Why should I rent out my vacation home? Pt. 1
You own a second home, and you find you don’t use it very often. Or, you bought your retirement home years before you will actually need it. Or, you would love to buy a vacation home but need some help paying for it.
Here are some things you need to know and do before you rent out your vacation home.
Figure out if the math works. Create a spreadsheet to analyze what it will cost you to rent out your home versus the income you can expect to generate making it a vacation rental. Expenses will include maintenance, utilities, taxes, insurance, repairs and amenities. “Make sure you budget for preventive maintenance, and wear and tear,” Joseph says. “It’s going to pay off to think about it and do a little bit of analysis upfront.”
Decide whether to manage it yourself or hire a company. While managing a rental yourself provides a greater financial return, it also means more work. HomeAway, VRBO, Airbnb and similar sites offer online booking, calendars, email communication and referrals to other tools such as credit card processors and professional photographers. But even with these online portals you still have to hire and oversee the cleaning crew.
Furnish, decorate and equip your home. Amenities typically depend on the market and the price, but people often expect most of what they would get at a hotel. A fast Wi-Fi connection, expansive cable package and other entertainment options are recommended, while a hot tub, pool table, board games and other recreation options can be a draw for some guests. Have toiletries, paper products and basic cleaning products available. Stephens provides guest passes to his community’s athletic club. “It’s really just having a well-appointed, well-stocked unit,” Stephens says. Remember to remove family photos, clothes and personal items so the guests feel more comfortable.
Get professional-quality and write a great, detailed description. People will choose your home based on the photos and the description of the property. “That first photo is incredibly important because that’s what people see,” Gray says. Be very thorough in your description. List every amenity, down to balconies, cribs and pool noodles.
Don’t feel like going through all of it or don’t have enough time? Meet Destino Vacation Rentals, we can save you up a lot of time, money and effort! Contact us through our listing form and we’ll get back to you as soon as possible!