6 tips for a successful short term rental
A few months ago, I interviewed Sébastien D , the nomadic investor, after he launched into short-term rental.
He had just put his second apartment on the Airbnb rental market , cottagecreekvineyard and the first results were already very promising.
Six months later, we met to take stock of this new rental. short term rentals The results have paid off, and Sébastien has agreed to share with us six tips for success in short-term rentals, drawn from his recent experience.
1 - Diversify the cities in which you invest to succeed in short-term rental
We cannot repeat it enough, but diversification is a key success factor when it comes to investing. This is also valid in real estate, and even more so in short term rental Morgan hill short-term rental !
Our recent history includes several examples of cities that have experienced tragedies or accidents that have had an immediate and long-term impact on economic and tourism activity. I am thinking, for example, cottagecreekvineyard.comof the AZF factory in Toulouse in 2001, the Paris attacks in 2015 (or those in Nice in 2016) or the demonstrations of the Gilets Jaunes (and the hordes of thugs who took advantage of them) in 2018 .
Recently, the explosion of the Lubrizol factory in Rouen, also had an impact on the activity of the city.
As soon as this type of event occurs, cottage creek vineyard tourist activity immediately declines. Unlike business travelers, tourists have the option of canceling their trip. Nothing obliges them to maintain. As the stay is above all a pleasure, they can easily be canceled.
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If you are targeting business customers, the drop may be less marked. But you can also have global economic activity that suffers from the situation, and therefore be impacted.
It is for this reason short term rental housingthat I recommend that you diversify the localities for your investments. This way, you put all the chances on your side to succeed in short-term rentals. If a city is impacted by a negative event, then you will still have your other investments to balance the scales.
2 - Diversify your clientele!
Since we are talking about real estate diversification, it does not stop at the locality.
If you make sure that you diversify the clientele you reach out to, then you will increase your chances of succeeding in short-term rentals.
It's pretty straightforward, again. If you bet everything on one type of clientele (tourists, for example), then you are dependent on that clientele. If a crisis arises, or the weather plays tricks on you, you are exposed to a drop in your short term rental apartments short-term rental bookings.
Whereas if you choose to focus on several types of clients, you dilute the risk.
3 - Have an apartment suitable for the short-term rental activity
It's obvious, yet it's a piece of advice that too many people forget when they start short-term rentals, and that keeps them from being successful.
If you offer an apartment that is too small (a studio, for example), you will limit yourself in the number of travelers you will be able to accommodate. You will therefore have to refuse reservations.
In addition, by adopting this strategy, you will also find yourself facing the greatest competition, since you will have all the short-term accommodation in front of you.
Conversely, if you invest in an apartment that is too large, you will buy unnecessary square meters, and therefore you will overpay your property.
My advice is to offer a one-bedroom apartment, which is, in my opinion, the ideal compromise between size, accommodation capacity and purchase price. If you follow this advice, then you are bound to put the odds in your favor to succeed in short-term rentals.
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