There are a number of theories about taking guest deposits, some think it will deter guests from booking, and others believe the process is cumbersome requiring more effort than they are worth.
Now in our 17th year, we have always taken a deposit over and above the fee for the property rental, the deposit is payable per property and we currently take a refundable £200 subject to our terms and conditions being adhered to. Our whole site bookings, therefore, incur a £600 deposit.
Some hosts top load their accommodation cost with no deposit, this way everyone pays more so damage is expected and accounted for in an inflated cost for all.
On balance what we have found over the years is, if guests see that the property is well maintained on arrival, they are more likely to respect the property and its contents.
We take the deposit pre-arrival by BACS and refund this once the property has been cleaned, we have had guests try to hurry this process along by asking us to check the property before they leave so they can have their deposit on departure. We don’t do this, having time to properly check the property during cleaning is the only sure way to identify damage.
We have only a handful of instances where we have had to deduct from the damage deposit, most have been through over occupancy, driving incompetency and fake tan stains to bedding.
Considerations
Damage to an oven or fridge no matter its age will eat all of the guest deposit as would damage to a carpet.
Guests will not be happy to arrive at a property with damage, so when damage does arise, do not be shy to charge its full replacement.
Make sure your terms and conditions are robust.
Remember the cost of replacement will include your time, travel and any associated fee for disposal.
We are part of a number of hospitality forums, and there is an abundance of stories where guests have arrived and caused significant damage to infrastructure and the owner left to pick up the tab with little to no hope of any recompense.
Try to avoid making your security damage deposit, through third-party letting sites as these often incur a commission resulting in a further cost to the host.
Be clear and fair in your communication, provide evidence through photos, and consider consequences adverse reviews can ad to the cost of the damage incurred.
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