What makes a successful vacation rental home in 2021 - 22?
The sound 10
- Location, Location, Location:
The # 1 rental area where short term rentals are allowed in all of Orlando is the 34747 area/ zip code. If any other real estate agent or property manager or builder tells you any different they are trying to sell you something. However you don’t need to be in the # 1 location to do well, it helps but the other 9 suggestions below will also give you a good ROI.
- Having a good property management:
In our opinion a good property management company keeps the clients house up to its highest potential, they have the house ready for guests at all times, they are responsive to owners questions, they are responsive to renters needs and they price themselves and their services at fair market value. Based on these qualities we recommend
- Owner participation:
In our opinion putting up a VRBO like webpage to market your home will increase your bottom line significantly if you have the time to address renter’s questions. If you don’t have the time than be creative, in today’s world kids know how to get the word out on the web better than adults, do you have a child, do you have a grandchild, the neighbor’s kid ( it’s worth giving a free week to the family next door to obtain an extra 10+ weeks of rentals )? It's really important if you want the best ROI, if you don't have the time and you are simply looking to offset your expenses while enjoying your home than choosing the right property manager is even more important.
- How you dress up your home up:
There is a lot of things you can do to a vacation home to increase rentals and we can help but if you want to keep it simple these 5 items are important 1) Cleanliness 2) WiFi 3) Flat Screen TVs 4) the decor doesn’t have to be fancy but it should be updated , 5) Have professional pictures taken to show it off, $150 is well worth it, we have a guy.
- Don’t price it too high and don’t price it too low:
If you've made your house the best house in the neighborhood and you price it too high you will not get the weeks you should get, on the other hand if you price it too low your house won’t be appreciated or respected. VRBO in our opinion is the best choice to see how other owners in your potential neighborhood price their homes so you can determine the best rates for yours, not the highest, not the lowest, the best rate.
- Don’t limit your marketing to Americans:
The UK renters are the biggest renters near Disney, 2nd are the Canadians, 3rd are the South Americans and 4th are Americans. VR360 is a good source to market to the British.
- Community or Resort Reputation:
Just because you are looking in the # 1 rental area code it doesn’t mean every neighborhood or resort in that area has a good reputation and that’s the same for all areas.
- Resorts vs Gated vs Non-Gated communities:
Resort homes are fee simple like all other homes, their HOA / community fees are higher but they offer more.
A Resort HOA fee will be around $400 a month but that includes in most cases a guard at the gate 24/7, cable TV & Internet, grass cut, shrubs trimmed, maintain roads, trash removal every Day, Resorts have a club house, games room, tennis, community pool and more.
A gated community HOA fee will be around $100- 140 a month and it includes in most cases the gates, trash removal weekly and maintaining the roads.
A Non-Gated community HOA fee will range from $0 - $150 a month depending if that community maintains the lawn, $50 is average if they don’t.
Over the years we have seen homes located in well-respected Resorts average 6 more weeks rented over the other 2 options based on the same type of marketing.
- Being personable:
If you have the time give your guests some inside tips by email before they go on their vacation or leave them some information at the home for them to read when they arrive. If they feel you care about their experience there is a very good chance they’ll come back to you.
- Know when and when not to use your home yourself:
Christmas sounds like a great time to be in Orlando on vacation but it’s the busiest 2 weeks of the Year, cash in instead of waiting hours in line for 1 ride. Rental rates sometimes more than double during Christmas and even Easter.
If possible go after the Christmas rush in January, no lines at the parks, the weather is comfy warm during the Day and cool at night.
Use it Early January after New Years Day.
Use it Early May
Use it Mid-September – Mid-October
Use it the 1st 2 weeks of December
Remember it's your home so you can use it anytime you like if you choose the right neighborhood and the right property management, if you decide to interview different property managers never hire one who dictates when to use it or not. Never Ever enter a property management guarantee program, any owner with a nice home and a little effort or the right property manager can rent out the weeks a guarantee program guarantees.