The complete owner cost stack
| Layer | Examples | Behaviour |
|---|---|---|
| 1. Distribution | Airbnb/OTA service charges, promotions, processing. | Variable with bookings/channels. |
| 2. Management | Commission, fixed fee or revenue-share structure. | Fixed, variable or hybrid. |
| 3. Housekeeping | Cleaning, laundry, inspection, linen replacement. | Driven by turns, not only occupancy. |
| 4. Consumables | Amenities, coffee, water, cleaning products, small replacements. | Variable by stay/profile. |
| 5. Utilities | Power, water, gas, internet, TV, backup services. | Semi-variable; climate and guest behaviour matter. |
| 6. Maintenance | Preventive, repairs, emergencies, technicians, parts. | Uneven; requires a reserve. |
| 7. Property | Condominium fee, property tax, insurance and applicable obligations. | Mostly fixed/periodic. |
| 8. Replacement / capex | AC, fridge, mattresses, paint, furniture, appliances. | Not monthly, but inevitable over time. |
Separate preventive, corrective and emergency maintenance
Preventive work reduces predictable failures: air-conditioning service, pumps, filters, seals, technical cleaning and early moisture detection. Corrective work repairs a failure that has already appeared. Emergency work adds urgency, after-hours availability and potential guest/property impact.
A budget line that simply says “maintenance: 2%” hides these different behaviours.
Cartagena and Medellín do not have the same wear profile
In Cartagena, heat, humidity, salinity and intensive cooling can increase the importance of AC, corrosion, seals, paint, hardware and exposed equipment. In Medellín, rain, localised moisture, waterproofing, ventilation, pumps and hillside-building systems can matter more depending on the asset.
This does not mean one city is always more expensive. It means maintenance reserves should come from the property's actual systems.
Housekeeping cost follows turns more than occupied nights
Ten sold nights in one stay may create one departure clean; ten nights across five bookings may create five. Average length of stay therefore affects laundry, consumables, access wear and coordination hours.
Platforms: model the fee structure that actually applies
Airbnb maintains different service-fee structures and conditions depending on host/setup. Use current platform documentation rather than copying another owner's historical percentage. With multi-channel distribution, model each channel and promotion separately.
Property tax and condominium costs exist even with no guest
Property tax and condominium assessments continue through high and low occupancy. Add insurance and potential special assessments. Medellín and Cartagena publish official property-tax information; use the property-specific figure in underwriting.
A more useful operating-net formula
− distribution/platform charges
− management
− housekeeping not recovered from guests
− consumables
− utilities
− preventive + corrective maintenance
− condominium + insurance + prorated property tax
− replacement/capex reserve
= operating result before financing and owner/entity taxes
The exact presentation can differ by owner. The key is not to compare a listing's gross revenue with the cash actually available to the investor.
Use three scenarios, not one forecast
| Scenario | Assumptions | Purpose |
|---|---|---|
| Conservative | Lower occupancy/ADR, higher maintenance, full reserves, some downtime. | Test survival. |
| Base | Reasonable unit-specific assumptions. | Core decision. |
| Upside | Stronger demand and execution without deleting real costs. | Understand potential, not justify the purchase. |
Five questions that change the result most
- Who pays housekeeping and how much is actually recovered from guests?
- What commission is calculated on which revenue base?
- Which equipment is likely to require replacement within 24 months?
- Are major condominium projects or special assessments pending?
- How many nights will be blocked by repair, owner use or operational restrictions?
Build a budget where each property system has an owner, frequency and sensible economic reserve.
Explore TALOA Property CareFrequently asked questions
What percentage should I reserve for maintenance?
There is no responsible universal percentage. Build the reserve from equipment age, climate, condition, use, building systems and expected replacements, then test it against revenue.
Does the guest always pay the cleaning fee?
Cleaning can be charged separately, embedded in rates or partly absorbed. Model what the operation actually recovers after discounts, applicable fees/taxes and vendor cost.
Should I reserve for furniture and appliances?
Yes. Furniture, mattresses, air conditioning and appliances have finite useful lives even if replacement is not a monthly expense.
Should property tax and condominium fees be included?
For owner cash-flow analysis they should generally be treated as holding costs, even if different accounting presentations classify operating metrics differently.
Is Cartagena always more expensive to maintain than Medellín?
Not necessarily. Wear mechanisms differ and actual cost depends on the specific property, equipment and building.
Primary sources and references
Sources consulted for this edition. For legal, technical or financial decisions, confirm the current rules and the facts of the specific case.