Managing vacation rental investment properties is by no means an easy task. It can, however, be simplified by making a few little changes to your management method.
Let us begin from the beginning. You choose a successful market, evaluate the property tax considerations, select a property, and then get down to the nitty-gritty of running it.
We’ve created the ‘Smart Way’ to handle the investing procedure behind Airbnb investment homes. The preceding post focused on how to start a business in vacation rental investment properties. This article will discuss how to efficiently manage them and keep them profitable. We’ll look at technology to use, things to do, and ways to make money during the off-season!
Here’s how to handle vacation rental investment homes successfully…
First and foremost, keep that listing up to date.
Setting up your account is not a one-time event. A priority listing is one that has been updated. Airbnb prefers new listings, as well as listings that are maintained up to date and fresh. Regularly update your vacation rental investment properties to keep them at the top of Airbnb search results!
We mean basic things like changing your featured image when we say ‘updated.’ You can also change the title or description of your item, and maybe even throw in a discount now and then! We recommend that your users update their listings at least once every two months, but once a month is better. You never know if your ad has piqued the interest of potential buyers, but updating your featured image could cement the deal!
Step 2: Assemble a Reliable Team
Cleaners, plumbers, and electricians are all invaluable. Managing your vacation rental investment properties is considerably easier if you have a trustworthy and competent workforce.
By assembling a staff you can rely on, you can rest assured that your listing will be taken care of. Even if you live nearby, you should keep a list of individuals you can contact if you need help. This is especially vital if you have visitors staying with you.
You might also think about working with a co-host, which our friends at CohostMarket can assist you with!
Operational Modernization is the third step
We compiled a list of technology for remote hosts that can aid in the success of your vacation rental investment properties!
If you want to maximize your vacation rental success, you must use apps, self-check-in technologies, smart locks, and property management systems. Automation on Airbnb is the way of the future. Using contemporary technology seems obvious, especially when it comes to increasing revenues. In the management of your vacation rental investment properties, use as many optimization solutions as possible.
Dynamic Pricing is the fourth step
If you truly want your short-term rental investment properties to flourish, you must first look at your pricing. You could have the perfect listing with the best service in the world, but if your pricing strategy isn’t changed, you won’t be able to achieve your maximum earning potential.
There are other dynamic pricing suppliers on the market, all of which provide data-driven pricing recommendations, but none analyze as much data as DPGO. Every minute of every day, our smart pricing engine collects data, analyzes it, and pushes new, optimal rates to your listing every 24 hours.
By basing your prices on market patterns such as booking spikes, you increase your chances of gaining more reservations and earning a bigger profit. As we all know, after deciding on a destination to visit, the price is often the deciding factor for Airbnb visitors.
Step 5: Provide Occasional Discounts
Offering discounts to make more money may appear to be a misnomer, but trust us when we say that you make more money in the end. Don’t forget about your most popular nights. Instead, offer a lower-demand night at a lower price. This means you receive an extra night booked when it was doubtful that night would be booked in the first place.
Depending on your pricing plan, another wonderful method to use discounts is to present your listing as a longer rental option during the off-season and provide a discount for stays longer than 28 days. The psychology of discounts and how consumers perceive them is complex, but the basic line is that people enjoy paying less money than they planned to spend.