PREPARING YOUR VACATION HOME – KNOWING YOUR “WHY” FIRST!
AS PART OF MY BUSINESS, I LIKE TO HELP CLIENTS THROUGHOUT VACATION RENTAL PROCESS. NOT JUST THE DESIGN, DECOR AND/OR STAGING OF THE HOME, BUT THE WHYS OF WHAT THEY ARE DOING. WHAT IS THE OWNER’S ENDGAME?
WILL HOMEOWNER RENT…
- AS MUCH AS POSSIBLE AND GENERATE INCOME?
- JUST ENOUGH TO COVER ITS OWN EXPENSES?
- ONLY FOR BIG WEEKENDS OR PEAK SEASON?
- OCCASIONALLY TO PEOPLE YOU KNOW?
- NOT RENT AT ALL BUT SET MAINTENANCE BY A LOCAL AGENCY?
THIS INFORMATION IS TAKEN INTO CONSIDERATION AND RECOMMENDATIONS ARE MADE TO HELP HOMEOWNERS DECIDE WHAT SHOULD BE INCLUDED IN THEIR HOME TO ATTRACT THE MOST RENTERS OR JUST CREATE THEIR DREAM VACATION HOME.
THE HOMEOWNERS “WHY” WILL LEAD TO AN ABUNDANCE OF OTHER QUESTIONS. IF THE HOME IS FOR PERSONAL USE, THE USUAL QUESTIONS OF STYLE, VISIONS AND EXPECTATIONS FOR THEIR HOME WILL FOLLOW. SIMILARLY, AN ABUNDANCE OF QUESTION WILL BEGIN THE PROCESS FOR VACATION RENTAL OWNERS.
DECISIONS HOMEOWNERS DON’T EVEN KNOW THEY SHOULD OR WILL HAVE TO MAKE WHEN DREAMING ABOUT THEIR VACATION HOME OR SETTING UP THEIR RENTAL. A FEW OF THOSE PROSSIBLE QUESTIONS:
PROVIDE KING SIZE BEDS OR FULL SIZED BEDS?
IN TRYING TO KEEP COST LOW, A FULL BED MAY SEEM TO BE ENOUGH, BUT IF YOUR TARGET RENTER IS OLDER THEY MAY NOT WANT TO SACRIFICE HOME COMFORTS OF A KING BED AND MOVE ON TO ANOTHER HOUSE THAT OFFERS KING BEDS.
ON THE OTHER HAND, IN MANY MOUNTAIN RESORTS, SLEEPING AS MANY AS POSSIBLE IS THE KEY. IN THIS CASE, 2 FULL BEDS IN ONE ROOM INSTEAD OF ONE KING WINS.
HOW MANY PEOPLE DOES THE CITY ALLOW MY HOME TO SLEEP?
IN OUR VACATION RENTAL DESERT CITY, THE MAX OCCUPANCY RULE IS 2 PEOPLE PER BEDROOM PLUS 2. THEREFORE, A 3 BEDROOM WOULD HAVE A MAX OCCUPANCY OF 8 PEOPLE. NAIVELY, WE ADVERTISED THAT WE SLEPT 9 (3 KINGS & 3 DAY BEDS)… THE CITY CHECKS, WE GOT A SLAP ON THE WRIST. ONE TOO MANY SLAPS AND THE CITY CAN REVOKE YOUR LICENSE. NO BUENO!
USE A BEDROOM FOR A POOL TABLE?
THIS IS A COMMON SUGGESTION AND NOT A BAD ONE IF THERE IS ROOM – FOR ADULTS THIS CAN BE DESIRABLE. ON SOME MAJOR RENTAL SITES IT IS EVEN SEARCHABLE. BUT ALSO CONSIDER, IS THE GOAL TO ATTRACT FAMILIES? FIND OUT WHAT IS MORE ATTRACTIVE IN YOUR AREA, SLEEPS MORE OR ACTIVITIES – IT MAY NOT BE WORTH SACRIFICING A BEDROOM FINANCIALLY.
AND NOTE THAT GAMES AND ACTIVITIES ARE GREAT BUT YOU HAVE TO BE PREPARED TO RE-FELT IT EVERY FEW YEARS AT A COST OF $400+.
IF YOU PROVIDE IT, RENTERS WILL EXPECT TO BE ABLE TO USE IT.
WHAT NUMBER OF TELEVISIONS SHOULD I PROVIDE?
ON ONE HAND, YOU SHOULD CONSIDER THE UPFRONT COST OF EACH TELEVISION AND THE MONTHLY COST OF CABLE FOR EACH. ON THE OTHER, CONSIDER THAT MOST LUXURY RENTAL AGENCIES REQUIRE A TELEVISION AND CABLE BOX IN EACH BEDROOM AND IN THE MAIN AREA OF THE HOME.
FROM PERSONAL EXPERIENCE, A GROUP OF US RENTED TOWNHOUSES IN THE SAME BUILDING FOR AN OUT OF TOWN WEDDING. OUR TOWN HOMES WERE BOTH 3 BEDROOMS. IN SHOPPING FOR A RENTAL, I COMPARED ALL THE AMENITIES WHEN I DECIDED WHICH TO RENT. ONE HAD A TV IN THE MASTER BEDROOM AND ANOTHER IN THE LIVING ROOM; THE OTHER TOWNHOUSE HAD ONLY ONE IN THE LIVING ROOM. WAS IT WORTH AN EXTRA $20 PER NIGHT FOR THE EXTRA TELEVISION? YES!
WE WERE TRAVELING WITH 3 KIDS…WHAT IS MY PEACE WORTH? CHARGING A LITTLE MORE OFFSET THE COST FOR THIS MAJOR CONVENIENCE.
SHOULD THE HOUSE ALLOW PETS?
ACCORDING TO FLIPKEY, A STUDY DONE BY FIREPAW SHOWED THAT PET-FRIENDLY VACATION RENTALS STOOD TO MAKE 20%-30% MORE IN RENTAL INCOME. WHEN STARTING OUT, NO DOUBT BEING PET-FRIENDLY WILL GIVE YOU AN ADVANTAGE. DIVERSELY, HOW MUCH OF THAT 20% WILL HAVE TO GO TO EXTRA QUARTERLY CLEANING COSTS, PEST CONTROL AND TO REPLACE WEAR AND TEAR ITEMS?
VACATION RENTAL CLEANING COST ARE SUBSTANTIAL; QUARTERLY PROFESSIONAL DEEP CLEANING OF CARPETS, RUGS, COMFORTERS AND UPHOLSTERED FURNITURE ADD UP TO APPROXIMATELY $4000-5000 PER YEAR. TO KEEP A HIGH QUALITY STANDARDS OF CLEANLINESS EXPECTED OF HOSPITALITY RENTALS…
- WOULD HOMEOWNER HAVE TO DO THIS DEEP AND SANITIZING CLEANING MONTHLY?
- WOULD PROFITS BE EATEN UP IN CONTINUOUS DEEP CLEANING AND REPLACING?
- WOULD THE PROFIT AFTER CLEANINGS BE WORTH THE EXPENSE AND EFFORT?
FURTHER, AN LA TIMES ARTICLE DISCUSSES THE POSSIBILITY OF ALLERGENS LEFT BEHIND BY PETS SUGGESTING IF FUTURE RENTERS HAVE ALLERGIES, THEY SHOULD AVOID PET-FRIENDLY ACCOMMODATIONS. WOULD HOMEOWNERS THEN ALIENATE POTENTIAL NON-PET OWNING RENTERS?
THERE SEEMS TO BE A PUSH BY RENTAL AGENCIES ENCOURAGING HOMEOWNERS TO GO PET-FRIENDLY. BUT KEEP IN MIND, AGENCIES TAKE A CONSIDERABLE PORTION OF THE PROFITS WITHOUT INCURRING ANY OF THE COSTS. I DON’T KNOW THE ANSWER, TRULY, BUT IT IS SOMETHING TO BE EXAMINED AND CONSIDERED INDIVIDUALLY.
ALSO TO BE CONSIDERED, MAKING A RENTAL PET-FRIENDLY CAN BE SIMILAR TO MAKING IT KID FRIENDLY. THE DECISION WILL BE TO A GREAT EXTENT TAKEN INTO CONSIDERATION WHEN DECORATING AND MAKING PURCHASES. THE DECISION SHOULD THEN BE MADE UP FRONT, AND PURCHASES AND PLANS MADE ACCORDINGLY.
ALL THINGS TO KEEP IN MIND IN THIS HIGHLY PERSONAL DECISION.
WHAT KIND OF INSURANCE WILL I NEED?
2ND HOME INSURANCE IS VERY DIFFERENT THAN SHORT TERM VACATION RENTAL INSURANCE. GENERALLY SPEAKING, VACATION HOME POLICIES ARE LIMITED TO THE HOME, WHILE VACATION RENTAL INSURANCE IS A COMMERCIAL POLICY WITH COMPLETELY DIFFERENT COVERAGE AND LIABILITY STANDARDS.
MANY VACATION RENTAL HOMEOWNERS TRY LEAVE THEIR HOMEOWNERS POLICY IN PLACE TO SAVE MONEY, THE COST CAN DOUBLE, BUT WHEN THEY NEED IT AND FILE A CLAIM THEY FIND OUT THAT THEIR POLICY WON’T COVER RENTERS, INJURIES OR ANY PROPERTY DAMAGES. NOT SOMETHING YOU WANT TO FIND OUT WHEN IT IT’S TOO LATE.
THESE ARE JUST A FEW OF THE MANY QUESTIONS TO BE ANSWERED AND DECISIONS TO BE MADE WHEN YOU PURCHASE YOUR RENTAL.
DON’T GET OVERWHELMED, GET ORGANIZED!
IN THE BEGINNING, THERE IS SO MUCH TO DO, RESOLVE, CALL, DISCUSS AND PURCHASE SIMULTANEOUSLY TO PREPARE A HOUSE FOR RENTAL. HOMEOWNERS TEND TO GET OVERWHELMED. MOST OFTEN A HOMEOWNER WILL DO ONE OF THESE:
1. GET ORGANIZED, DO THEIR HOMEWORK & DO IT RIGHT.
2. JUMP IN UNPREPARED
- FIND THAT IT DOES NOT RENT.
- HOME RENTS, BUT GETS BAD REVIEWS.
3. PUT IT OFF INDEFINITELY AND LOSE POTENTIAL INCOME
- GIVE UP ON TRYING TO USE THE HOUSE FOR VACATION RENTAL INCOME.
- TAKE ON FULL TIME RENTERS INSTEAD.
- ENJOY FOR PERSONAL USE, NO INCOME.
4. HIRE AN INTERIOR DESIGNER AND OR RENTAL AGENCY TO TAKE ON A LARGE PORTION OF THE STRESS.
5. HIRE A VACATION HOME STAGER TO NAVIGATE THE PREP-WORK AND TURNKEY DESIGN.
COMMERCIAL INTERRUPTION HERE:
ALL THINGS CONSIDERED, VACATION HOME STAGING IS PIECE OF MIND FOR HOMEOWNERS. THESE DESIGNERS WILL DO THEIR HOMEWORK FOR YOUR AREA, CREATE A SPACE THAT IS APPEALING FOR POTENTIAL RENTERS, AND HELP YOU AVOID COSTLY MISTAKES. PURCHASES ARE MADE FOR EVERYTHING FROM FURNITURE TO A FIRST AID KIT SO THAT THE HOME IS TURN-KEY AND READY FOR RENTAL OR FOR YOURSELF AND YOUR FAMILY TO ENJOY.
IF YOU ARE THINKING OF JUMPING IN, DO IT! JUST DO YOUR HOMEWORK FIRST!
THANKS FOR STOPPING BY,
Deisi
DEISI VAZQUEZ
WWW.DVIDECOR.COM
[email protected]
