"We're Afraid of Losing Everything": Hosting In The Time Of Covid
BY MIKEL HUBBARD
FORMER HGTV PRODUCER | CO-FOUNDER, THE HOST CO |
OWNER, TIMES EIGHT PROPERTY & DESIGN
We here at The Host Co understand what hosts are going through during the quarantine - because we are hosts ourselves. And we are also trying to navigate this extremely difficult time. We’re writing this as an honest letter to other hosts so you know you’re not alone and even those of us that have had great success are struggling too. We’re struggling with major decisions about the future of our business. We’re struggling with moral quandaries around renting and those we’ve employed. We’re not here to say what we’re doing is right or wrong, it’s just what we’re doing because we don’t know what else to do at this time other than move forward.
THE DECISION TO SELL
We, like other professional hosts, leveraged our properties to buy other properties and keep growing our business. Faced with an indefinite shutdown and an uncertain year, we’ve chosen to sell one of our homes for the sake of the whole business. This has been a heart-wrenching decision but one that was made out of necessity to keep the remaining properties going.
We’re selling a very successful business that we’ve put far more into than we’ll get out. It’s located in an expensive market and we’re not sure we’ll ever be able to afford in this area again. We debated whether it should remain a vacation rental or whether it should go to someone that would live in it. Ultimately, after multiple investors fell out of escrow due to concerns about being able to rent during the Covid crisis, we are selling to someone who will be living in the home. This seemed like the most committed buyer and we’re excited she will take great care of our yard. Telling our returning guests of 7 years just before their summer vacation that we’re having to cancel all reservations and say goodbye has been difficult, because we feel like we’ve let them down and on some level, it feels like we failed. Our cleaner who has been dedicated to the home for 7 years will now be out of work. We will give him a bonus when the house closes but who knows how long that will last.
This isn’t how we wanted to say goodbye to our house. There is no joy in spending one last week there when all our favorite spots are closed and locals don’t particularly want us there. It sucks, but it is what it is and our heart goes out to other hosts facing similar hardship. Without a clear picture of what the future holds, we stand by other hosts who must make this difficult decision too.
THE DECISION TO MOVE INTO YOUR RENTAL
We have also had to move into one of our rentals. This has been a dream in some ways because in normal times, this isn’t something we could afford to do. We have shamelessly deferred our mortgage, our credit card payments and all loans associated with the property. We don’t have income from rentals anymore so we’ve had no choice. We have no idea how long we’ll be here nor do we have any idea if we’ll return to renting or be forced to sell. We take on small projects here and there but are afraid to make any real improvements. We try to keep our cleaner busy with odd jobs here and there when she tells us she needs money. We had to let go of the landscaper, cancelled streaming services and found other ways to cut corners. We live in the city and this home is out of town, but the locals have been kind and welcoming. It’s been nice to get to meet all the neighbors (from 6 feet away) because we were usually too busy working on the house when we were here.
We know if we can’t rent this place by summer, we will need to decide whether to move into the home and pay the mortgage or sell it and move on. We have an apartment in the city that we’re keeping for now but we may have to let that go if we move here, upending our entire lives. We always thought we’d retire in our vacation rental so it feels like life is forcing our hand faster than we want but who knows. Uncertainty is the new normal.
THE DECISION TO KEEP RENTING
We have one property in a state that continues to allow rentals. We wanted to shut it down. We felt it was irresponsible to keep renting for the health of our cleaners and house manager. The house is in a small town with limited medical services and we did not want tourists coming through the town, potentially bringing Covid. We didn’t feel safe going to our own home with strangers in it during this time. But ultimately, the renting never stopped.
Our house manager and cleaner asked us to continue because they need the income. Guests kept reaching out in need of an escape, in fear of their own mental and physical safety in their hometown. Our cleaner’s wife is a nurse so our cleaner has protective gear and we ask that he give the house a day of rest before entering, following the protocols of Airbnb. We don’t feel good about this decision, but we also know people need money. We need income to keep the property going. If we sold it, it may take over a year and we’d never recoup our debts. Our cleaner and house manager live in a small town with no jobs and would be lost without income. The local government is allowing the rentals both at hotels and vacation rentals so it continues whether we’re a part of it or not.
The guests have mainly been renting longer term (1-2 weeks) and have come from metropolitan areas, which we can identify with. We left the city for our vacation home too so I can’t blame them for wanting to get away and on some level feel helpful for providing them that escape. One of us has an autoimmune disease and doesn’t feel safe in the city. I can only imagine if we didn’t have a house to escape to, we’d be desperately searching for somewhere to hide out for peace of mind.
It’s a moral conflict because if something happened to our cleaner or house manager or neighbor or local gas station attendant because of this, we would be devastated and feel responsible. If our house manager or cleaner couldn’t afford to eat or pay for medicine because we shut down, we’d feel responsible for that too. It’s not a fun position to be in and so we empathize with hosts that are continuing to rent too. Many probably judge those of us who choose to do this, but we’re all making decisions based on the hand we’ve been dealt and no option feels like a good one.
YOU ARE NOT ALONE
In our case, we’ve had to make many decisions that vary and so we feel for all the hosts out there going through similar things at. We wrote this to let other hosts know you’re not alone. We’re all making difficult decisions. None of us know what the future holds. And we don’t have any advice for anyone right now, because there are no right answers. But we can tell you what we’re doing so that you know you’re not wrong in making the choices you need to make. We’re all making decisions that could be smart but could also be horribly wrong and that’s ok. We’re all losing money. We’re all afraid of losing what we’ve worked so hard to build. There’s no rulebook for this so do your best and soldier on. And if you decide to throw in the towel on being a host, we understand that too.
We’ll be here to keep providing insights and info as we get them and we won’t judge. This is an extremely difficult time and if we can’t help, we can at least share. We hope you’ll do the same.
Don’t feel like you have to be glamorous on Instagram right now. Don’t feel like you have to hide your financial stress. And please be kind to your fellow hosts. We will get through this.