It’s 2023 and the demand for professional cleaning services has never been higher. But before you grab your mop and bucket, there’s one important question to answer: how much to charge for house cleaning? Setting the right house cleaning prices can be a real headache, especially if you are starting a new cleaning business.
Will you charge too little and leave money on the table? Or charge too much and scare away potential clients? The answer is simple – you need to find the sweet spot. We don’t want to be that business that’s scrubbing floors for pennies on the dollar. But we also don’t want to scare away potential clients with prices that are too high.
And that’s where this article comes in. We’ll walk you through three easy steps to determine the perfect price for your house cleaning services. By the end of it, you’ll be confident in your pricing and ready to start attracting the clients you deserve. Let’s get started on your cleaning empire.
Price Your Cleaning Service For Profit In 3 Easy Steps
Let’s take a detailed look at the steps involved in setting the prices for your cleaning business.
Step 1: Determine Your Cost Of Operation
A proper understanding of the cost of operations is essential for setting prices that allow the cleaning company to operate sustainably and compete effectively in the market. By accounting for all expenses, you can ensure that prices accurately reflect the cost of providing quality cleaning services.
Failing to consider these house cleaning costs can result in undercharging, leading to financial difficulties, or overcharging, causing customers to seek services elsewhere.
Let’s dive into the four key components that make up the cost of running a cleaning business.
A. Hourly Rate Of The Cleaning Staff
One of the most significant expenses for a cleaning company is the hourly rate of the house cleaners. This includes the salary, benefits, and other compensation packages for your employees. The hourly rate is determined by the cost of living in the area, the type of work performed, and the experience and skills of the staff.
B. Cost Of Equipment And Supplies
Another essential factor to consider is the cost of equipment and cleaning supplies. This includes items such as cleaning solutions, vacuum cleaners, mops, and other tools used to clean the facilities. It’s important to factor in the cost of your own cleaning supplies when determining your pricing so that you can make a profit while still providing quality services.
C. Overhead Expenses
In addition to the cost of staff and supplies, there are several overhead expenses to consider. This includes rent for office space, insurance, utilities, and other operational costs. These expenses can add up quickly and must be taken into account when setting prices for your cleaning services.
D. Other Relevant Costs
There may be other costs relevant to the cleaning company that you need to factor in. For example, the cost of transportation to and from the cleaning sites, marketing expenses, and the cost of any additional services you offer. These costs can significantly impact your pricing, so it’s essential to consider them when setting your rates.
Step 2: Do Proper Research
Taking the time to conduct proper research and analysis can make all the difference in the success of the business. Proper research and analysis can help you set the right prices for your cleaning services, attract clients, and ensure the success of your business.
Here are the key aspects to cover to help you make informed decisions about your pricing strategy and stand out in the market.
A. Average Pricing For House Cleaning Services In Your Area
By understanding the average house cleaning cost in your area, you can ensure that your prices are competitive and fair. This research can be done by looking at websites like Thumbtack or Angie’s List to see what other cleaning companies in your area are charging.
You can also ask friends and neighbors about their experiences with local cleaning services and how much they paid. Additionally, you can call other cleaning companies to inquire about their prices and services.
You can do this simply by calling several local reputable maid services or franchise cleaning services in your area and asking for their hourly rates and the time it would take to clean a house of your size. After gathering this information, you can divide the quote by the hours it would take, to calculate the hourly rate.
For instance, if a company quotes you $100 for cleaning your home and estimates it will take 4 hours, the hourly rate would be $25 ($100 ÷ 4 hours).
To find the average hourly rate in your area, you can take the rates you have collected and average them. Simply add up all the rates and divide by the number of rates you have. For example, if you have ten rates, add those up and divide by 10.
This will give you the average hourly rate in your area, and you can adjust your prices to be somewhere in the middle to top of the range, to stay competitive in the market.
B. Competitor Analysis
Conducting a competitor analysis is also crucial in determining your prices. This research involves looking at what your competitors are offering and at what prices. This will give you an idea of what services are in demand and what people are willing to pay for them.
For instance, if a competitor offers deep cleaning services for $200, you might consider offering a similar service for $180 to attract customers who are looking for a lower-priced alternative.
Additionally, you can look at what sets you apart from your competitors and use this information to justify your prices. For example, if you use eco-friendly products, you can charge a higher price for a house cleaning job as customers may be willing to pay extra for a greener cleaning option.
C. Customer Preferences And Demand
Customer preferences and demand play a critical role in determining the success of a cleaning company. Understanding these factors allows businesses to offer services that meet the needs and expectations of their target audience, leading to increased customer satisfaction and loyalty.
Customer demand refers to the level of interest and needs for a particular service. For example, if customers are demanding green cleaning services, a company may want to consider offering eco-friendly cleaning options to meet that demand. Monitoring customer demand allows businesses to adjust their services to meet the evolving needs of their target audience.
It is also important to take into account customer preferences when it comes to pricing. Some customers may be willing to pay premium prices for high-quality services while others may prioritize affordability. Understanding customer preferences in terms of pricing can help a cleaning company determine the best pricing strategy for its services.
D. Figure Out The Time Needed To Clean A House
It is important to figure out the time it takes to clean an average house. To do this, you can time yourself as you clean different areas of a home. Areas to time include:
- Carpet cleaning
- Window cleaning
- Bonus room or loft
- Living areas (living room, family room, den, study, sunroom, etc.)
This information can help you determine the cost of your services based on the time it takes to complete them.
Another important factor when figuring out the time is to consider the home’s per-square-foot area. You can start by finding the average square footage of homes you will be cleaning in your area. Once you have some cleaning experience, calculate the average square footage of all your previous cleanings. In my area, the average square footage is between 2001-2500 sq. ft.
When pricing, adjust your cleaning time for homes that are larger or smaller than your average by adding or subtracting 15 minutes for every 500 sq. ft. above or below your average.
Step 3: Set A Fair Price
For cleaning companies, it is important to strike a balance between affordability and profitability, while ensuring that you are providing high-quality services. If you charge too little for house cleaning jobs, you may not be able to cover your costs, and if you charge too much, you may lose customers to competitors.
Make sure to charge a high enough hourly rate to cover your labor and overhead expenses with a net profit of at least 20%. And remember, include a salary for yourself within your overhead expenses.
Here are some pointers on how you can give competitive estimates to your customers:
A. Consider Different Types Of Cleaning
There are various types of cleaning that cleaning companies offer, such as one-time or first-time, monthly, spring/deep cleanings, and move-in/move-out cleanings. Each type of cleaning requires different amounts of time, supplies, and effort, which should be reflected in the price.
The average rates for each type can vary greatly depending on several factors such as location, the size of the property, the level of cleaning required, and the cleaning company’s policies. Here are some rough estimates:
- One-time or First-Time Cleaning: This type of cleaning usually ranges from $200 to $400 for a small to medium-sized home and can go up to $800 or more for larger properties.
- Monthly Cleaning: The average hourly rate for a monthly cleaning service is around $25 to $50 per hour. For a small to medium-sized home, this can range from $100 to $300 per cleaning.
- Spring or Deep Cleaning: This type of cleaning is more intensive and can cost anywhere from $400 to $800 or more for a small to medium-sized home.
- Move-In or Move-Out Cleaning: The average hourly rate for this type of cleaning is usually around $30 to $50 per hour. The total cost can range from $200 to $800 or more for a small to medium-sized home.
To get the exact estimates, you can use the pricing calculator that we have created.
B. Offer Discounts And Packages
Offering discounts and packages can be a great way to attract new customers and retain existing ones. Cleaning companies can offer discounts for cleaning job referrals, first-time customers, or customers who book multiple cleanings in advance.
Packages can also be offered, such as a monthly cleaning package at a discounted rate compared to booking each cleaning separately.
C. Adjust The Price Periodically
It is important to adjust your prices periodically to keep up with the market trends and ensure that you are still providing high-quality services while earning a profit. You can adjust your prices based on changes in the cost of supplies, labor, and other overhead expenses.
Determining how much to charge for house cleaning is an important aspect of starting or growing a cleaning business. By following the 3 steps outlined in this house cleaning pricing guide, you can determine the best price for your services.
Remember, don’t be afraid to charge what you’re worth, after all, a clean home is priceless. And let’s be real, who wouldn’t pay top dollar for a little extra peace of mind?
So if you’re serious about starting your house cleaning service business and if you want to go all in, my House Cleaning Kickstart Course is like a one-stop shop for everything you need to know. You can also use my estimate calculator to give accurate estimates right away without the hassle of manually going through each calculation on your own.
So what are you waiting for? Get started on your cleaning business journey today.
I. How much should I charge for 3 hours of cleaning?
The cost for 3 hours of cleaning varies and depends on factors such as location, level of cleaning required, and the going rate for cleaning services in your area but a rough estimate could be anywhere from $60 to $150.
II. How much can a cleaner do in 1 hour?
A cleaner can typically clean a moderate-sized room thoroughly in 1 hour but the exact amount that can be accomplished in an hour can vary based on the size and condition of the space and the individual cleaner’s speed and efficiency.
III. How long does it take to clean a 1500-square-foot house?
It takes approximately 2 to 4 hours to clean a 1500-square-foot house but the exact time depends on the level of cleaning required, the number of people cleaning, and the layout of the home.
IV. How long does a deep clean take?
A deep clean can take 6 to 8 hours or even a full day as it involves thoroughly cleaning and sanitizing every surface and detail of space, including hard-to-reach areas and items.