services. Chat – This feature is important for Hosts, as travelers always seek additional information about property, facilities, additional activities. The host can chat with the travelers to address their queries.
Experience – This is an innovative feature, where Guests can avail additional experience while staying at the property. The traveler can go for adventure sports, learn cooking, music, and other exciting opportunities during their stay. Payments – This feature helps Hosts to keep a track of payments, generate invoices and other important billing-related documents.
Payments – This feature enables guests to make the payment against the booking. We must have an integrated payment gateway with multiple payment options to make this process seamless. Booking listing: This feature enables Hosts to manage upcoming bookings, which could be listed on the calendar.
Cancellation – This feature helps a Guest to cancel the booking without any hassles. The application must have a cancellation and refund policy in place. This is quite important as sometimes travelers have to cancel their bookings due to unforeseen circumstances. Ratings and Reviews – Hosts too can rate and place reviews of their guests as per their conduct and behavior.
Maps: It is a must-have feature, as it simplifies the booking process. It showcases the available properties on the map, from where the Guest can select them easily. Cancellation and Refund – This feature helps Hosts to proceed with booking cancellation and process the Refund to the travelers.

How to be listed on Airbnb?

To get an Airbnb, one must tick all the checkboxes on Airbnb’s parameter list. Your property must be in cities where Airbnb Plus is available, and you should have at least one complete stay. Partnering with a hotel booking mobile app development company can help create a tailored solution that meets your specific needs. 

Airbnb’s design consultants verify the property and provide scores on Design, Maintenance, Equipment, and Comfort. Furthermore, the Hotel Booking app can also consist of interior design, thoughtful furniture layout, sophisticated artworks, clutter-free cabinets and counters, and necessary equipment that reflect the host’s personality and style. 

For those interested in creating a seamless experience similar to Airbnb, mobile app development for hotel booking has become essential. Once all parameters are fulfilled, Airbnb awards the Plus badge to the host, signifying quality and exceptional service.  

  • Your property must be in the cities where Airbnb Plus is available. 
  • You must have at least one stay already 
  • You should be among the top reviewed hosts with an average rating of 4.8+ stars 
  • You must have accepted 95% of reservations 
  • You must have had no last-minute cancellations in the past year 
  • You must offer a private room, or an entire home, with a private bathroom. 
  • A custom hotel booking app can enhance user experience, making it easier for guests to find accommodations. 
Read Also:- Audio Tour Guide App Development Cost and Key Features

How Much Does It Cost to Build an App like Airbnb?

Airbnb Plus accommodations are costlier than the standard Airbnb listings, largely due to the quality, conform and facilities they offer. 

A host can apply for Airbnb Plus program by paying a non-refundable application fee of $149, this fee covers the expense of your in-home inspection, quality report, and best photography. Travelers have to shell more money to book these accommodations. 

The cost to build an app like Airbnb can vary widely depending on several factors, including location, time of year, type of accommodation, and the number of guests. Here are some general considerations: 

  • Location: Urban areas and popular tourist destinations typically have higher prices than rural or less-traveled regions. 
  • Time of Year: Prices can spike during peak travel seasons, holidays, or local events. 
  • Type of Accommodation: Entire homes, private rooms, and shared spaces each have different pricing structures. Luxury listings will also cost more. 
  • Length of Stay: Some hosts offer discounts for longer stays, while shorter stays may have higher per-night rates. 
  • Additional Fees: Be aware of cleaning fees, service fees, and sometimes additional costs for extra guests. 

Factors Affecting the Cost to Build an App like Airbnb 

Airbnb app development cost involves several factors that can significantly affect the overall cost. Here are the key considerations: 

Features and Functionality

  • User Profiles: Registration, profiles, and account management. 
  • Search and Filters: Location-based search, filters for amenities, price ranges, etc. 
  • Booking System: Calendar integration, availability checks, and payment processing. 
  • Reviews and Ratings: User feedback and rating systems for hosts and guests. 
  • Messaging System: In-app communication between hosts and guests. 
  • Admin Dashboard: For managing listings, users, and analytics. 

Platform

  • iOS vs. Android: Building for one platform is generally cheaper than building for both. 
  • Web Version: Developing a web app in addition with Airbnb app development cost to mobile can increase costs. 

Design

  • User Interface (UI): Custom design elements will add to the cost. 
  • User Experience (UX): A focus on creating an intuitive user experience may require additional resources. 

Development Team

  • In-house vs. Outsourcing: Hiring a development team in a region with a lower cost of living can save money. 
  • Experience Level: More experienced developers typically command higher rates. 

Technology Stack

  • Frontend and Backend Technologies: Choices between various programming languages and frameworks can influence costs. 
  • Third-party Integrations: Using services for payments, geolocation, or messaging can add to development time and expenses. 

Maintenance and Updates

  • Ongoing Costs: Regular updates, bug fixes, and adding new features require ongoing investment. 

Legal and Compliance

  • Regulations: Compliance with local laws regarding rentals and data protection can incur additional costs. 

Marketing and Launch

  • User Acquisition: Initial marketing efforts to attract users can be a significant expense. 

Hosting and Infrastructure

  • Server Costs: Reliable hosting with Airbnb app development cost and server infrastructure to manage traffic and data. 

Testing and Quality Assurance

  • Comprehensive Testing: Ensuring the app works flawlessly across devices and platforms adds to development time and costs.

What is the Difference between Airbnb and Airbnb plus?

The primary difference between a standard Airbnb and Airbnb Plus accommodation is in-person property verification, higher standards, and exceptional quality. Other important differences can differ in the app like Airbnb development cost are as follows: 

Design

A guest can expect enthralling interiors, furniture, a beautifully designed house, and other aesthetics.

Maintenance

Airbnb hosts are responsible for maintenance, and a guest can expect regularly maintained exterior, interior, electrics, toiletries, and bedrooms.

Equipment

Airbnb Plus accommodations are cut above standard Airbnb properties, so one can expect WIFI, house manual, TV, safety equipment, Iron, kitchen essentials, bathroom essentials at Airbnb Plus accommodation.

Comfort

Airbnb Plus is famous for providing best in class guest experience. With Airbnb Plus, the guests can expect easy check-in, private bedrooms, separate storage space, and private bathrooms.

However, Airbnb Plus is available at limited destinations, therefor not all can avail of this feature.

What is the Development Process of an app like Airbnb?

Airbnb has attained unprecedented success in such a short time, which has inspired many developers and organizations to develop a travel app like Airbnb and aboard the success bandwagon.

There could be some high-level business, Technical, and Architectural challenges while developing this application, but still, it’s a good idea to develop an app from the scratch.

We need to follow the below steps to build an Airbnb clone app. These steps will help you to initiate the development while saving money and time in the entire process.

  • Set the Goal – An idea itself is not enough you must identify the goals and objectives of the proposed application. It is necessary to document the idea along with high-level objectives, as it forms the foundation of the entire app development life cycle.
  • Document the Core features – In this phase, we will identify and document the core and additional features that need to be integrated into the app. You may list down some unique features, which may become a USP for the application.
  • Select appropriate Platform – While designing an app, it is important to select the appropriate platform, as it helps us to identify the kind of system the app will execute, and what kind of technology we may have to use to develop it. The best approach is to decide if we are designing an application for iOS, Android, or it will be a mobile app or a web application.
  • Application Design – This is an important phase, as we transform the requirements and ideas into visual features. The software developers can follow the visual guideline to write the codes in the next steps.
  • Custom backend Development – Backend acts as the backbone of any application. Developers utilize various technologies and frameworks to develop a customized backend that helps developers integrate more benefits and features to the app.
  • Develop Frontend – Once the Backend is ready, the developers can build attractive and user-friendly UI/UX for the app, as this entices the users to download the application and use it.
  • App landing page development – An application landing page is an important component of an application, as it gives the end-users a first and the foremost impression about the application. It should be beautiful, crisp, and easy to navigate.
  • Testing and Quality Assurance – In this phase we perform several types of software testing to identify and fix the programming bugs. This step is important, as it assures the quality and usability of the software.
  • Application Release and Regular updates – Once the application is developed and tested, it could be released on various application platforms, from where the users can download it. It is critical to launch regular updates and bug fixes to enhance user data security and launch additional features to make the application popular among the users.

travel booking applications like Airbnb

Technology Stack Airbnb built with

An app like Airbnb is a reliable application, and it has gained massive popularity due to its robust architecture, which makes it easy to use and high performing. It is a Cloud-based app that allows it to scale quickly while handling heavy user workloads.

Airbnb is developed using the following Technology stack:

  • Programming languages – JavaScript and Ruby
  • Framework – Ruby on Rails
  • JavaScript framework – React JS
  • Web server – Nginx
  • Key-value storage – Redis
  • Cloud storage – Amazon S3 and EBS
  • Cloud hosting – Amazon EC2
  • Cloud database – Amazon RDS, MySQL
  • Big Data tools – Druid, Airpal, and Presto
Read Also:- Complete Guide for Mobile App Development Standards

Mistakes to Avoid When Building an App Like Airbnb 

Building an app like Airbnb is a complex endeavor, and avoiding common pitfalls can make a significant difference in your project’s success. Here are some key mistakes to avoid:

Neglecting Market Research

  • What to Avoid: Launching without understanding your target audience, local regulations, or existing competitors. 
  • Solution: Conduct thorough market research to identify gaps and user needs. 

Ignoring Legal and Regulatory Compliance

  • What to Avoid: Overlooking local laws related to short-term rentals, taxes, and safety regulations. 
  • Solution: Consult legal experts to ensure compliance in every market you plan to operate. 

Poor User Experience (UX) Design

  • What to Avoid: Complicated navigation and overwhelming interfaces. 
  • Solution: Invest in user-centered design, focusing on intuitive navigation and a clean layout. 

Inadequate Testing and Quality Assurance

  • What to Avoid: Launching with bugs or performance issues. 
  • Solution: Implement rigorous testing phases, including beta testing with real users. 

Neglecting Mobile Optimization

  • What to Avoid: Focusing solely on the web app and neglecting mobile responsiveness. 
  • Solution: Ensure your app is fully optimized for mobile devices, as many users will access it via smartphones. 

Underestimating Marketing and Branding

  • What to Avoid: Assuming users will find your app organically. 
  • Solution: Develop a robust marketing strategy, including SEO, social media, and partnerships to build brand awareness. 

Ignoring User Feedback

  • What to Avoid: Dismissing initial user feedback post-launch. 
  • Solution: Create channels for user feedback and actively implement suggestions for improvement.

Conclusion

The travel industry has enormous potential for growth. Even amid the COVID situation, this industry is going to witness massive growth in coming years, and investing in travel booking apps like Airbnb is a win-win decision for any startup or mid-sized organization.

We have covered all the aspects of app development in this blog, and we are pretty much sure that with the help of this blog, you will be able to determine the core components and features along with the efforts and cost it may incur to build a travel solution.

You may engage in-house developers or hire a software development company, as they will help you to evaluate the business requirement and integrate the latest technology and tools to develop a suitable application.

If you want to get our help to develop such an automated system for your organizations, then please get in touch with us. Our team of seasoned developers will develop a top-notch solution, with all the beneficial features at an affordable cost.

FAQs for Airbnb App

  • How to build a hotel booking app like Airbnb?

    To build a hotel booking app like Airbnb, conduct market research, define essential features (search, booking, reviews), choose a tech stack (React Native, Node.js), design a user-friendly interface, develop and test the app, launch it with a marketing strategy, and ensure ongoing maintenance and compliance with regulations.

  • How much does the Airbnb app cost?

    The cost to develop an app like Airbnb typically ranges from $50,000 to $200,000, depending on complexity, features, and development location. Key factors include design, backend infrastructure, payment integration, and ongoing maintenance. A more feature-rich app may push costs higher, while simpler versions can be more affordable.

  • How long does it take to develop app like Airbnb?

    Developing an app like Airbnb usually takes 6 to 12 months. This timeframe includes stages like planning, design, development, testing, and launch. Complexity, feature set, and team size can influence the duration, with additional time required for ongoing updates and improvements post-launch.

  • How does Airbnb function for Guests?

    Guests must follow the below process to use Airbnb-
    1. Register and login as a guest.
    2. Create the User profile and submit personal information like username, age, and more.
    3. Search for accommodation using various filters and parameters
    4. Choose suitable accommodation.
    5. Make a request for a stay and get confirmation.
    6. Make Payment using the credit/debit card via the Airbnb service.
    7. Initiate the Traveling.

  • How do Hosts receive payment from Airbnb?

    Airbnb collects payment from Guests on behalf of the Hosts, and it strictly discourages any sort of direct cash payment. The received money is held till 24 hours after Guest check-in, and then payment is transferred to the Host’s banking account. Airbnb deducts the 3% fee it charges as a commission on every booking.

  • How can a User set up multi-factor authentication on Airbnb?

    Users can either visit the Airbnb website or open the mobile application and then follow these steps.
    1. Click on the Profile icon.
    2. Click on the “Personal information.”
    3. Tap on “Add” next to your number.
    4. Airbnb will send you an automated Text, a 4-digit passcode, or the user can prefer a callback from Airbnb.
    5. Setup Multi-Factor Authentication to enhance security.

Satyam Chaturvedi

Satyam Chaturvedi is a Digital Marketing Manager at Arka Softwares, a leading app development company dealing in modern and futuristic solutions. He loves to spend his time studying the latest market insights.

Let’s build something
great together!

9 + 1 =

Client Testimonials

Mayuri Desai

Mayuri Desai

Jeeto11

The app quickly earned over 1,000 downloads within two months of launch, and users have responded positively. ARKA Softwares boasted experienced resources who were happy to share their knowledge with the internal team.

Abdullah Nawaf

Abdullah Nawaf

Archithrones

While the development is ongoing, the client is pleased with the work thus far, which has met expectations. ARKA Softwares puts the needs of the client first, remaining open to feedback on their work. Their team is adaptable, responsive, and hard-working.

Pedro Paulo Marchesi Mello

Pedro Paulo Marchesi Mello

Service Provider

I started my project with Arka Softwares because it is a reputed company. And when I started working with them for my project, I found out that they have everything essential for my work. The app is still under development and but quite confident and it will turn out to be the best.

whatsapp