How to Set Up Villa Price on Airbnb for More Guests

If you’re investing in Bali with Airbnb, you’ve likely asked: What’s the right price to set? You’re not alone—many of our clients face the same challenge.

July and August are peak season, and if your villa isn’t priced right, you could miss out on thousands.

Don’t worry—this guide explains how Airbnb pricing works and what you can do today to make sure your villa performs its best.

Key Takeaways

• There are two ways to price your Airbnb villa correctly: using the Smart Pricing feature or setting prices manually.
• Airbnb Smart Pricing adjusts your nightly rate based on demand, season, and other factors.
• Manual pricing can still deliver the best results if you use real data and think like a guest.
• From our observations, smart hosts regularly check their calendars, set clear price ranges, include cleaning fees, and adjust prices for busy or slow seasons.

Find Top Villa Deals: Available Bali Villas for Sale & Rent – Leasehold and Freehold

How Airbnb Pricing Works

Before we dive into smart pricing strategies, it’s important to understand how Airbnb sets rates behind the scenes.

Airbnb compares your villa to others nearby and adjusts your prices based on:

• Local demand
• Time of year
• How often do people search and book places like yours
• What your competitors are charging
• Your past occupancy performance

They also offer a built-in tool called Smart Pricing. According to their official page, this tool checks many factors about your listing and area to adjust your nightly rate based on demand.

But you can still set your own price range and update it anytime.

Read More: Ultimate Guide: How to ​​Start an Airbnb Business in Bali

How to Set Smart Pricing on Airbnb

Setting up Airbnb Smart Pricing is quick, and once it’s active, you can adjust it to match your pricing strategy.

On Desktop

1. Open your Airbnb dashboard and select the listing you want to update
2. Go to the “Pricing” tab
3. Scroll down to find “Smart Pricing”
4. Toggle the switch to turn it on
5. Set your minimum and maximum price limits so Smart Pricing stays within your range
6. Click “Save” to confirm your changes

On Mobile

1. Open the Airbnb app and tap the listing you want to adjust
2. Go to the “Pricing” section
3. Find “Smart Pricing” and toggle it on
4. Set your minimum and maximum price limits
5. Tap Save to confirm your changes

How to Change Price Currency on Airbnb

You can update your currency anytime through your account settings.

On the Website

1. Click the globe icon next to your profile picture
2. Select “Currency”

On the App

1. Go to your Profile
2. Tap “Payments & payouts”
3. Tap the current currency and choose your new one

When Booking or Managing Payments

• You can also switch the currency while making a reservation, or under “Get receipts and manage payments” for upcoming payments

Read More: How Much Does It Cost to Rent a Villa in Bali?

Do’s and Don’ts Every Airbnb Villa Owner Should Follow

According to our observation, here’s what experienced hosts and top-performing villas do:

1. Set a Price Range that Gives You Flexibility

Source: PriceLabs

Tell Airbnb or PriceLabs your:

• Minimum price (e.g., $150)
• Base price (e.g., $220)
• Max price (e.g., $300)

This gives the system the flexibility to raise or lower your price based on real demand, without dipping too low or shooting too high.

2. Check Your Occupancy Weekly

Use Airbnb’s dashboard or a tool like PriceLabs to check how your calendar compares to similar villas nearby. 

If others are booked and you’re not, it’s a sign to tweak your price or improve your listing.

3. Bundle the Cleaning Fee into the Nightly Rate

Guests love simple pricing. When the cleaning fee is already included, your listing looks like a better deal, and that often leads to more bookings, especially for short stays.

4. Adjust for Lead Time

Guests traveling to Bali usually book ahead.

Start with higher rates far in advance. If dates get closer and you’re still open, drop the price slightly to fill the gaps without giving away too much.

Read More: Promoting Your Bali Villa the Right Way (Without Breaking the Bank)

Here’s what doesn’t work (but too many people still do it):

• “Set and Forget” pricing: Just turning on Smart Pricing isn’t enough. You still need to check in and adjust regularly.
• Same price all year: Bali isn’t the same in February as it is in August. Your rates shouldn’t be either.

Tips to Price Your Airbnb Villa Smartly

1. Set your income goal for peak season

Look at similar listings in your area. What are they charging in July and August? Pick a number that’s competitive but profitable.

2. Choose a floor price

Decide on the lowest price you’re willing to accept for a night. Set this manually on Airbnb to avoid undervaluing your property.

3. Review your calendar every week

If your calendar is full, raise your price. If it’s empty while others are booked, make adjustments. This only takes five minutes and makes a big difference.

4. Think like a guest

Would you book your villa at its current price and presentation? Make your listing feel like a great deal. Clean, clear, and appealing.

Free Airbnb Pricing Tool

Want more control and smarter strategies than what Airbnb Smart Pricing offers? Here are some popular (free and paid) tools you can try:

• PriceLabs: Great for custom seasonal pricing, setting minimum stays, and checking competitor rates.
• Wheelhouse: Lets you choose between data-driven, rule-based, or hybrid pricing. Updates your rates daily for up to 365 days ahead.
• Beyond: Gives you insights on occupancy trends, historic data, and even a “health score” for your listing.
• DPGO: Super detailed. It looks at 900+ factors like competitor prices, demand shifts, and seasonality to recommend the best price.
• AirDNA: Market-focused tool that analyzes data to suggest competitive nightly rates.
• RentalReady: Combines revenue management and real-time data to adjust your rates and simplify property management.

Conclusion: Let’s Calculate Your Villa Rental Price

That’s how to set the right price for your Airbnb villa.

While Airbnb’s Smart Pricing can set rates for you, many investors still prefer to set prices manually to hit their ROI targets and offer guests a fair deal.

We know pricing can feel like hard work — but you don’t have to do it alone. With 12+ years of experience helping Bali villa owners, our team can:

• Review your Airbnb listing
• Check local competition
• Set pricing rules based on real data
• Optimize your calendar for steady bookings

A few smart changes can turn your villa into a top listing with reliable income.

Ready to get started? Book your FREE consultation today and let’s make your villa work for you.

FAQ

1. Do Airbnb hosts set their prices?

Yes. The total cost of an Airbnb stay comes from the nightly rate set by the host, plus extra fees or charges from the host or Airbnb. In some regions, local taxes may also be added.

2. What is the best pricing strategy for Airbnb?

Dynamic pricing is usually the most profitable strategy, though it takes more effort to manage. It adjusts your rates based on many factors like costs, demand, competitor prices, perceived value, and overall market trends.

3. Can an Airbnb host change the price after booking?

Yes, but only with guest approval. A host can send a trip change request to update the price of a confirmed booking. If the guest agrees, the reservation will be updated, and the guest may be charged extra or refunded if needed.

4. What is a good booking rate on Airbnb?

A solid booking rate is usually between 2–5%, while top listings often go above 5%.