The following is a guest post about property management. If interested in submitting a guest post please read my guest post policy and then contact me.
One of the most exciting financial accomplishments in life is being given the keys to your second home or vacation property.
But along with the perks of second home ownership come all the stresses of managing the property. Maintenance, security, marketing the property to potential renters and facilitating rental paperwork and payments can be a major headache. A competent and trustworthy property management company will make all the difference between raising the property’s value and maximizing your rental revenue, or turning a loss on your investment. Effective property management companies like Summit Vacations provide services including marketing, guest communication, property inspections, housekeeping, accounting, unit maintenance, interior design and property improvements.
Unfortunately, budget constraints, or the hassle of dealing with an inept and unreliable property manager can deter homeowners from making the most of their second home. Too often these owners allow their properties to sit empty and useless when they are away, instead of capitalizing on the property’s income-earning potential.
But today with the advent of online services that place management tools straight in the owner’s hands, a second home can be managed on nearly any budget, any schedule, and from anywhere in the world. With the majority of people booking their vacation lodgings online and the growing trend of opting for vacation rentals over hotels, there has never been a better time to turn a profit from your vacation property. According to Homeaway.com, a vacation rental booking and listing site, the average vacation rental earns $28,000 a year.
Sites like Homeaway.com and VRBO.com allow you to list your vacation rental on their site for potential renters to find and book. And the level of involvement is entirely up to you:ent out your property as often or as little as you choose. Homeaway.com has 44 sites around the world and 48 million visitors each month, giving your rental listing great visibility among an audience of focused rental seekers. And according to the site, the average advertiser earns a 35x return.
The process of creating a listing on a vacation rental booking site is quite simple. The lister is able to upload photos, write a description and manage a reservation calendar while a secure online payment system makes it easy for the rental owner to receive payment from guests who choose to book their property on the site. However, it does take time and effort to make sure everything runs smoothly.
While the idea of listing your rental property may conjure dollar signs in your mind, in truth these sites are very affordable and flexible. VRBO.com allows listers to choose between making an annual payment of $349, or to go the risk-free route where the site will only take a 10% cut from the bookings made for your property. For both of these options, the rental owner is responsible for managing inquiries, bookings, and onsite management. If you’re willing to pay a bit more to pass on the work, a professional property manager will create the listing for you and manage the inquiries and bookings for an average of a 13% cut of bookings made.
With the aid of a popular vacation rental booking site you really can’t go wrong. On the contrary, you may be losing out on earning opportunities if you are not taking advantage of their audience and ease of use. HomeAway is the #1 vacation rental company with 44 sites all around the world. With 48 million visitors each month, your listing is sure to be seen. In the U.S. alone, HomeAway receives 44 million visitors each year – that’s over 6 times more than any of our competitors.
Unparalleled Return on Investment
Listing your property doesn’t cost a lot and provides substantial returns. The average homeowner who advertises on HomeAway.com earns a 35x return, and the average platinum listing generates over $39,000 in rental income per year. In fact, some earn more than $100,000 per year.