Vacation Rental by Owner (VRBO) is the latest craze in the rental market. Today, we’re talking about whether you want to VRBO your investment property.
Property Investment vs. Vacation Investment: Different Markets
There are some things to consider when you’re deciding whether you want to lease your property the traditional way or turn it into a vacation rental. First, when you VRBO your property, you’re entering a different market. You’ll be in the travel industry, which follows the beat of its own drum. What do you look for when you’re staying somewhere on vacation? When you’re away from home, you want amenities. You want access to technology and modern furnishings. You want perfection; something better than what you left. You don’t just want it – you expect it. Your customers will have the same expectations.
Wear and Tear on Your Vacation Investment: Using Property Management
Consumers in the travel industry are tough on businesses. They will hold you to the highest standards. Another thing to note is that when you’re dealing with customers on vacation, they aren’t always going to take the best care of the place they are staying in. Think about how you treat your rental cars. It’s important to remember that when you’re renting out a vacation property. For this reason, we always recommend that you use a great property management team who is knowledgeable in the industry and can look out for your needs.
Finally, consider vacancy rates. The travel industry is cyclical, and you’ll have periods where you don’t have anyone in your home and no rental income. Alternatively, renting out a traditional property is more consistent.
Weigh the pros and cons of your decision before you settle on whether you want to rent out a vacation property. If you have any questions about vacation rentals or anything pertaining to Phoenix property management, please don’t hesitate to contact us at Arizona Property Brokerage.