short term rental strategies Keep these five things top of mind to optimize your short-term rental profits

Short-term rentals as a growing asset class.

Real estate investing has long been touted as a top-tier investment. Valued at $168.5 trillion, residential real estate is the world’s largest asset class. That, paired with low market volatility and consistently high returns, makes it clear why residential real estate is hard to beat. But, like other sectors, it has not been COVID-proof. New risks have surfaced themselves and behavior has fluctuated, but at the end of the day, new opportunities are presenting themselves for smart investors; opportunities in the form of short-term stays.

A newly flexible lifestyle that has been introduced to many since the beginning of COVID has prompted a booming demand for short-term stays and options “on the road”. Savvy real estate investors who can pivot their current portfolio, or acquire more properties, to meet this sudden demand will realize increased revenues. With an in-flux of new players in this space, it’s important to keep 5 key priorities top of mind in order to see the highest profits.

Top 5 things new (and seasoned) short-term rental real estate investors should keep in mind:

  • Time is money. Without a trusted property manager, a one-bedroom short-term rental unit can quickly become a full-time management job. It is worth it to pay a trusted advisor, like Rabbu, to handle all of the hassles on your behalf so you can get time back in your day.
  • Systems save money. Day-to-day operations can get costly. Between guest verification, cleaning, maintenance, payment processing, and more, there are expenses to running a short-term rental. These expenses can be minimized and optimized by investing in a property manager or centralized property management technology that automates and coordinates all day-to-day operations for you, making sure nothing falls through the cracks or isn’t cost-efficient.

  • Keep things touch-free. COVID-19 has only accelerated an already growing trend — touch-free check-in and other capabilities. An investment in touch-free tech can, and will, pay dividends.

  • Offer thoughtful and practical amenities. With COVID drastically blurring the lines between work and play, we are seeing an unprecedented surge of short-term rental bookings allowing people to work, and live, from a home-away-from-home. As such, amenities for these working travelers are a must. Wifi, laptop-friendly work stations, and coffee and tea are a few things that help take your property from “good” to “great”.
  • Data is your best friend. Investing in an owner’s portal that helps you track revenues, expenses, payments, occupancy stats, and more will save you money, make you money, and pay dividends. Data like this allows you to evaluate performance and optimize in real-time. Rabbu has a pretty sweet one, if you ask us 🙂

While it may seem like an overwhelming undertaking to launch a short-term rental and keep the above five points in mind, experienced and dedicated property managers like Rabbu can ensure your property is run smoothly, making sure all of the i’s are dotted and t’s are crossed. That way you can make passive income, without all of the hard work. Just how it should be. Want to hear how we do it? Drop us your details below.

If you’re interested in reading more about this topic, we talk about it in-depth here with our friends at Home Business magazine. Happy reading!

Short-term rental real estate investing, made easy.

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  • Rely on trusted partners (us!) to manage your property for you, giving you time back in your busy day.
  • Enjoy higher yields, powered by our innovative dynamic nightly pricing and flexible lengths-of-stay strategies.
  • Get ahead of an already booming industry, effortlessly.