There are nearly 1.4 million vacation rentals in the US and not enough vacationers to rent them out.
In theory, owning a short-term rental property is a great way to earn passive income that you can put away for retirement, your kid's college fund, or just to build wealth. No one said it was easy money, however.
You need to put a lot of work into running a vacation rental to make it worthwhile. People make vacation rental mistakes in doing this, so today, we're going to tell you what those are and tell you how short-term rental management can help. Keep reading and learn how to maximize your investment.
Not Knowing Local Laws
Before you list your short-term rental and start allowing vacationers in it, you need to have an understanding of San Antonio's laws on STRs. First, there are two types of recognized short-term rental in San Antonio - one that you live in and a property that you use exclusively for renting out.
You'll also need to apply for a short-term rental permit by providing important information about things like capacity, emergency evacuation, and fire extinguisher location. If you just start renting out your unit without a permit, you could be in huge trouble.
Poor Photos and Descriptions
Many property owners think that finding renters for their vacation property will be easy. Getting your property up on a listing site is easy, but finding renters isn't. People always look for top-reviewed properties in the best locations with the best amenities.
Starting, you won't have any reviews. To counteract this deficiency, you have to make a really good listing. Putting up grainy photos from your smartphone and a bare-bones description of the unit isn't going to cut it.
Hire a professional photographer and be as thorough as you possibly can when writing your listing. You can find plenty of resources showing you templates for your short-term rental description.
Not Collecting a Deposit
Vacation rentals go through a lot of wear and tear. If you let the wrong people into your property, you could end up with costly property damage. Furthermore, if you don't collect a damage deposit, repairs will cut into your rental income.
Always charge your renters a damage deposit that they get back at the end of their stay. Every short-term rental and most hotels ask for this, so you're not inconveniencing your renters.
Failure to Communicate
Running a successful short-term rental is all about customer experience. It's a fine line between being overbearing and not being present enough. Many vacation renter owners fall on one side or the other, which hurts their reputation and ability to find more renters.
You should be as accommodating as possible for your tenants. Make sure that you've given them everything they need and that they have your contact information if any issues arise.
Short-Term Rental Management Can Help
If all of this sounds like a lot of work, that's because it is. Fortunately, you don't need to take care of all of these things to own a successful vacation rental.
At PMI Profit Realty, we're a short-term rental management specialist who can take care of everything from rental cleaning to marketing. Contact us today to learn more about how a property manager can improve your short-term rental.
