So you are thinking about buying a vacation rental?
Here are 5 characteristics that will payoff!
Purchasing a vacation rental can be an excellent source of income, but you must make sure you do your research before purchasing and stay on top of trends in order to make it a successful venture. Here are a few things to consider before purchasing your investment property.
1. Location, location, location
Every beach vacationer wants a place on the beach. They settle for properties “near” the beach. The rental rates and the occupancy differences are significant, so do yourself a favor and take out that larger loan. It will pay off in the long run. Plus, it’s likely your own family will stay at the property on occasion, so think of your own needs and preferences when purchasing a vacation rental.
2. Floor Placement
Potential renters may pass over your rental if they’re concerned about safety issues. Bottom-floor dwellings are more likely to be burglarized, and its occupants are more likely to be spied on through windows. There’s also more noise on the bottom floor of a multi-level complex. On the flip side, choosing a property that is on the top floor of a multi-story property will increase wait times for guests at elevators. If possible, visit the property during peak times before making a purchase to find the optimal space to lease to vacationers. Travel and real estate experts say floors 3-10 are ideal for investment properties.
Choose a vacation property your family would enjoy. When renters aren’t at the beach, they will expect all the amenities of home, possibly more. Amenities, such as steam rooms and movie theaters, may cost a bit more initially; but, they will pay off in the long run. Other popular amenities include water parks and lazy pools. You, also, can’t go wrong by purchasing a property that has a private beach. Properties with luxury amenities will outperform a standard beach rental. Just make certain the location is properly managed, so the amenities are well maintained. You will pay extra for maintenance fees and HOA fees on luxury properties, but your will also get more guests willing to pay top dollar.
We live in a technology-driven world. Although vacationers may want a break from work e-mail and other online responsibilities, they still enjoy keeping up with friends on social media. Guests also appreciate Internet entertainment services, like Netflix, Amazon and Hulu, so provide WiFi and post the username and password on the property. Potential guests will also pay more for high-definition televisions with large screens and great sound systems. So, don’t underestimate the importance of technology when designing the perfect getaway rental. Keeping renters happy ensures a return visit, as well as recommendations.
Accommodate large groups at your property by providing ample parking. Multi-family getaways are popular in today’s culture, and they often prefer to rent a property with many beds over a hotel. It is also not uncommon for vacationers to bring boats and watercraft if the vacation property is located near a body of water. This means you’ll also need space for the occasional boat trailer. If you’re considering the purchase a condo, be certain the property offers substantial, preferably unassigned, parking. If you own a single-family unit, adding parking space may eliminate property damage when and if guests decide to park on the lawn.
If you’re ready to invest in a vacation property, contact us at 30A Beachfronts for recommendations on which properties will yield the highest profits. If you’re already a vacation property owner, 30A Beachfronts can assist in creating a luxury vacation rental that will draw more tenants than the competition. The company has been in the business of managing vacation properties for years and has received excellent ratings from travelers worldwide.