How to Set Up a Holiday Home Business
More and more homeowners consider the acquisition of a second property to use as a rental business. However, if you’re thinking of becoming a landlord (or landlady), you need to think twice about the type of property you want to purchase.
As a general rule of thumb, long-term rentals are unlikely to be profitable, if you take into consideration the cost of tenancy management, maintenance, advertising, mortgage repayment, and the additional income taxes.
However, if your rental happens to be a holiday home, you could be creating a profitable and stable side hustle that can practically pay for itself. Indeed, holiday homes renting prices tend to be higher than long-term tenancy agreements.
Besides, as a proprietor, they give you a base to explore when you go on holiday. You only need to figure out how to keep your side hustle rental as stress-free as possible.
#1. Don’t Manage it Yourself
It’s no secret: Managing a rental property can demand a lot of your time. For anybody who’s trying to juggle work and family life, it’s fair to say that you probably don’t need the extra pressure of dealing with guests’ issues in a holiday home that might be in a foreign country.
That’s precisely why you should look for professional holiday rentals management services to do all the hard work while you relax. A property manager is not only in charge of welcoming your guests but also in maintaining the property.
#2. Keep Your Decor Minimalistic
While it is tempting to create a breathtaking interior style for your rental, you need to be realistic. You are going to receive a variety of guests and not all of them are going to be respectful of your property. It is, unfortunately, one of the risks of running a rental side hustle. Therefore, it’s crucial that you focus your attention on creating a minimalist decor.
You can’t afford to clutter your rental with junks and sensitive documents. Instead, you should keep the interior clean and airy. If you’re already started to over-decorate, decluttering might be an option.
#3. Pick a Popular Location
Holiday homes are profitable when they are set in a destination that attracts tourists. In other words, you want to make sure you pick a popular area such as Cyprus or Spain, for instance.
The other advantage of buying a property in a favourite holiday spot is that you are guaranteed that your guests will benefit from quality public transport connections. Indeed, people are more likely to hire a holiday home when they know they can reach it easily.
#4. Run a Smart Marketing Campaign
Launching your holiday rental side hustle might need some marketing support at first. You can work closely with your management team to define the best course of action. Identify your audience group, though, can help you to create a marketing campaign that will appeal to your guests.
For instance, you can boost your rental visibility on social media, and even TripAdvisor if you want to use testimonials and reviews.
Your holiday home could become a valuable source of revenue for your family. While it will take some know-how and practice to get things right, working with professional management solutions and experts can ensure a smooth and stress-free rental side hustle.
Image Credit: Pexels – CC0 Licence
Have you considered investing in a holiday home? If so, where?