BES T B E T S Should You Consider Hosting a Short-term Rental? By Jackie Romano W ith the growing appeal of Airbnb, Vrbo, Hometogo and other simi-lar platforms, short-term rental properties have become a popular option for real estate investors and homeowners looking for supplemental income. If you are considering entering the short-term rental market, you will first need to under-stand some basics about the industry and operations. So, what is a short-term rental? A short-term vacation rental is most often defined as a property that you own or control and then rent out for short periods of time (periods of less than 31 consecutive days). These rentals are private proper-ties that hosts can rent in their furnished house, room, apartment or condominium. Their main advantage is privacy, access to local culture and unique accommodations. Location is the most important factor to consider. Homes with immediate access to a nearby attraction (the city center, the beach, the ski slopes, a theme park) are the best choice for an investment prop-erty. However, properties near hospitals, medical centers, colleges and camps are also good opportunities. In addition to having the right location, the property itself needs to appeal to short-term rental seekers. That may mean investing some time and money in refurbishing, renovat-ing and furnishing a property. What space would make a good rental? If you have the location, you can find the space. Aside from a stand-alone property (home, apartment, condo, etc.), alterna-tive rental properties can be set up with a bit of creativity. Here are some ideas: • Clear out a garage and convert into living space • Snowbird? Consider renting out your home (or part of it) for the time you are gone • Have a big piece of property? Hook up an Airstream or RV • Convert a shed into tiny living space • Basements work too as they often have a separate entry • Hard to sell properties—why not rent until you find a buyer? As long as they are thoughtfully fur-nished, these non-traditional rentals can do very well. You will find examples of these types of rentals on Airbnb, and they are booked up, Of course, you should check with your local building department before investing in any of these options. How to get started? First, you will need to find out if your town allows the use of short-term rentals and what is involved in procuring a license. Many states also require having your home inspected before granting a short-term rental business license. The inspector must indicate that property adheres to opera-tional standards, such as an appropriate number of fire extinguisher and smoke detector requirements, as well as emergen-cy escape and rescue availability. Details matter! • Make the place look Instagram worthy. Guests will book a property using online tools such as Airbnb, Booking.com and Vrbo so it is imperative that it looks amazing. • Offer amenities. WiFi, washer and dryer, games, hot tub, Smart T V, welcome pets, etc. People want to get the most out of their rental stay. The more amenities you offer, the more likely they will return and give a great review. • Make your listing stand out. Invest in professional photography as it is the first thing your guests will see and a major factor in deciding whether they will want to stay in your property. Write short, accurate, descriptions to highlight attributes that make your place worthy of their stay. • Consider hiring a professional short-term rental designer. It is a given that they will make the place look outstand-ing, but they are also experts in under-standing what it takes to outfit a space to rent. They have extensive knowledge about furniture and space planning and can source the items you will need saving you time and money. Starting a vacation rental business involves acquiring, maintaining and mar-keting these properties to travelers. This also means having to maintain the aesthet-ics, check-in/out process, cleaning, being a host, guest satisfaction and accounting. So be prepared to handle these on your own or hire a property management firm. Rental properties can lead to a steady cash flow, assuming you do your research and make an educated decision. Jackie Romano brings over 20 years of diverse design experi-ence to clients. She is an award winning designer and has worked as a creative problem solver for Fortune 100 and 500 companies. Now an entrepreneur in her own business, she can help you make the most of your space, whether you are selling your home, want-ing to update or starting a Short-term Rental. www.realignanddesign.com 64 AUTUMN YEARS I SUMMER 2021
Autumn Years Summer 2021: Page 64
